Electrification
The Key Minerals in an EV Battery
Breaking Down the Key Minerals in an EV Battery
Inside practically every electric vehicle (EV) is a lithium-ion battery that depends on several key minerals that help power it.
Some minerals make up intricate parts within the cell to ensure the flow of electrical current. Others protect it from accidental damage on the outside.
This infographic uses data from the European Federation for Transport and Environment to break down the key minerals in an EV battery. The mineral content is based on the ‘average 2020 battery’, which refers to the weighted average of battery chemistries on the market in 2020.
The Battery Minerals Mix
The cells in the average battery with a 60 kilowatt-hour (kWh) capacity—the same size that’s used in a Chevy Bolt—contained roughly 185 kilograms of minerals. This figure excludes materials in the electrolyte, binder, separator, and battery pack casing.
Mineral | Cell Part | Amount Contained in the Avg. 2020 Battery (kg) | % of Total |
---|---|---|---|
Graphite | Anode | 52kg | 28.1% |
Aluminum | Cathode, Casing, Current collectors | 35kg | 18.9% |
Nickel | Cathode | 29kg | 15.7% |
Copper | Current collectors | 20kg | 10.8% |
Steel | Casing | 20kg | 10.8% |
Manganese | Cathode | 10kg | 5.4% |
Cobalt | Cathode | 8kg | 4.3% |
Lithium | Cathode | 6kg | 3.2% |
Iron | Cathode | 5kg | 2.7% |
Total | N/A | 185kg | 100% |
The cathode contains the widest variety of minerals and is arguably the most important and expensive component of the battery. The composition of the cathode is a major determinant in the performance of the battery, with each mineral offering a unique benefit.
For example, NMC batteries, which accounted for 72% of batteries used in EVs in 2020 (excluding China), have a cathode composed of nickel, manganese, and cobalt along with lithium. The higher nickel content in these batteries tends to increase their energy density or the amount of energy stored per unit of volume, increasing the driving range of the EV. Cobalt and manganese often act as stabilizers in NMC batteries, improving their safety.
Altogether, materials in the cathode account for 31.3% of the mineral weight in the average battery produced in 2020. This figure doesn’t include aluminum, which is used in nickel-cobalt-aluminum (NCA) cathode chemistries, but is also used elsewhere in the battery for casing and current collectors.
Meanwhile, graphite has been the go-to material for anodes due to its relatively low cost, abundance, and long cycle life. Since the entire anode is made up of graphite, it’s the single-largest mineral component of the battery. Other materials include steel in the casing that protects the cell from external damage, along with copper, used as the current collector for the anode.
Minerals Bonded by Chemistry
There are several types of lithium-ion batteries with different compositions of cathode minerals. Their names typically allude to their mineral breakdown.
For example:
- NMC811 batteries cathode composition:
80% nickel
10% manganese
10% cobalt - NMC523 batteries cathode composition:
50% nickel
20% manganese
30% cobalt
Here’s how the mineral contents differ for various battery chemistries with a 60kWh capacity:
With consumers looking for higher-range EVs that do not need frequent recharging, nickel-rich cathodes have become commonplace. In fact, nickel-based chemistries accounted for 80% of the battery capacity deployed in new plug-in EVs in 2021.
Lithium iron phosphate (LFP) batteries do not use any nickel and typically offer lower energy densities at better value. Unlike nickel-based batteries that use lithium hydroxide compounds in the cathode, LFP batteries use lithium carbonate, which is a cheaper alternative. Tesla recently joined several Chinese automakers in using LFP cathodes for standard-range cars, driving the price of lithium carbonate to record highs.
The EV battery market is still in its early hours, with plenty of growth on the horizon. Battery chemistries are constantly evolving, and as automakers come up with new models with different characteristics, it’ll be interesting to see which new cathodes come around the block.
Electrification
Charted: Lithium-Ion Batteries Keep Getting Cheaper
Cell prices have fallen 73% since 2014.
Lithium-Ion Batteries Keep Getting Cheaper
Battery metal prices have struggled as a surge in new production overwhelmed demand, coinciding with a slowdown in electric vehicle adoption.
Lithium prices, for example, have plummeted nearly 90% since the late 2022 peak, leading to mine closures and impacting the price of lithium-ion batteries used in EVs.
