Projected battery demand worldwide by application 2024-2028

The global demand for batteries is expected to increase from 185 GWh in 2020 to over 2,000 GWh by 2030. Despite the prevalence of consumer electronics in 2020, the small energy capacities of gadgets such as phones mean that, in terms of gigawatts, the demand is relatively low. This large increase is mainly due to the electrification of transport which will account for the vast majority of battery demand in 2030 in terms of total energy storage capacity.

E-mobility drives battery demand

A number of countries have seen significant growth in electric vehicle sales, with China leading the way by recording over 430,000 units sold in the first half of 2019. China is also expected to dominate the electric vehicle industry, with plans to adopt the use of approximately 532,000 electric buses in the public transportation sector by 2022. Several countries have the intention of moving to more environmentally sustainable methods of living, with the most notable adaptation being the use of electric vehicles, which have resulted in a likely decrease in the use of gasoline in cars. With the large growth in the e-mobility technologies mentioned above, the global demand for batteries is expected to grow significantly.

Raw material demand

As a consequence of the current trends, the global demand for key battery minerals is expected to increase by 2028. The demand for graphite, which makes up the battery anode, is projected to amount to approximately two million metric tons by 2028. Lithium, another key battery component is forecasted to have a demand of about 1.9 million metric tons in the same year.