Industries like electric vehicles and solar energy are able to thrive because of one main factor — lithium-ion batteries.
The Great American Reset is advancing tech rapidly than we imagined. As we live in a post-COVID world, we must change how we live. Lithium-ion battery improvements will greatly benefit in this new development.
How Solar Energy Is Improving Lithium-ion Batteries
The price of lithium-ion batteries has dropped 75% in the past six years. Bloomberg analysts expect battery pack prices to fall even further to $62 per kilowatt-hour by 2030.
These three factors have led GTM Research to predict that global lithium-ion battery deployments over the next five years will grow an annual rate of 55%, as solar energy installations are paired with energy-storing batteries.
In just the next four years, global annual lithium-ion battery installations in homes and businesses will grow nearly sixfold, from 3.1 gigawatt-hours in 2018 to 17.89 gigawatt-hours in 2022.
The rapid growth of these installations will alter the performance of electrical systems around the world. Consumers and businesses can store and utilize energy where they reside and work.
The convergence of low-cost solar and energy storage will be a boon for investors willing to play this trend.
How Electric Vehicles Play a Role in the Trend
The race to produce better electric vehicles has led to big developments in battery chemistry. This allows for lighter batteries with higher energy density. This new wave of batteries is not only smaller, but safer and longer lasting.
In fact, the cost of the lithium-ion electric vehicle battery is expected to drop 50% by 2025 from today’s prices.
This cost savings is leading to a lithium-ion battery bonanza, unleashing an electric vehicle future and creating a windfall of profits for electric vehicle makers.
This savings reflects future production. In the next decade, the size of the world’s electric vehicle fleet is expected to grow over 100-fold from 2018 production.
In 2018, global electric vehicle sales totaled 1.45 million. In 2020, electric vehicles are projected to grow to 13 million, and by 2030, the number will skyrocket to 127 million.
And since electric vehicles are also one of the trends effected by the Reset, the lithium-ion batterie market will only keep growing.
These developments in battery technology and solar energy are converging to fuel the lithium-ion battery tipping-point trend during the Great American Reset.
To find out more about these emerging trends, click here.