the market for used EV batteries after COVID-19
The coronavirus outbreak began in the first quarter of FY 2020 and spread quickly. The COVID-19 epidemic caused widespread lockdowns in a number of nations, which temporarily shut down a number of commercial operations and constrained the market for reusing EV batteries. Due to supply chain disruptions and other industrial operations delays, COVID-19 has had an effect on practically all industries throughout the world. Most businesses have stopped producing anything. Government responses to COVID-19, such as lockdown and social isolation, resulted in the shutdown of production facilities early in the epidemic. Due to the fact that so few industrial activities were permitted to function, demand for various input items in the industrial sector dramatically decreased. Due to the aforementioned causes, the market was constrained because these sectors were not projected to reuse many new electric vehicle batteries during the present crisis.
Key Market Factors Affecting EV Battery Reuse
The steady increase in EV sales around the world presents a sizable opportunity for stationary storage powered by used EV batteries. The lithium-ion, nickel-metal hydride, and lead-acid battery types can be used to categorise the market for reusing batteries in electric vehicles. In the near future, the market for reusing EV batteries is anticipated to benefit significantly from the rise in demand for EV batteries in the automotive industry. When considering cost analysis, the cost of developing new batteries to be made is a critical consideration for assessing and contrasting the advantages of reusing end-of-first-life batteries. In order to find potential financial advantages over those provided by new batteries, it is necessary to analyse the various options for reusing such batteries. The success of battery reuse depends on comparing the two pricing patterns because doing so would make batteries both economically and environmentally advantageous. The decision to utilise a new or repurposed battery ultimately rests with the end user.
In 2019, the market share of applications for energy storage was over 10%. The EV battery reuse market statistics will be driven by rising energy demand brought on by a growing population and a lack of power supply during the forecast period. Batteries that do not maintain 80% of their entire useful capacity are removed from use in EVs due to performance standards not being met. The electricity is stored during the regular grid supply and is discharged when there is a power loss, especially during harsh climatic circumstances, using the employed Li-ion batteries as a backup system. The ability of EV batteries to power low energy demanding applications as a component of energy storage systems is expected to drive growth in the market for reusing EV batteries.
Global EV Battery Reuse Market: Major Players
BYD Co, Ltd.
GS Yuasa Corporation
Samsung SDI Co., Ltd
LG Chem Ltd.
Global Battery Solutions, Ltd.
Global EV Battery Reuse Market: Types
HEV & PHEV
Global EV Battery Reuse Market: Applications
Low speed vehicles
Possibility of igniting a second life
Battery life for EVs is challenging. Lithium-ion batteries in EV applications degrade significantly within the first five years of operation and are often designed for a decade of useful life despite being exposed to severe operating temperatures, hundreds of partial cycles annually, and fluctuating discharge rates. Even if they no longer fulfil the performance requirements for EVs, which typically call for maintaining 80% of total usable capacity and attaining a resting self-discharge rate of only 5% over a 24-hour period, these batteries can nevertheless have a second life. Such batteries can still function well enough to support less demanding applications, including stationary energy storage, after being remanufactured.