K-Battery Sweeps Global Top 5 Rankings

[Asia Economy Reporter Park So-yeon] Despite the global resurgence of the novel coronavirus disease (COVID-19), the strong performance of the three Korean battery companies continues. From January to November last year, all three domestic battery companies ranked within the global top 5 in electric vehicle battery usage.

According to SNE Research on the 4th, the total battery energy capacity of electric vehicles registered worldwide from January to November 2020 reached 116.5 GWh, a 15.3% increase compared to the same period last year. Although electric vehicle demand declined in the first and second quarters due to the impact of COVID-19, it rebounded from the third quarter, resulting in cumulative growth.

Leading the ranking, CATL shifted to an upward trend as the Chinese market rapidly recovered. CALB, ranked 8th, also maintained triple-digit growth. However, most other Chinese companies remained in decline. Nearly all Japanese companies, including Panasonic at 3rd place, also experienced negative growth.

In contrast, the three Korean companies all showed double-digit growth, significantly increasing their market share and strengthening their market positions. LG Energy Solution recorded a surge of more than 2.4 times to 26.4 GWh, rising from 3rd place last year to 2nd place.

Samsung SDI rose one rank to 4th place with a 72.4% increase to 6.8 GWh. SK Innovation jumped four ranks to 5th place with nearly a 3.4-fold increase to 6.5 GWh.

The growth of these three companies is attributed to increased sales of models equipped with their batteries. LG Energy Solution showed continuous growth mainly due to strong sales of Tesla Model 3 (China-made), Renault Zoe, and Volkswagen ID.3.

Samsung SDI’s growth was driven by increased sales of the Audi E-tron EV, Ford Kuga PHEV, and Volkswagen Passat GTE. SK Innovation’s usage surged thanks to a sharp rise in sales of the Hyundai Kona EV (European supply) and Kia Niro EV.

Meanwhile, global electric vehicle battery usage in November 2020 reached 17.5 GWh, a 55.4% increase compared to the same period last year. Market demand, which had contracted due to the COVID-19 crisis, recovered, marking five consecutive months of growth. All regional markets?China, the United States, and Europe?increased, with many major companies, led by the three domestic firms, showing triple-digit growth and driving the market rebound.

An SNE Research official stated, "Based on current trends, the annual 2020 ranking of electric vehicle battery usage is expected to remain with CATL, LG Energy Solution, and Panasonic holding the top three positions respectively. Samsung SDI is expected to take 4th place, while SK Innovation and BYD are anticipated to compete for 5th place."

Amid the global COVID-19 crisis, the three Korean companies continue to perform well and steadily grow. To firmly secure leadership in the global market going forward, it is necessary to closely monitor market trends and actively engage in cultivating foundational competitiveness and reviewing growth drivers.

This content was produced with the assistance of AI translation services.