Battery pack prices fall but commodity boom may drive them back up – report – by Staff ( – December 1, 2021)

A new report by BloombergNEF shows that lithium-ion battery pack prices fell 6% from 2020 to 2021 and 89% in real terms to $132/kWh from the $1,200 per kilowatt-hour registered in 2010.

“Continuing cost reductions bode well for the future of electric vehicles, which rely on lithium-ion technology. However, the impact of rising commodity prices and increased costs for key materials such as electrolytes has put pressure on the industry in the second half of the year,” the dossier reads.

According to BNEF, the prices registered this year are an average across multiple battery end-uses, including different types of electric vehicles, buses and stationary storage projects.

“For battery electric vehicle (BEV) packs, in particular, prices were $118/kWh on a volume-weighted average basis in 2021. At the cell level, average BEV prices were just $97/kWh,” the document states. “This indicates that on average, cells account for 82% of the total pack price.

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