Thursday, May 6

electric cars face rising battery lithium nickel cobalt costs


A GM employee poses with an example of the company’s next-generation lithium metal batteries at GM Chemical and Materials Systems Lab in Warren, Michigan, September 9, 2020.

Steve Fecht | General Motors | Handout | via Reuters

BEIJING — Growing demand for electric car batteries will cause prices of the main materials to surge, Goldman Sachs analysts said in a March 18 note.

That in turn will drive prices of batteries higher by about 18%, affecting the total profit of electric car makers since the battery accounts for about 20% to 40% of the vehicle cost, the Goldman analysts said.

While the report didn’t give specific price targets for the commodities, the analysts’ model predicted a return to historical peak prices would more than double the cost of lithium for electric battery makers. That of cobalt would also double, while the cost of nickel would rise by 60%.

A new type of battery



Source link

Leave a Reply

Your email address will not be published.