major players and their expansion plans By Reuters
By Heekyong Yang
SEOUL (Reuters). – A growing shortage of skills has resulted in a global race for battery manufacturers. Read the main story
According to Deloitte, the global sales of EVs is estimated to be 2.5 million units in 2020. By 2030, it will grow 12 times to 31.1 millions and make up nearly a third to new vehicle sales.
These are the major players in China’s key EV market, as well as those of America and Europe.
End-June saw the Chinese company produce 65.45 Gigawatts (GWh) annually and have an additional 92.5 GWh in construction.
The global industry leader by market share, its clients include Volkswagen (DE:), General Motors (NYSE:), BMW >BMWG.DE> and Daimler (OTC:) as well as Chinese auto makers.
In August, the company revealed a plan to establish a Shanghai production base. This will allow it to be close to Tesla’s Chinese manufacturing base.
LG ENERGY SULT (LGES)
South Korean leaders expect their production capacity to rise to 155 GWh before the end of 2012 and plan to double it to 430 GWh for 2025. This could produce enough power to power around 7.2 million EVs.
Through 2025, it plans to invest over $4.5 billion into its U.S.-based battery manufacturing business. LGES will be able to produce 70 GWh in batteries by 2024 thanks to two plants it has built in Ohio, Tennessee and jointly with GM.
LGES already owns a Michigan factory with a production capacity of five GWh.
It has already invested 5.7 trillion won (4.8 billion dollars) in China to make cylindrical batteries for Tesla. The company also plans to invest an additional 1.5 trillion won.
Since 2016, it has spent 6.8 trillion won to invest in Poland to ensure a 70 GWh annual production capacity. It also plans to continue to invest 2.5 trillion won.
LGES announced that it would jointly invest $1.1 million to set up an Indonesian EV-battery cell plant.
The Japanese company manufacturers cylindrical NMA (Nickel-Manganese-Aluminum) batteries in the United States at a plant in Nevada and in facilities in Japan. All proceeds go to Tesla.
While it doesn’t disclose the manufacturing capacities of its plants, in May, Tesla announced that they would be expanding their 35-GWh Nevada plant to meet increased demand. In 2014, the Nevada plant was inaugurated. It cost $1.6 billion to build.
Panasonic (OTC) will start a Japanese test line this year in order to manufacture a cylindrical Tesla-designed battery. This is expected to reduce the battery cost by half. The company also operates a joint venture in Japan with Toyota Motor (NYSE:) established in February, Prime Planet Energy & Solutions, to develop prismatic batteries.
Although the company stated that it was considering building an automotive battery plant in Norway, to grow into Europe, they have yet to provide details.
SK On’s combined annual global production capacity is 40 GWh – China has 27 GWh, Hungary has 7.5 GWh and South Korea the remainder.
It intends to grow that to more than 5 times to 220 GWh in 2025. The expansion is mainly focused on U.S. markets.
SK On has built two EV batteries plants in Georgia, with a combined annual capacity of 21.5 GWh. Production will start as early as 2022.
Ford Motor (NYSE.) Co has a 10.2 trillion won investment program to construct three battery plants in America with a combined annual output of 129 GWh. This is enough power to fuel approximately 2.2 million EVs.
Samsung Electronics (OTC) Co Ltd is an affiliate that has EV-battery cell plant in Hungary, China, and South Korea.
It doesn’t disclose its breakdowns or production capabilities.
Reuters reported in July that Ford and BMW customers could be building a new battery cell manufacturing plant in America. Samsung (KS) SDI is in discussions to provide batteries at an American factory that could be used by EV manufacturers Stellantis or Rivian. This potential U.S. facility would have Amazon (NASDAQ) and Ford backing.
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