IEA. – Global battery demand for the energy sector hit the 1 TWh milestone in 2024
Electric cars remain the main driver of battery demand, but demand for trucks nearly doubled
Battery demand in the energy sector, for both EV batteries and storage applications, reached the historical milestone of 1 TWh in 2024. Demand for one average week alone in 2024 exceeded the total demand for an entire year just a decade earlier. Demand was largely driven by growth in EV sales, as demand for EV batteries grew to over 950 GWh – 25% more than in 2023. Electric cars remain the principal factor behind EV battery demand, accounting for over 85%. Compared to 2023, the sector whose demand grew the most was electric trucks, growing over 75% in 2024 to reach nearly 3% of global EV battery demand. Electric truck battery demand was driven by growth in China, but demand also ramped up in Europe (about 25%), which accounted for about 10% of the global total.
In 2024, EV battery demand grew by over 30% in China, and by 20% in the United States, in stark contrast with the European Union, where demand stalled. Battery demand in the United States nearly matched that of the European Union in 2024, in part as a result of its approximately 25% larger battery size per EV. Emerging markets and developing economies other than China continued to represent only a small share of global battery demand, reaching nearly 5% in 2024. Nevertheless, their share has doubled since 2022, underpinned by sustained growth in Southeast Asia, India and Brazil.
EV battery demand continues to grow, and is expected to reach more than 3 TWh in 2030 in the STEPS, up from about 1 TWh in 2024. While electric cars will remain the primary driver of battery demand, other modes are set to gain market share. Notably, the contribution of electric trucks to EV battery demand triples by 2030 to reach more than 8%, up from nearly 3% in 2024.
Battery demand is also set to become more geographically diverse. In the STEPS, emerging markets and developing economies other than China are expected to double their share of EV battery demand, from nearly 5% in 2024 to 10% in 2030. The share of global demand in the European Union and other advanced economies, such as the United Kingdom, Canada, Japan and Korea, is also projected to grow, while the share of the United States is projected to decline from about 13% in 2024 to less than 10% by 2030. Meanwhile, China’s share of global battery demand declines from 60% in 2024 to just under 50% by 2030, although it remains by far the single largest source of demand.
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IEA. – Global battery demand for the energy sector hit the 1 TWh milestone in 2024, source
