Korean Trio's Combined Share Drops by 8.5%p
Market research firm SNE Research said on Oct. 6 that the global EV battery usage was 287.6 GWh in January to August this year, up 78.7 percent from a year ago.
The use of CATL EV batteries increased 114.7 percent year on year to 102.2 GWh and the company’s market share rose from 29.6 percent to 35.5 percent. In contrast, the market share of LG Energy Solution dropped from 22.3 percent to 13.7 percent and the combined market share of SK On, Samsung SDI and LG Energy Solution fell from 33.5 percent to 25 percent. The use of BYD EV batteries increased more than 192 percent year on year.
The Chinese companies are expanding their overseas business at a rapid pace. For example, CATL, whose main product is prismatic, recently announced that its cylindrical batteries would be supplied to BMW starting from 2025. At present, cylindrical batteries are the main products of LG Energy Solution, Samsung SDI and Panasonic.
CATL is currently building a plant with an annual production capacity of 100 GWh in Hungary at an investment of 7.3 billion euros. It is CATL’s second plant in Europe behind that in Germany scheduled to be put into operation this year. It is considering building its third plant in Europe to double its output.
China is dominating EV battery minerals and this is a huge advantage for Chinese EV battery makers. When it comes to mineral processing and smelting, China’s market shares amount to 50 percent to 70 percent in different segments. Raw materials used by South Korean EV battery manufacturers are imported from China in most cases.