This graphic uses exclusive data from our partner Benchmark Mineral Intelligence to show the evolution of lithium-ion battery prices over the last 10 years.
More than Half of the Battery Price Comes from the Cathode
Lithium-ion batteries operate by collecting current and directing it into the battery during the charging process. Typically, a graphite anode attracts lithium ions and retains them as a charge.
During discharge, the cathode draws the stored lithium ions and channels them to another current collector. The circuit functions effectively because the anode and cathode do not come into direct contact and are suspended in a medium that facilitates the easy flow of ions.
Currently, 54% of the cell price comes from the cathode, 18% from the anode, and 28% from other components.
Declining Prices
The average price of lithium-ion battery cells dropped from $290 per kilowatt-hour in 2014 to $103 in 2023.
Year | Global Avg. Cell Price ($ per kilowatt-hour) |
---|---|
2014 | 290 |
2015 | 230 |
2016 | 180 |
2017 | 140 |
2018 | 128 |
2019 | 120 |
2020 | 110 |
2021 | 99 |
2022 | 129 |
2023 | 103 |
2024 (ytd) | 78 |
In the coming months, prices are expected to drop further due to oversupply from China.
Despite declining prices, battery demand is projected to increase ninefold by 2040, with the battery industry’s total capital expenditure expected to nearly triple, rising from $567 billion in 2030 to $1.6 trillion in 2040.
Lithium ion Battery Market Size | Global Capacity (Gigawatt hour) |
---|---|
2016 | 163 |
2017 | 219 |
2018 | 353 |
2019 | 496 |
2020 | 710 |
2021 | 1026 |
2022 | 1652 |
2023 | 2555 |
2024F | 3476 |
Learn More About Batteries From Visual Capitalist
If you enjoyed this post, be sure to check out this graphic that ranks the top lithium-ion battery producing countries by their forecasted capacity in 2030.
Electrification
Ranked: The Top Lithium-Ion Battery Producing Countries by 2030
Chinese companies are expected to hold nearly 70% of global battery capacity by decade’s end.
Top Lithium-Ion Battery Producers by 2030
Lithium-ion batteries are essential for a clean economy due to their high energy density and efficiency. They power most portable consumer electronics, such as cell phones and laptops, and are used in the majority of today’s electric vehicles.
This graphic uses exclusive data from our partner, Benchmark Mineral Intelligence, to rank the top lithium-ion battery producing countries by their forecasted capacity (measured in gigawatt-hours or GWh) in 2030.
China to Keep Dominance
Chinese companies are expected to account for nearly 70% of global battery capacity by 2030, delivering over 6,200 gigawatt-hours. Chinese giant Contemporary Amperex Technology Co., Limited (CATL) alone is forecasted to produce more than the combined output from Canada, France, Hungary, Germany, and the UK.
Country | 2030F capacity (GWh) | Top producers |
---|---|---|
🇨🇳 China | 6,268.3 | CATL, BYD, CALB |
🇺🇸 U.S. | 1,260.6 | Tesla, LGES, SK On |
🇩🇪 Germany | 261.8 | Tesla, Northvolt, VW |
🇭🇺 Hungary | 210.1 | CATL, SK On, Samsung |
🇨🇦 Canada | 203.8 | Northvolt, LGES, VW |
🇫🇷 France | 162.0 | Verkor, Prologium, ACC |
🇰🇷 South Korea | 94.5 | LGES, Samsung, SK On |
🇬🇧 UK | 66.9 | Envision, Tata |
Currently, China is home to six of the world’s 10 biggest battery makers. China’s battery dominance is driven by its vertical integration across the entire EV supply chain, from mining metals to producing EVs.
By 2030, the U.S. is expected to be second in battery capacity after China, with 1,261 gigawatt-hours, led by LG Energy Solution and Tesla.
In Europe, Germany is forecasted to lead in lithium-ion battery production, with 262 gigawatt-hours, most of it coming from Tesla. The company currently operates its Giga Berlin plant in the country, Tesla’s first manufacturing location in Europe.
Learn More About Batteries From Visual Capitalist
If you enjoyed this post, be sure to check out Charted: Investment Needed to Meet Battery Demand by 2040. This visualization shows the total capital expenditure (capex) requirements to build capacity to meet future battery demand by 2030 and 2040.
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