This shortage is an addition to that and its a lot more critical than youd think today Ill tell you about the impending electric vehicle battery shortage. The media has been trying hard to get people to adopt EVS because of ecological benefits. Well, Ive been telling them for years. You shouldnt get an EV at least not for now, but today Ill also tell you about the newest problems with EVS theyre. Not many people know about at least not yet most people know that by 2035 you wont be able to purchase a new combustion engine car here in the U.S. One major reason for this ban is to break free from dependency on foreign oil imports. Think countries like Mexico, Saudi Arabia, Russia and Canada, but if you think the US will become less dependent oddly enough, this shift to EVS will just make us even more dependent, but this time well be ever more dependent on China heres. The thing China is the top EV battery producer in the world. The country makes 558 gigawatt hours of EV battery capacity annually. Put that into perspective a gigawatt hour is 1 million kilowatt hours. The battery of a Tesla Model 3 standard range has an estimated total capacity of 50 kilowatt hours. This amount of battery capacity, China is producing, could Supply almost 11.2 million Tesla model series that might sound like a lot. So youre probably wondering why theres a battery shortage. Well, get into that later, but for now look were talking a mass of 79 percent of the worlds total China dominates other parts of the battery supply chain, two like when it comes to Mining and refining battery minerals like lithium and graphite.

If youre wondering where the US Falls in place where the second largest ev battery producer in the world, we make 44 gigawatt hours, we might be number two, but 44 gigawatt hours is nowhere near Chinas, 558 gigawatt hours. The us only makes about 6.2 percent of the world total. The majority of this total is thanks to the Tesla Panasonic gigafactory in Nevada. This Factory is outputting a whopping 37 gigawatt hours of annual capacity. That makes it the single largest battery factor in the entire world. Next, up is Hungary, which makes up 28 gigawatt hours or four percent of the worlds total then its Poland, at three percent and South Korea at 2.5 percent. But this list of countries is in for a big shift in 2025, its all going to change, and the reason for this has to do with recent Investments to build battery factories here in the U.S recently automakers have been investing billions in EV battery factories. Hyundai is spending 5.5 billion on a battery and EV plant in Georgia. Operations are expected to open during the first half of 2025.. This new Factory will have an annual production capacity of 300 000 vehicles, and the factory will create around 8 100 new jobs. Ford is building a new plant in Kentucky. Gm is partnering with the appliance maker LG develop a battery Factory in Michigan. Even stalantis and Samsung are building a 2.5 billion dollar facility in Indiana solanus projects that this new assembly plant will create around 1400 new jobs.

But heres the question: why are these companies doing this? Well heres? The thing chances are at least one crucial component. Your EV came from China. At this point, the majority of EV battery cells are made in China, but automakers want that to change. They dont want to remain dependent on China for these parts, even President Biden is putting over three billion dollars into the EV battery supply chain, but now lets talk about the five largest DV battery makers in the world. These five companies are Frontline contributors, critical to the growth of the industry. Interestingly enough, all these companies are based in the same continent. If you guessed Asia, youd be right. The number one largest DV battery maker in the world is contemporary and Forex Technology. Company Limited also known as cattle cattle is a Chinese technology, and Battery manufacturing company was founded in 2011.. They specialize in manufacturing, EV, Lithium ion batteries and energy storage solutions. They also specialize in battery Management Systems last year, their installed capacity reached 96.7 gigawatt hours. That was an increase of 167 percent from the year prior. This one company makes more EV batteries than the US. Poland, concrete combined cattle supplies, batteries to Major EV automakers like Volkswagen and even Tesla theyve, also taken major steps in the development of sodium ion cells. Technology and theyre also set to take the lead in producing the cheaper alternative to nmc batteries. The second largest DV battery manufacturer in the world is LG entity, Solutions or lges for sure.

Lges makes up 20 percent of the global EV battery market and they have an impressive install capacity of 60 gigawatt hours and LG es has some big future plans on on Horizon the company plans to invest a total 2.6 billion with GM to build their third joint Battery plant right here in the U.S, together with this plant, they plan to secure an annual capacity of about 50 gigawatt hours. That would be enough energy to power around 700 000 EVS taking a number three spot is Panasonic. Panasonic is a major Japanese, multinational conglomerate company and their headquarters are in kodoma Osaka. They have an installed capacity of 36.1 gigawatt hours. Their lithium batteries are known for being both efficient and environmentally friendly. Did you know that Panasonic is the soil maker of the advanced Tesla battery and as soon as 2023, Panasonic also plans to produce a new lithium ion battery for Tesla? Besides Tesla batteries, Panasonic also supplies battery cells for full electric vehicles, hybrid and plug in hybrid lines, and the company plans to invest 705 million ports production facilities in Japan. The fourth largest DV battery maker in the world is byd. Byd is actually an acronym for build. Your dreams did you know that byd officially launched revolutionary blade battery pack in 2020., the batter uses lfp technology. That means this battery doesnt use Cobalt or nickel, its less prone to overheating. It has a longer shelf life and its cheaper than most lithium ion cells.

