INVESTORS are plugging into the lithium-ion industry following a surge in demand for electric vehicles (EVs) by Chinese motorists.
China’s production of power lithium-ion batteries is set to jump 400% by 2017, according to market research firm CCM.
A total of 78,499 EVs were manufactured in China in 2014, an increase of almost 250% on 2013, and CCM forecasts that this figure will more than triple again in 2015 to reach 250,000.
Growth is sparking a similarly dramatic growth in demand for automotive grade lithium-ion batteries that use 10,000 times more electrolyte and much more sophisticated technology than a typical mobile phone battery.
Battery manufacturers are scrambling to meet this demand with Samsung, LG, and Foxconn all investing more than $325M in China’s lithium-ion battery market in 2014.