The global transition to electric vehicles (EVs) has skyrocketed the demand for lithium batteries, cementing their role as the backbone of the EV industry. According to SNE Research, global EV battery usage reached 686.7 GWh from January to October 2024, reflecting an impressive 25.0% year-on-year growth. Let’s explore the top 10 companies driving EV battery installations, their key innovations, milestones, and the evolving landscape of lithium battery technology.
2024 Lithium Battery Companies by EV Battery Installations Ranking
The top 10 companies by EV battery installation volume were:
1. CATL (Contemporary Amperex Technology Co., Ltd.)
2. BYD
3. LG Energy Solution
4. CALB (China Aviation Lithium Battery)
5. SK On
6. Panasonic
7. Samsung SDI
8. Gotion High-Tech
9. EVE Energy
10. Sunwoda
1. CATL (Contemporary Amperex Technology Co., Ltd.) — Global leader with a 28.3% market share
CATL holds its position as the world’s largest EV battery supplier, with 252.8 GWh installed during this period. Its diversified product portfolio, including lithium iron phosphate (LFP) and nickel-cobalt-manganese (NCM) batteries, sets the standard for the industry.
Key Partnerships:
CATL’s dominance is bolstered by partnerships with leading automakers, such as Zeekr, Li Auto, Tesla, BMW, Volkswagen, and Mercedes-Benz. Its strong collaboration with Tesla in China has further solidified its market position.
Innovations and Expansion:
The company is a pioneer in battery recycling, aligning with global sustainability goals. CATL is also expanding its production footprint in Europe and North America to cater to emerging EV markets.
2. BYD — Second largest, with a 31.3% growth
As both an EV manufacturer and battery supplier, BYD leverages vertical integration for cost efficiencies, achieving 115.3 GWh installations.
Sales Milestones:
BYD sold approximately 3.11 million vehicles in the first 10 months of 2024, including 1.39 million pure EVs. November sales hit a record-breaking 506,804 vehicles, showcasing its competitive pricing and innovation.
Battery Technology:
BYD specializes in LFP batteries for their safety and affordability and is advancing blade battery technology, promising higher energy density and longevity.
3. LG Energy Solution (LGES) — A global player with cutting-edge NCM technology
Ranking third in EV battery installations, LGES continues to shine with its advanced NCM batteries and collaborations with automakers like Hyundai, GM, and Ford.
Future Prospects:
LGES is heavily investing in R&D and expanding production facilities in Poland, the U.S., and South Korea. Upcoming solid-state battery prototypes are poised to revolutionize the industry with improved safety and efficiency.
4. CALB (China Aviation Lithium Battery) — Innovator in ultra-fast charging
CALB installed groundbreaking 5C ultra-fast charging AI batteries, capable of adding 1 km of range per second and reaching 80% charge in just 12 minutes.
Global Expansion:
Collaborations with automakers like XPeng Motors underscore CALB’s commitment to next-gen battery solutions and international market growth.
5. SK On — Resilient growth in high-performance NCM batteries
SK On achieved 9.5% year-on-year growth, forming strong partnerships with automakers such as Hyundai and Ford through its BlueOval SK joint venture.
Challenges and Opportunities:
Despite fierce competition, SK On’s focus on premium solutions and innovation ensures its long-term competitiveness.
- 2024 Top 10 Lithium Battery Company by EV Battery Installation Volume (GWh)
6. Panasonic — Legacy player with advanced cell technology
Panasonic’s 28.4 GWh installations were impacted by a 21.1% decline due to temporary Tesla Model 3 production halts.
Upcoming Innovations:
The launch of 2170 and 4680 battery cells, designed for higher energy density, promises to rejuvenate Panasonic’s growth in collaboration with Tesla.
7. Samsung SDI — Catering to premium markets with reliability
Samsung SDI specializes in prismatic and cylindrical lithium batteries, catering to high-end automakers like BMW and Audi. The company is heavily investing in solid-state battery research, aiming for commercialization by the decade’s end.
8. Gotion High-Tech — LFP-focused growth leader
Gotion High-Tech achieved a 38.3% growth year-on-year, with 17.7 GWh installed. Its partnerships with Volkswagen highlight its increasing influence in global markets.
9. EVE Energy — Innovative cylindrical battery specialist
EVE Energy saw a 31.5% growth, reaching 16.3 GWh installations. Its sustainability efforts, including enhanced recycling capabilities, align with automakers’ eco-conscious strategies.
10. Sunwoda — Fastest-growing player with a 68.2% surge
Sunwoda’s advancements in LFP battery technology and competitive pricing make it a rising star in both domestic and international markets.
Key Trends and Insights
China’s Market Dominance:
Chinese companies represent six of the top 10 players, commanding 65.5% of the global market share, up from 62.8% last year. This is driven by strong domestic demand, advanced technologies, and competitive pricing.
Challenges for Non-Chinese Manufacturers:
Non-Chinese companies’ combined market share dropped to 24.2% from 30.4%, highlighting increased competition.
Focus on Innovation:
Companies like CALB and Gotion High-Tech are redefining fast-charging and LFP technologies, while others like Panasonic are betting on next-gen solid-state batteries to regain momentum.
