What steps can be (or should be) taken to increase the availability and decrease the cost of advanced batteries?
I'm responding on behalf of our battery expert, Dow Kokam, who wrote:
"Advanced Energy Storage Systems pricing is a function of manufacturing capacity, supply chain efficiencies, and market demand. Many of these materials in an advanced energy storage system contain valuable metals like nickel and cobalt. Advanced energy storage system providers, like Dow Kokam, are working with material suppliers for local reliable sourcing and to increase volume to bring costs down.
Market demand is the overarching key to bringing costs down. Adoption of new technologies such as lithium ion advanced energy storage systems needs to move at a faster pace, regardless if they are hybrid or electric vehicle. Advanced Energy Storage manufacturers who can diversify their markets to increase volume will have a better opportunity to achieve the economies of scale needed to improve yield and drive costs down.
· Over the past three years, existing battery manufacturers have expanded their operations and new advanced energy storage manufacturers, like Dow Kokam, have emerged with novel footprints, large format cells, high volume production capabilities balanced with flexible production design. Especially in the United States. On average, companies manufacturing and supplying energy storage systems, have expanded their capacities two-fold, in order to achieve economies of scale."
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