The global electric vehicle battery market will grow at a compound annual rate of 19% from 2022-27

According to the announcement released by Markets and Marktets, an international market research institution, the global electric vehicle battery market is expected to grow at a compound annual growth rate of 19.
0% from 2022 to 2027, and its market size is expected to grow from $56.
4 billion in 2022 to $134.
6 billion in 2027.

The EV battery market is being driven
by factors such as rising demand for EVs, advancements in battery technology, government incentives and regulations, and the launch of new plug-in EV models.

Due to growing concerns about the environmental impact of conventional vehicles, governments around the world are promoting vehicles
that use alternative fuels.
Electric vehicles are a zero-emission, eco-friendly form of public transport that is gaining popularity
worldwide.
To promote the use of electric vehicles, some governments offer financial incentives such as tax exemptions and rebates, subsidies, reduced parking/tolls for electric vehicles, and free charging
.
As a result, demand for EV batteries is growing
across the board.

Leading EV markets such as China, the US and Germany are investing heavily in
EV charging infrastructure in addition to developing faster and more efficient charging technologies.
Automakers are expected to invest heavily to meet the growing demand for electric vehicles and reshape the industry
.

From the perspective of battery type, the market of 50-110 kWh is the largest
during the forecast period.
Most batteries used in electric vehicles have an operating range of 50-110
kilowatt-hours (kWh).
In general, the main advantages of 50-110 kWh batteries are fast charging speed, low price, and high
energy efficiency.
Therefore, the major players in the electric vehicle market have deployed battery capacities
of 50 ~ 110 kWh in order to remain competitive in the competition.
For example, Tesla Model S, Tesla Model X, Tesla Model 3 and Chevrolet's Bolt EV have battery capacities ranging from
50-110 kWh.

On the other hand, the difficulty and cost of obtaining battery materials are also restricting the development of
the market.
For example, cobalt extraction facilities are concentrated in Congo and China
.
Together, the two countries account for about 70-80%
of global cobalt production.
This increases the risk of
disruption of cobalt supply in the event of any uncertainty in these countries.

In lithium-ion batteries, graphite is used as an anode material
.
Among all battery raw materials, it has the largest volume proportion and contributes a lot
to the cost of battery manufacturing.
For years, China dominated almost the entire supply chain, producing 70 percent of flake graphite, and about 50 percent of synthetic graphite used in these batteries
.
Exploration activities have become increasingly active in recent years, particularly in Africa
.
New oil production locations in Tanzania, Madagascar and Mozambique could ease pressure on a highly integrated global market
.

Currently, only a handful of companies and Australia, Chile and Argentina are allowed to mine lithium, and only four control more than 60% of the world's supply
.
However, the recent lithium boom shows that the lithium industry is undergoing major transformations
.
In addition to expanding existing facilities, other countries such as Canada, Mexico and Bolivia are also planning and implementing large-scale projects
.

The nickel market is heavily dependent on primary nickel supplies from Southeast Asia, especially Indonesia
.
To ensure that a significant portion of the value chain remains in Indonesia, Indonesia banned the export
of nickel ore in 2020.