Modeling Large-Scale Manufacturing of Lithium-Ion Battery Cells: Impact of New Technologies on Production Economics

Abstract

The global demand for electric vehicles is increasing exponentially, as is the demand for lithium-ion battery cells. This has led to a strong ongoing competition among companies to achieve the lowest battery cell production cost. Herein, to provide guidance on the identification of the best starting points to reduce production costs, a bottom-up cost calculation technique, process-based cost modeling (PBCM), for battery cell production is reproduced and validated by drawing on a consistent dataset of a real battery cell production plant. The model is based on teardowns of a real battery cell factory and will prove useful for planning activities of today's, so-called, “giga factories.” The PBCM performed in the present study involves discussions on, e.g., production balancing, relocation of factories to low-wage countries, usage of new production and cell technologies, etc. The use of novel approaches, such as tabless cell design, dry coating, and NMC811 chemistry, is discussed. Finally, the ways in which battery cell production costs can be reduced further in the forthcoming years are shown, and implications for researchers, practitioners, and policy makers are provided.