UK gigafactory infrastructure leaves 95GWh shortfall, research suggests
The UK must rapidly accelerate the establishment of gigafactories and new battery technology development or risk losing domestic car production, according to the latest report from HSSMI.
The UK currently imports a significant number of batteries, primarily from East-Asian suppliers, owing to their abundance of natural resources and existing manufacturing infrastructure.
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70% of global batteries are sourced from Asia, according to the report, but initiatives have been put in place to increase domestic chip production, particularly in the US and EU.
Tesla has already commenced construction on a large gigafactory in Berlin, as well as already operating a lithium-ion battery gigafactory in Nevada.
Challenges the UK faces include a lack of skilled technicians on cell manufacturing processes and the need to introduce circular economy principles.
The report claims the country has amassed a wealth of knowledge in gigafactory development, however, the gap between the rate of battery plant establishment and forecast demand for electric vehicles means the UK desperately needs to build more gigafactories.
The report highlights a potential shortfall of more than 95GWh by 2040 and an investment hold of £10 billion (€11.6 billion).
HSSMI advises global OEMs and Tier 1 suppliers on the design of manufacturing plants, optimisation of production efficiency and introduction of circular economy principles.
“Electrification is increasing demand for the battery cells and packs powering electric vehicles,” said Axel Bindel, Executive Director, HSSMI. “The UK, in particular, is at a pivotal moment. By 2040, there will be a need for 140 GWh in battery cell capacity, equivalent to five Gigafactories," he added.
Currently, there is only 3GWh of battery production in the UK, with a further 45GWh planned by 2030, which stands to leave a large gap in demand.
This data hints the government are beginning to make funds available for the industry, however, HSSMI suggests more collaboration may be needed to "steer the industry to success."
Developing products that can fit into existing production facilities or use off-the-shelf machines will enable easier uptake of new cell technology. Where new processes are created, a further development programme will be required for the manufacturing machines, potentially delaying commercialisation.
Future designs must be focused on all the needs of the application. While development may target one parameter, application requirements can lead to late design changes and extra costs.
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Robin Foster, the head of battery solutions at HSSMI claims it can take a gigafactory anywhere up to five years to become fully operational.
Demand for cell manufacturing is expected to see a significant demand spike over the next four to five years, which may outpace supply very quickly, he says.
He added: "The UK must exploit and commercialise the wealth of new battery technology developed locally. The typical time, however, for new technology to become commercially ready can be 10 years from lab to high-volume production.
"Engagement with a scale-up specialist can provide feedback early on for commercial viability, disrupting the traditional linear development programme and speeding up the time to market.”
Materials used in lithium-ion cells are expensive, so high process yields are critical and taking steps towards optimised production early in development is key to keeping extra costs and increased timescales to a minimum, the report adds.
It may also be necessary to conduct feasibility studies to understand specific characteristics, particularly regarding the area and the local community.
These kinds of studies are often done on industrial-scale projects and for a number of reasons, including job viability and cost analysis.
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The UK's automotive sector has continued to struggle to adapt to the changing climate and supply shortages are no exception.
Government-backed bodies such as the Advanced Propulsion Centre and the Faraday Institution are continuously working to accelerate battery technology by promoting and catalysing innovation and collaboration between manufacturers, technology providers, automotive OEMs, research organisations, and academics, through various funding opportunities.
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