Optimizing battery packaging helps cut OEM supply chain costs

by Carolyn Mathas

The electric vehicle market is surging ahead and battery technology and production is ramping up as well. Global capacity is slated to increase from 475 GWh in 2020 to more than 2,850 GWh by 2030.

The challenge is to reduce battery prices down below $100 per KWh, which will bring EVs in parity with internal combustion engine (ICE) vehicles. Even Tesla’s battery pack costs of $187 per KWh vs the industry average of $246 per KWh.

An often-missed critical factors is the packaging used for transporting Li-Ion cells, modules, and battery packs, given the battery’s vulnerability. One-way packaging for a full battery pack can cost between $300-500, around 7% of the total battery cost. Optimal battery packaging can increase efficiency and stacking ability for better transport utilization, reduced costs, and improved sustainability.

CHEP is one provider that working with the automotive industry to create reusable solutions that reduce cost, risk, and waste. CHEP provides UN-Certified containers that are standardized and optimized for the automotive supply chain. Built to be shared and reused, the containers provide greater protection to vulnerable (and valuable) Li-Ion battery components. The company also offers CAD software, tracking capabilities and insight on the condition and location of parts in real-time.

Original Release: Supply Chain Dive 

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