Last year, one-third of the world’s electric cars run with Korean batteries… 2nd in LG Energy Solution

Input 2021.02.01 10:42 | Revision 2021.02.01 11:13

Korean batteries grow more than double digits in 2020
LG Energy Solution ranked 2nd over Panasonic
35% market share of the three domestic battery companies

In the electric vehicle battery market last year, LG Energy Solutions took the second place in the market share behind China’s CATL due to a slight margin. Samsung SDI and SK Innovation also ranked 5th and 6th respectively. It was found that one third of the batteries used in electric vehicles sold around the world were made by three domestic battery companies.

According to SNE Research, a market research firm on the 1st, the total amount of batteries installed in electric vehicles sold worldwide last year was 142.8 GWh (gigawatt hours), up 21% from the previous year. Electric vehicle demand declined in the aftermath of the coronavirus in the first half of last year, but recovered from the third quarter, increasing the cumulative battery use.

Chinese CATL ranked first with 24% market share, following last year. Electric vehicle battery usage was 34.3GWh, up 5.4% from the previous year.

LG Chem (051910)LG Energy Solutions, a battery subsidiary of Korea, ranked second with 23.5% market share. Battery usage was 33.5GWh, up 171.5% year-on-year. The market share ranking of LG Energy Solutions rose from 3rd in 2019 to 2nd place, surpassing Panasonic last year, and the usage gap with 1st CATL has also narrowed to 0.8GWh.

Samsung SDI’s battery usage was 8.2GWh, an increase of 85.3% over the previous year. The market share was ranked 5th with 5.8%. SK Innovation ranked 6th with a record of 7.7GWh, a 274.2% increase in usage over the same period. The ranking of market share soared three steps from the previous year.

Even in the aftermath of the coronavirus, the three domestic battery makers are continuing to do well. The total market share of the three domestic battery companies has more than doubled from 16% in 2019 to 34.7% last year.

On the other hand, the share of Chinese and Japanese battery makers fell. Japan experienced negative growth as Panasonic and PEVE’s share fell. China also did a good job with CALB recording a triple-digit growth, but the overall market share fell as the share of the rest of the companies such as BYD fell.

SNE Research explained, “All three domestic battery companies have grown by more than double digits, and their market share has increased significantly.”

LG Energy Solutions continued its growth thanks to increased sales of Tesla Model 3 (made in China), Renault Joe, and Volkswagen ID.3. Samsung SDI (006400)The Audi E-tron EV, Ford Kuga PHEV and Volkswagen Passat GTE showed strong sales. SK innovation (096770)Sales of Hyundai Kona EV (European supply) and Kia Niro EV led the growth.

SNE Research said, “In order for the three domestic battery companies to further accelerate their global market penetration, it is necessary to actively promote technological competitiveness enhancement and growth strategy maintenance in accordance with the market trend.”