Electrification
EVs vs. Gas Vehicles: What Are Cars Made Out Of?
EVs vs. Gas Vehicles: What Are Cars Made Out Of?
Electric vehicles (EVs) require a wider range of minerals for their motors and batteries compared to conventional cars.
In fact, an EV can have up to six times more minerals than a combustion vehicle, making them on average 340 kg (750 lbs) heavier.
This infographic, based on data from the International Energy Agency (IEA), compares the minerals used in a typical electric car with a conventional gas car.
Editor’s note: Steel and aluminum are not shown in analysis. Mineral values are for the entire vehicle including batteries and motors.
Batteries Are Heavy
Sales of electric cars are booming and the rising demand for minerals used in EVs is already posing a challenge for the mining industry to keep up. That’s because, unlike gas cars that run on internal combustion engines, EVs rely on huge, mineral-intensive batteries to power the car.
For example, the average 60 kilowatt-hour (kWh) battery pack—the same size that’s used in a Chevy Bolt—alone contains roughly 185 kilograms of minerals, or about 10 times as much as in a typical car battery (18 kg).
Lithium, nickel, cobalt, manganese, and graphite are all crucial to battery performance, longevity, and energy density. Furthermore, EVs can contain more than a mile of copper wiring inside the stator to convert electric energy into mechanical energy.
Out of the eight minerals in our list, five are not used in conventional cars: graphite, nickel, cobalt, lithium, and rare earths.
| Mineral | Content in electric vehicles (kg) | Content in conventional cars (kg) |
|---|---|---|
| Graphite (natural and synthetic) | 66.3 | 0 |
| Copper | 53.2 | 22.3 |
| Nickel | 39.9 | 0 |
| Manganese | 24.5 | 11.2 |
| Cobalt | 13.3 | 0 |
| Lithium | 8.9 | 0 |
| Rare earths | 0.5 | 0 |
| Zinc | 0.1 | 0.1 |
| Others | 0.3 | 0.3 |
Minerals listed for the electric car are based on the IEA’s analysis using a 75 kWh battery pack with a NMC 622 cathode and graphite-based anode.
Since graphite is the primary anode material for EV batteries, it’s also the largest component by weight. Although materials like nickel, manganese, cobalt, and lithium are smaller components individually, together they make up the cathode, which plays a critical role in determining EV performance.
Although the engine in conventional cars is heavier compared to EVs, it requires fewer minerals. Engine components are usually made up of iron alloys, such as structural steels, stainless steels, iron base sintered metals, as well as cast iron or aluminum alloyed parts.
EV motors, however, often rely on permanent magnets made of rare earths and can contain up to a mile of copper wiring that converts electric energy into mechanical energy.
The EV Impact on Metals Markets
The growth of the EV market is not only beginning to have a noticeable impact on the automobile industry but the metals market as well.
EVs and battery storage have already displaced consumer electronics to become the largest consumer of lithium and are set to take over from the stainless steel industry as the largest end-user of nickel by 2040.
In 2021 H2, 84,600 tonnes of nickel were deployed onto roads globally in the batteries of all newly sold passenger EVs combined, 59% more than in 2020 H2. Moreover, another 107,200 tonnes of lithium carbonate equivalent (LCE) were deployed globally in new EV batteries, an 88% increase year-on-year.
With rising government support and consumers embracing electric vehicles, securing the supply of the materials necessary for the EV revolution will remain a top priority.
Electrification
Charted: 4 Reasons Why Lithium Could Be the Next Gold Rush
Visual Capitalist has partnered with EnergyX to show why drops in prices and growing demand may make now the right time to invest in lithium.
4 Reasons Why You Should Invest in Lithium
Lithium’s importance in powering EVs makes it a linchpin of the clean energy transition and one of the world’s most precious minerals.
In this graphic, Visual Capitalist partnered with EnergyX to explore why now may be the time to invest in lithium.
1. Lithium Prices Have Dropped
One of the most critical aspects of evaluating an investment is ensuring that the asset’s value is higher than its price would indicate. Lithium is integral to powering EVs, and, prices have fallen fast over the last year:
| Date | LiOH·H₂O* | Li₂CO₃** |
|---|---|---|
| Feb 2023 | $76 | $71 |
| March 2023 | $71 | $61 |
| Apr 2023 | $43 | $33 |
| May 2023 | $43 | $33 |
| June 2023 | $47 | $45 |
| July 2023 | $44 | $40 |
| Aug 2023 | $35 | $35 |
| Sept 2023 | $28 | $27 |
| Oct 2023 | $24 | $23 |
| Nov 2023 | $21 | $21 |
| Dec 2023 | $17 | $16 |
| Jan 2024 | $14 | $15 |
| Feb 2024 | $13 | $14 |
Note: Monthly spot prices were taken as close to the 14th of each month as possible.
*Lithium hydroxide monohydrate (MB-LI-0033)
**Lithium carbonate (MB-LI-0029)
2. Lithium-Ion Battery Prices Are Also Falling
The drop in lithium prices is just one reason to invest in the metal. Increasing economies of scale, coupled with low commodity prices, have caused the cost of lithium-ion batteries to drop significantly as well.