The global lithium battery industry is rapidly evolving to meet the surging demand for electric vehicles (EVs), energy storage systems, and consumer electronics. This analysis explores the current state of lithium battery technology and supply capacity across key regions: South Korea, Japan, China, Europe, and North America.
Global Lithium Battery Landscape
– South Korea: Leading in premium NCM technology and solid-state battery R&D.
– Japan: Maintaining a legacy in safety-focused batteries but facing declining market share.
– China: The largest producer with unparalleled infrastructure and innovation.
– Europe: Expanding local production while tackling raw material shortages.
– North America: Building capacity with policy-driven incentives and a focus on solid-state technology.
South Korea: Advanced Technology and High-Performance Batteries
South Korea is recognized for its cutting-edge lithium battery technology, driven by leading players like LG Energy Solution, SK On, and Samsung SDI. These companies specialize in nickel-cobalt-manganese (NCM) batteries, known for high energy density and superior performance.
Technological Strengths
- Premium Market Focus: Collaboration with high-end automakers such as BMW, Hyundai, and Ford.
- Solid-State Battery Research: Extensive R&D investment aiming for commercialization by the late 2020s.
- High-Voltage Platforms: Development of platforms enabling faster charging and extended EV range.
Supply Capacity
South Korea has robust production capabilities but trails China in overall capacity. To meet international demand, companies are expanding operations in Poland, Hungary, and the U.S. However, competition from Chinese manufacturers challenges their market share.
Japan: A Legacy Player Facing New Challenges
Once a leader in lithium battery innovation, Japan’s dominance has waned due to intense competition from South Korea and China. Panasonic remains the sole Japanese company in the global top 10 for EV battery installation.
Technological Strengths
- Tesla Partnership: A primary supplier for Tesla, focusing on advanced 2170 and 4680 battery cells.
- Reliability: Renowned for producing batteries with high safety and longevity.
- Solid-State Batteries: Significant investments to redefine the market with safer and more efficient technology.
Supply Challenges
- Market Share Decline: Reduced Tesla Model 3 production and strong competitors have impacted sales.
- Limited Domestic Demand: Japan’s slow EV adoption means manufacturers depend heavily on exports.
China: The Global Leader in Lithium Battery Production
China dominates the lithium battery market, holding 65.5% of global EV battery market share. This success is supported by six of the top 10 global battery companies, including CATL, BYD, and CALB.
Technological Strengths
- Diverse Chemistries: Expertise in both lithium iron phosphate (LFP) and NCM batteries.
- Fast-Charging Innovations: Advances in reducing charging times, exemplified by CALB’s technologies.
- Recycling Integration: Companies like CATL and EVE Energy lead in sustainable battery recycling.
Supply Capacity
- Massive Production Base: The world’s largest lithium battery manufacturing capacity, supported by robust infrastructure.
- Government Support: Policies boosting EV adoption and battery innovation.
- Strong Export Strategy: Expansion into European and Southeast Asian markets with competitive pricing and scalability.
Europe: Rapid Growth and Heavy Import Reliance
Europe is becoming a significant player in the lithium battery market, fueled by the EU’s Green Deal and rising EV production. Despite this, the region remains heavily dependent on imports from Asia.
Technological Strengths
- Localized Production: European firms like Northvolt are focusing on sustainable and high-performance batteries.
- Recycling Initiatives: Investments in meeting EU environmental standards through advanced recycling.
- Collaborations: Partnerships with Asian companies for technology transfer and expertise.
Supply Challenges
- Raw Material Dependencies: High reliance on imported lithium, battery separator, cobalt, and nickel.
- Scaling Delays: Slow progress in building the production capacity needed to match rising demand.
North America: Emerging Manufacturing Hub
The U.S. leads North America in scaling lithium battery production, driven by government incentives such as the Inflation Reduction Act (IRA).
Technological Strengths
- Strategic Collaborations: Partnerships between companies like Tesla and suppliers such as Panasonic and LG Energy Solution.
- Solid-State Battery Focus: Heavy investments in next-generation battery research.
- Grid-Scale Storage: Development of lithium batteries for large-scale energy storage applications.
Supply Challenges
- Raw Material Shortages: Efforts are underway to establish domestic supply chains for lithium and other critical materials.
- High Costs: U.S. production costs are higher than in Asia, impacting competitiveness.
Comparative Summary
Region | Strengths | Challenges |
South Korea | High-performance NCM tech, solid-state R&D, premium markets | Competition from China, reliance on exports |
Japan | Tesla partnership, safety, focus on solid-state batteries | Declining share, limited domestic EV adoption |
China | Largest production base, diverse chemistries, export power | Environmental concerns, reliance on LFP batteries |
Europe | Sustainable production, recycling innovation, policy support | Raw material dependence, slow scaling of production |
North America | Government incentives, solid-state R&D, energy storage use | High costs, raw material constraints |
Conclusion
The global lithium battery market reflects a dynamic interplay of innovation and regional strategies. China leads in production and scale, South Korea and Japan drive high-performance technology, Europe is building a sustainable supply chain, and North America is emerging as a key player backed by policy-driven initiatives.
As EV adoption accelerates, collaboration across regions and advancements in battery technology, including solid-state and fast-charging solutions, will be critical. The industry’s future hinges on innovation, sustainability, and meeting the surging global demand.
