Battery Supply will be Twice Demand in 2 years

[Charged Up]

Jeff Cobb over at GM-Volt has a post indicating, that the supply of batteries for EVs will be more than double the projected demand for them within 2 years.

This is good news for those hoping for lower prices on EVs. Of course in the long term businesses can not survive like that. It is game on for Chinese, Japanese, Korean and American companies hoping to make batteries and other advanced EV parts. Obviously there is going to be some subsidizing going on until some of the competitors have been eliminated. With a right wing determined to kill anything to do with EVs in America our chance of being a major supplier is definitely in question.

[ardie]

Well, I suppose we could take this one of two ways:

a) Two years from now, battery production will have ramped up, and there will be plenty of batteries to go around.
This will result in lower battery pricing (eventually).

b) Demand for elecric cars will nosedive once the Federal rebates dry up, and cars (and their batteries) will sit around idle, because nobody wants them for that kind of price. Lotsa batteries waiting around for cars to get made and sold.
This will have no effect on battery pricing, since there will have been no economy-of-scale cost reduction. Battery companies will probably "shed costs" (i.e. employees) rather than trim their profit margins.

I am hoping for choice (a).

-- Ardie

[JackSwagger]

battery is an essential accessory for car, and its demand goes on increment. I think it will be a great news for the Japanese battery to go for a new range of battery which will be cheap and has a long life.

[ki4ka]

agree with you Swagger

[randythomas]

GM should have done a lot of research on their upcoming Electric Vehicles. The supply should be well accounted so the car's will keep running.