Battery Market Share from January to April: CATL Dominates... Gap Widens with 2nd Place LG Energy Solution

CATL 33.7% - LG Energy Solution 14.9%
Last year 28.9% - 22.9%... Gap Widens

Top 10 Companies Hold 92% Global Market Share
China 55.3% - Korea 25.9% - Japan 10.8%
Korea-China Gap Expands from 7.8%p to 29.4%p

CATL Headquarters in Ningde City, Fujian Province, China. (Photo by Reuters)

[Asia Economy Reporter Moon Chaeseok] The gap between China’s CATL and South Korea’s LG Energy Solution, the world’s top two electric vehicle battery users, has widened about threefold over the past year. Not only between these two companies but also between Chinese firms and companies from other countries, the disparity has become more pronounced.

According to the battery usage share data from January to April this year released by energy market research firm SNE Research on the 2nd, China’s CATL ranked first with 33.7% (41.5GWh), and South Korea’s LG Energy Solution ranked second with 14.9% (18.3GWh). SNE Research explained that both companies were significantly affected by the drop in Tesla’s vehicle sales in China due to the lockdown in April, as Tesla is their main customer. Both companies are expected to soon show a recovery in production capacity.

However, even when comparing based on South Korean and Chinese companies, the gap between South Korea and China is indeed widening. China’s total share is 55.3%, while South Korea’s is only 25.9% (a gap of 29.4 percentage points), more than double the difference. Compared to last year’s gap of 7.8 percentage points between China (41.8%) and South Korea (34%), the gap has increased more than fourfold.

Specifically, among Chinese companies, CATL, BYD (3rd), CALB (6th), Guoxuan (8th), Sunwoda (9th), and EVE Energy (10th) were listed among the top 10. Among South Korean companies, LG Energy Solution (2nd), SK On (7%, 5th), and Samsung SDI (4%, 7th) made the list, while Japan was represented solely by Panasonic (10.8%, 4th).

Samsung SDI was overtaken by CALB earlier this year. For LG Energy Solution, maintaining second place rather than reclaiming first has become a more realistic goal. However, SK On’s production capacity more than doubled from 3.5GWh in January-April last year to 8.6GWh in the same period this year, which is noteworthy.

There is also a counterargument that the current market share is not an absolute figure. With the USMCA effect in 2025 providing tariff-free benefits for electric vehicles with many parts produced within the US, Canada, and Mexico, as well as fierce competition to secure supply chains in China, North America, and the EU, and the race for next-generation game-changing technologies such as solid-state batteries, the “current score” is not very meaningful. However, the industry consensus is that the speed and scale of the widening market share gap warrant close attention.

Meanwhile, SNE Research cited the increase in sales of finished vehicle models equipped with each company’s batteries as a growth factor for South Korean companies. SK On benefited from increased sales of Hyundai Ioniq 5 and Kia EV6. Samsung SDI saw positive effects from increased sales of BMW i3, iX, and Fiat 500. However, in April, sales of Tesla Model 3 and Y equipped with LG Energy Solution and CATL batteries in Europe and China declined. As a result, BYD, which maintains consistently high sales in the Chinese market, surpassed LG Energy Solution in battery usage in April.

The global market is expected to continue growing. SNE Research said, “Although the growth rates of CATL and LG Energy Solution slowed in April due to Tesla’s production halt caused by the China lockdown (leading to decreased sales), a rapid recovery is expected,” adding, “With the Chinese market’s strength continuing this year and strong pressure from Chinese companies, it will be important to closely watch how the three domestic companies respond.”

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