Can economies of scale be used in battery manufacturing?

The study at hand provides transparency on and guidance to the exploitation of economies of scale in battery manufacturing, thereby supporting a key lever for the battery cost reductions that are required for a self-sustaining market breakthrough of battery-powered products.

What are technical economies of scale in battery research?

In battery research, technical economies of scale have been mentioned in several publications focusing on cost-efficient cell design , pack design , material processing , production flexibility and overall battery cost estimation , .

Does process-based cost modeling reflect economies of scale in Battery sizing?

For optimal plant sizing, no consensus has yet been achieved in the battery literature and a detailed analysis of economies of scale is unavailable. To close this gap, a process-based cost modeling approach is taken that reflects the determinants of economies of scale.

What is the base scenario for battery production?

For the Base Scenario, the battery literature is surveyed regarding characteristics that represent both, the state-of-the-art production technology and materials and designs that are currently in use for large-scale production. Further, a typical high-cost country for battery manufacturing is assumed as plant location.

What is the value chain depth and concentration of the battery industry?

Value chain depth and concentration of the battery industry vary by country (Exhibit 16). While China has many mature segments, cell suppliers are increasingly announcing capacity expansion in Europe, the United States, and other major markets, to be closer to car manufacturers.

What do we really need to transform the battery industry?

And despite cell pushes and subsidies that drive the sector, for the full transformation what we really need is to ensure that batteries are also competitive on the market and building at scale fast, and to continuously reduce capex [capital expenditures] to actually allow us to get there. Daphne Luchtenberg: Fantastic.