To build and the fifth largest ev battery maker in the world is SK on not related to SK, as in Scotty Kilmer. This company has a spin off at the beginning of October and its the battery division of SK Innovation based on South Korea. Their batteries are known for performance and safety and theyre competitively priced. Did you know that SK was one of the first to Market ternary, lithium batteries, its a type of lithium ion battery that uses nickel, Cobalt and manganese or aluminum as cathode material, rather than lithium? Cobalt. Acid, we typically see in a lithium ion battery, but now lets jump back into the largest DV battery Manufacturing Company in the world. Cattle well theyve held the number one spot for five years in a row. I know what youre thinking, what have they done so special to earn them that spot. Well, you see, Chinese companies have been able to secure large amounts of raw materials needed for battery channel has been particularly successful in this area and they have major supporters in the Chinese government as well. In the past, whenever cattle ran into a problem, the Chinese government was more than happy to Dole out the needed funds. Chinese policy Banks even provided over 100 million to cattle for some projects. Did you know that Robin Zang, the founder and chairman of cattle, is one of the wealthiest men in Asia hes worth well over 60 billion dollars within just a year of setting up cattle saying you had already started a subsidiary in western China and guess what it Was large, dried out salt beds with thick underground brine full of lithium, despite all this theres, a huge problem in the EV industry, believe it or not, theres an impending battery shortage and that problem wont just affect a few specific countries.

Itll affect the global industry as a whole. Recently RJ scaringe, the CEO of rivian, sent out a warning to the EV industry. He warned that the EV industry could be in for a dire shortage of materials needed to make batteries and with the ongoing semiconductor chip shortage. An EV battery shortage is the last thing. Automakers need scaring said that the current semiconductor chip shortage is only a small appetizer to what we are about to feel on battery cells over the next two decades. Right now, the total Global battery cell production combined represents well under 10 percent of what well need in 10 years. That means a 90 to 95 percent of the supply chain that well need doesnt, actually exist and thats a serious problem, but rivian is preparing themselves now. In the Calm before the massive storm, the company is currently targeting multiple suppliers and they plan to invest in building batteries in house in an air term. Unfortunately, thats, not just it theres, more lower availability of raw materials needed to produce EBS means that EV production costs will soar. In fact, the cost of EV production is primed to Surge to new highs over the next four years. Some have even described this price search as a coming tsunami that the battery industry is not ready for this surge in battery costs may even drive up the price of EVS sold in 2026 by an additional fifteen hundred to three thousand dollars per EV car.

Did you know that in 2020, Elon Musk was urging the mining industry to increase their nickel extraction? He even added that Tesla would offer a giant contract for a long period of time if these companies might nickel efficiently and an environmentally sensitive way. Carlos Tavares, the CEO of stalantis, has also warned about this upcoming shortage. He expects a shortage of EV batteries to arrive 2024 2025. and by 2027 to 2028. He expects the lack of raw materials for EVS to really slow their availability and adoption EVS are being adopted faster than ever right now, but according to the virus, this adoption speed is so high that the supply chain and the production capacity is at no time to Adjust governments around the world are pushing for combustion engine bands by 2030 or 2035.. The Biden Administration even announced the Target that half of all vehicles in the U.S should be EVS by the end of the decade, but according to the virus. This is all going too fast. Interestingly enough, Tavares also warned that the shift to Electric production could create geopolitical risks. This is because countries may need to start depending on minerals mined in countries that are seen as strategic Rivals. He added that not everyone may like the way that these materials are going to be sourced in the next few years. Meanwhile, price of lithium has risen almost 900 percent in the last 18 months already because of this, many assume that the capital markets would begin establishing dozens of new lithium mining projects, but that has not been the case.

Instead, there have only been a few Investments and most of them originate from China for the Chinese supply chain. Only speaking of China theres a major Chinese EV Manufacturing Company, considering the factor in the U.S and that company is called Neo right now. Cars from China are subject to a 25 import Duty, so this new US Factory would create a way to avoid some or even all, of these import tariffs. Now technically, Neo has yet to confirm or deny the reports. This is all just based on reports from the media, but heres one thing that started the speculations in the first place. Neo is currently hiring for manufacturing and planning Specialists, body process, specialist infrastructure Specialists and logistic project managers sounds like your average manufacturing job advertisement. Well, get this: all of these positions are overseas. Every single one just take a look at the overseas planning space specialist position. Candidates for this position also need to be familiar with U.S state policies, design codes and planning submission processes, and they need to be familiar with U.S master plan principles and process planning. If theyre not planning to have plant in the U.S. What else could it possibly be? Neil coming to the U.S would put pressure on American automakers, especially if they offer cheaper Vehicles. Really, the key will be the price thats. How Japanese brands got started here in the U.