Challenges for Emerging Battery Cell Manufacturers Jun 18, 2022

What is clear is that the top ten EV battery cell manufacturers in the world in terms of installed battery capacity are all concentrated in the three countries of China, Korea and Japan. The development of lithium-ion battery cell manufacturing in other regions of the world is relatively slow.

Top 10 Global EV Battery Installations in 2021

In countries outside of China, Japan and Korea, there are many challenges and bottlenecks faced by emerging battery cell manufacturers, such as lack of technology base, industry chain, core technical personnel and construction experience, etc.

Challenge 1: Lack of technical foundation

European battery cell manufacturers: They are years behind Asia in terms of technology reserves of core materials for battery cells, such as battery anode active materials, battery cathode active materials, battery electrolyte and battery separator, etc.

Battery cell manufacturers in Southeast Asia and South Asia: Lack of local leaders of large battery cell manufacturers and related technology accumulation.

Challenge 2: Lack of industry chain support

U.S. battery cell manufacturers: raw materials such as battery anode active material, battery cathode active material, battery electrolyte and battery separator are all dependent on imports.

European battery cell manufacturers: raw materials such as battery electrolyte and battery separator are dominated by Asian producers.

Challenge 3: Lack of core talents

North American battery cell manufacturers: lack of skilled engineers in manufacturing, need to bring in skilled personnel, higher cost required.

European battery cell manufacturers: overall labor shortage, need to bring in talents from Asia, but the labor visa application process is more complicated.

Challenge 4: Lack of construction experience

U.S. battery cell manufacturers: the hollowing out of manufacturing makes production costs high, A123 has tried to move the battery production line back but suffered serious losses, and was eventually acquired by Chinese companies.

European battery cell manufacturers: lack of systematic methodology support in integration, tuning, calibration, cost control, etc.

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