A new study by Bank of America(BoA) suggests OEMs face the threat of a global battery shortage for Evs as soon as 2025. The banks Global Research arm has raised its estimate for global penetration for all EVs, including BEVs and plug in hybrids to reach 23% by 2025 and to 40% by 2030. The report indicates its EV battery supply demand model suggests the global EV battery supply will likely hit a sold out situation by 205-26. The report goes on to note that shortages could intensify further in the period 2026 to 2030 due to increased EV penetration in all markets.
A separate study by Ameya Joshi, Director of Emerging Technologies and Regulation at Corning Inc, corroborates the BoA report. The Corning study estimates battery supply and related minerals will be a limiting step for EV penetration going forward. According to the study if EV share in the U.S. hits 25% by 2030 it will require the construction of at least 10 gigafactories in the U.S. to meet demand. If penetration reaches 100% by 2040 the number of factories jumps to 40.
While OEMs look for ways to build more batteries, they are also investing in new technologies, such as solid-state batteries and changing the composition of its batteries like Tesla is doing, reducing the amount of cobalt required in them.
For more: https://www.thedetroitbureau.com/2021/07/automakers-facing-potential-ev-battery-shortage-as-early-as-2025/