Nickel’s global EV battery bifurcation
The batteries of EVs, including plug-in and conventional hybrids, sold over the first two months of the year contained 47.1 kt of nickel, up 19% compared to January-February 2024.
Nickel deployment growth for the period fell well short of overall battery capacity deployed which totaled 126.0 GWh, a 34% expansion, and new EV registrations which rose by 27% to 3.6 million.
The underperformance was mostly the result of Chinese automakers continued preference for LFP batteries and lingering use of low-nickel NCM packs which have seen total deployment growth stalled.
In January-February 2025, nickel deployment across the Asia Pacific region increased by a scant 2.6% to 17.0 kt. This figure still constituted 36% of the global total, but responsibility for battery nickel demand growth now lies squarely on the shoulders of EV buyers in the Americas and Europe.
Total nickel in the cell packs of newly sold EVs in the Americas, almost all in the US and Canada, by contrast, jumped by 29% to 14.3 kt and in Europe by 31% to 14.6 kt. While LFP captured 62% of the Asia Pacific market in GWh terms in January-February, the nickel-free cathode chemistry was reduced to single digits in the rest of the world.
In North America and Europe, high-nickel batteries still reign supreme, with high-nickel NCM and NCA packs accounting for 62% of the GWh rolled onto roads at the start of the year.
Because of this bifurcation, the sales-weighted average nickel contained in EVs of all types sold in the Asia Pacific region was down to a meager 7.7 kg after falling by 22% compared to the first two months of 2024. In contrast, it stood at 23.5 kg in the Americas (+4%) and 19.4 kg in Europe (+15%).
Nickel deployment in Western markets was also boosted by HEV buyers. These minimally electrified vehicles only play a small part in Chinese automakers’ EV fleets as consumer preferences skew to full electric, plug-in hybrids and range extenders (EREVs).
Conventional hybrids, which are predominantly fitted with nickel metal hydride batteries and a growing proportion of other nickeliferous packs, made up for their size through volume.
HEVs were responsible for 10% of global nickel deployment in January and February 2025 at an average of 4.4 kg per vehicle.
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