December 12 According to the latest report from Benchmark Mineral Intelligence, the number of lithium battery plants under construction in the world is rapidly surging.
Benchmark Mining said in a Monday note that there are currently 26 "super-battery factories" under construction in the world and will be put into production by 2021. The report uses the term "Megafactory" to describe large lithium battery plants that produce 100 million Wh per year.
In contrast, at the time of 2014, only three lithium battery factories of similar scale were under construction in the world at that time.
It is worth noting that while not all planned plants will eventually come on stream, benchmark mining analyst Caspar Rawles said in an interview with CNBC that most of them are likely to be completed.
Rawles said: "The current situation has changed, every factory on the list are very much hope that eventually be able to enter the production stage." The global growth in demand for electric vehicles to promote the proliferation of lithium battery factories. The peak sales of electric vehicles are expected to start around 2022 or around 2023. There are already many car manufacturers plan to launch a variety of pure electric models during this period.
The agency predicts that by 2025 the total global demand for lithium batteries will reach 50 billion Wh, compared with 8.5 billion last year.
A large part of this demand comes from China, which has driven the development of EVs in China due to concerns about environmental quality. In the benchmark mining report, plans to build lithium battery plant in China accounted for a large part of the proportion of nearly 49%.
The EU ranks second, accounting for 23% of the total plan, the United States third, accounting for about 15%.
The report also pointed out that Tesla has said it plans to expand its ultra-battery plant capacity in Nevada to eventually reach its goal of 15 billion Wh.
However, building a factory is just one of the many challenges that the report states is that the bigger issue is how to get more raw materials.
Source: China Battery Network