In fact, BNEF reports that between 2013 and 2023, the price of a Li-ion battery dropped by 82%.
| Year | Price per KWh |
|---|---|
| 2023 | $139 |
| 2022 | $161 |
| 2021 | $150 |
| 2020 | $160 |
| 2019 | $183 |
| 2018 | $211 |
| 2017 | $258 |
| 2016 | $345 |
| 2015 | $448 |
| 2014 | $692 |
| 2013 | $780 |
3. EV Adoption is Sustainable
One of the best reasons to invest in lithium is that EVs, one of the main drivers behind the demand for lithium, have reached a price point similar to that of traditional vehicle.
According to the Kelly Blue Book, Tesla’s average transaction price dropped by 25% between 2022 and 2023, bringing it in line with many other major manufacturers and showing that EVs are a realistic transport option from a consumer price perspective.
| Manufacturer | September 2022 | September 2023 |
|---|---|---|
| BMW | $69,000 | $72,000 |
| Ford | $54,000 | $56,000 |
| Volkswagon | $54,000 | $56,000 |
| General Motors | $52,000 | $53,000 |
| Tesla | $68,000 | $51,000 |
4. Electricity Demand in Transport is Growing
As EVs become an accessible transport option, there’s an investment opportunity in lithium. But possibly the best reason to invest in lithium is that the IEA reports global demand for the electricity in transport could grow dramatically by 2030:
| Transport Type | 2022 | 2025 | 2030 |
|---|---|---|---|
| Buses 🚌 | 23,000 GWh | 50,000 GWh | 130,000 GWh |
| Cars 🚙 | 65,000 GWh | 200,000 GWh | 570,000 GWh |
| Trucks 🛻 | 4,000 GWh | 15,000 GWh | 94,000 GWh |
| Vans 🚐 | 6,000 GWh | 16,000 GWh | 72,000 GWh |
The Lithium Investment Opportunity
Lithium presents a potentially classic investment opportunity. Lithium and battery prices have dropped significantly, and recently, EVs have reached a price point similar to other vehicles. By 2030, the demand for clean energy, especially in transport, will grow dramatically.
With prices dropping and demand skyrocketing, now is the time to invest in lithium.
EnergyX is poised to exploit lithium demand with cutting-edge lithium extraction technology capable of extracting 300% more lithium than current processes.
Electrification
Ranked: The Top 10 EV Battery Manufacturers in 2023
Asia dominates this ranking of the world’s largest EV battery manufacturers in 2023.
The Top 10 EV Battery Manufacturers in 2023
This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.
Despite efforts from the U.S. and EU to secure local domestic supply, all major EV battery manufacturers remain based in Asia.
In this graphic we rank the top 10 EV battery manufacturers by total battery deployment (measured in megawatt-hours) in 2023. The data is from EV Volumes.
Chinese Dominance
Contemporary Amperex Technology Co. Limited (CATL) has swiftly risen in less than a decade to claim the title of the largest global battery group.
The Chinese company now has a 34% share of the market and supplies batteries to a range of made-in-China vehicles, including the Tesla Model Y, SAIC’s MG4/Mulan, and Li Auto models.
| Company | Country | 2023 Production (megawatt-hour) | Share of Total Production |
|---|---|---|---|
| CATL | 🇨🇳China | 242,700 | 34% |
| BYD | 🇨🇳China | 115,917 | 16% |
| LG Energy Solution | 🇰🇷Korea | 108,487 | 15% |
| Panasonic | 🇯🇵Japan | 56,560 | 8% |
| SK On | 🇰🇷Korea | 40,711 | 6% |
| Samsung SDI | 🇰🇷Korea | 35,703 | 5% |
| CALB | 🇨🇳China | 23,493 | 3% |
| Farasis Energy | 🇨🇳China | 16,527 | 2% |
| Envision AESC | 🇨🇳China | 8,342 | 1% |
| Sunwoda | 🇨🇳China | 6,979 | 1% |
| Other | - | 56,040 | 8% |
In 2023, BYD surpassed LG Energy Solution to claim second place. This was driven by demand from its own models and growth in third-party deals, including providing batteries for the made-in-Germany Tesla Model Y, Toyota bZ3, Changan UNI-V, Venucia V-Online, as well as several Haval and FAW models.
The top three battery makers (CATL, BYD, LG) collectively account for two-thirds (66%) of total battery deployment.
Once a leader in the EV battery business, Panasonic now holds the fourth position with an 8% market share, down from 9% last year. With its main client, Tesla, now effectively sourcing batteries from multiple suppliers, the Japanese battery maker seems to be losing its competitive edge in the industry.
Overall, the global EV battery market size is projected to grow from $49 billion in 2022 to $98 billion by 2029, according to Fortune Business Insights.
-
Electrification3 years agoRanked: The Top 10 EV Battery Manufacturers
-
Electrification2 years agoThe Key Minerals in an EV Battery
-
Real Assets3 years agoThe World’s Top 10 Gold Mining Companies
-
Misc3 years agoAll the Metals We Mined in One Visualization
-
Electrification2 years agoMapped: Solar Power by Country in 2021
-
Energy Shift2 years agoWhat Are the Five Major Types of Renewable Energy?
-
Electrification2 years agoThe World’s Largest Nickel Mining Companies
-
Misc3 years agoThe Largest Copper Mines in the World by Capacity