Korean Media: 7 Chinese Battery Companies Capture 72.4% of Global Market Share!

On September 7, Korean media outlet The Global Economy published an article stating that although the global electric vehicle (EV) battery market grew by 20% in the first half of this year, the market share of South Korean battery manufacturers actually declined. Following CATL's dominant position with nearly 40% market share, mid-sized Chinese battery companies have rapidly expanded, further shrinking South Korea’s battery industry footprint.

Data from professional energy market research firm SNE Research shows that from January to June this year, the total battery capacity used in pure electric vehicles, plug-in hybrid electric vehicles, and hybrid electric vehicles registered globally reached 608.5 GWh, a 20% increase compared to the same period last year.

CATL maintained its top position globally, with battery usage reaching 242.7 GWh—a 25.3% increase from the same period last year. Its market share rose by 1.7 percentage points from 38.2% to 39.9%, effectively securing over 40% of the global battery market.

BYD ranked second with 87.7 GWh of battery usage, representing only a 1.6% increase—significantly below the overall market growth rate. Its market share dropped from 17% to 14.4%, declining by 2.6 percentage points.

LG Energy Solution led among South Korean domestic firms, ranking third with 52.6 GWh of battery usage, up 8.4% year-on-year. However, due to failing to keep pace with the average market growth rate, its market share fell by one percentage point from 9.6% to 8.6%.

SK On ranked eighth with 19 GWh of battery usage, down 6.7% compared to the same period last year. Its market share also decreased from 4% to 3.1%, showing negative growth.

In contrast, mid-sized Chinese battery manufacturers rapidly expanded their scale. Contemporary Amperex Technology Co. Limited (CATL) ranked fourth, growing by 39.5% to reach 31.2 GWh; Guoxuan High-Tech ranked fifth, increasing by 43.3% to 28 GWh; and EVE Energy ranked seventh, achieving 20.9 GWh with an impressive 51.7% growth rate.

As a result, the combined market share of the seven Chinese companies among the world’s top 10 battery producers reached 72.4%, up 1.5 percentage points from the same period last year. Earlier data from SNE Research covering January to May showed these seven Chinese firms held a 72.6% market share, indicating continued dominance by Chinese enterprises in the market.

Chinese companies have increased their market share thanks to their vast domestic market, cost advantages of lithium iron phosphate (LFP) batteries, and rapid product iteration. In contrast, South Korean and Japanese firms have seen slower growth due to regional sales and production adjustments by their major original equipment manufacturer (OEM) clients.

SNE Research forecasts that future competitiveness of battery companies will no longer depend solely on production scale but rather on operational efficiency at regional manufacturing bases, customer diversification, a diverse product portfolio—including LFP batteries and next-generation cylindrical batteries—and the ability to navigate evolving supply chain regulations.

Original source: toutiao.com/article/1875658164695052/

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