The global battery value chain

28 nov, 2022Insight

The lithium-ion battery has revolutionized the economy, yet the growth in the coming decade will dwarf the development so far. Projections indicate that demand will be ten times as high in 2030 as it was in 2020. The speed and scale of demand growth will undoubtedly cause challenges. Companies need to devise and execute strategies, including up- and downstream integration, joint ventures, and partnerships. In battery production, ever bigger factories, especially in currently trailing markets such as Europe, strain supplies of materials, equipment, and personnel.

These pressures will become more pronounced in the next few years, as regions other than China seek to establish regional supply chains closer to production and end-user markets. The speed and scale of the capacity buildup will undoubtedly also create dynamics that drive the development of new sources of supply, chemistry choice and battery technology, recycling, customer demand and OEM product design.

To monitor the rapidly evolving global mobile energy storage ecosystem, Blue Institute initiated an executive network in 2019, consisting of Volvo, Polestar, Boliden, Electrolux, Husqvarna, Veoneer, Alstom and Linde. The network commissioned Blue Institute to conduct this study and report as an overview of the global value chain dynamics.