TimesEV
TimesEV
TimesEV
TimesEV
TimesEV
TimesEV
More
    HomeEV ProductsBatteriesBigger Battery Metal Costs Could keep Electric Cars Expensive

    Bigger Battery Metal Costs Could keep Electric Cars Expensive

    A surge in battery metal prices means it could take several years longer for electric vehicles to become as affordable as conventional cars.
    Prices of lithium, cobalt and nickel have soared in the past year, eating into EV makers’ margins at a crucial point in the development of the burgeoning industry. With demand climbing, they now face a dilemma: swallow the incremental costs, or try passing them on to consumers.

    Before the rally, battery prices were nearing levels that would make upfront costs of EVs competitive with traditional cars without state subsidies. But that’s now starting to change. Battery pack prices are set to rise this year for the first time in more than a decade, and broader inflation could severely delay a crucial tipping point where average battery prices fall below $100 a kilowatt-hour.
    “Reducing battery pack prices to $100 a kilowatt-hour is now an achievable goal with the emerging generation of battery chemistries and cell designs,”. “However, if raw-material prices remain elevated, or climb further, this point could be delayed by several years.”

    One measure of lithium prices has spiked more than fivefold over the past year, while cobalt and nickel prices also have climbed.

    There are some signs of relief for carmakers, however, with lithium, cobalt and nickel prices retreating or steadying in recent weeks. And while long-term prospects remain strong, Goldman Sachs Group Inc. expects the price of those three crucial metals to ease in the next two years as producers race to bring on new supply.

    At the same time, sticker prices for conventional cars are rising, as well, and high fuel prices are making EVs more attractive.

    “The rising cost of batteries does not derail near-term EV adoption,” . “Some of the factors that are driving high battery raw-material costs — war, inflation, trade friction — are also pushing the price of gasoline and diesel to record highs.”

    Related Post

    Most Popular

    Best Picks

    Veridify, Overcoming the challenges of OT security in building automation with an STM32

    Despite popular belief, it is possible to secure legacy embedded systems properly, even if they lack today’s iron-clad cryptographic capabilities, the latest protections, or...

    Tsuyo’s Vision for Future Manufacturing: Incorporating Emerging Technologies and...

    Tsuyo Manufacturing is deeply committed to offering highly reliable, robust, and durable products designed to withstand a wide range of exposure and service conditions...

    Revamp Moto’s Vision for Advanced EV Features and Industry...

    Revamp Moto is a dynamic and forward-thinking electric vehicle (EV) startup, firmly committed to providing sustainable and adaptive E-mobility solutions. Their primary focus centres...

    ST and ZF sign multi-year supply agreement for Silicon...

    Silicon Carbide technology is widely used in semiconductor material which are easy to fabricate and provides good general electrical and mechanical properties. However, it...

    Exploring Electrochemical Properties: Unraveling Battery Performance and Behavior

    Automotive Test Systems stands as a trailblazing company with an extensive and diverse background in Product Validation, Structural Testing, Data Acquisition and Analysis, Vehicle...

    WISE Testing Solutions: Comprehensive Products and Services for Vehicle...

    WISE Testing Solutions Pvt. Ltd., a privately held company registered as a limited company, aims to provide a comprehensive range of products and services...

    Anton Paar: Revolutionizing EV Battery Testing with Standardization Initiatives

    Anton Paar, a distinguished company specializing in the development, production, and distribution of precision laboratory instruments and process measuring systems, alongside delivering customized automation...

    Exploring the Challenges and Testing Methods for Electric Vehicle...

    Aimil Ltd. is an esteemed organization celebrated for its exceptional expertise spanning multiple domains such as electric vehicle battery testing (both electrical and mechanical),...

    “The core idea behind u-blox has always been to...

    u-blox develops some of the world’s leading IoT communication and GNSS modules, chips and services supporting the industrial, automotive and consumer markets. Recently Andreas...

    Must Read