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Facts have proven that the era of battery power is around us.

Electric cars are speeding along the highway, and household appliances are buzzing with stored solar energy, but until now, solar energy is only a type of energy that can be obtained during the day.

From the state government of California to the governments of China and South Korea, and even the Trump administration, measures have been taken to accelerate the popularization of battery energy.

A worker is installing wiring for LG's solar cells

The only obstacle to the battery wave is that global battery production is far from sufficient. Currently, all new demand in North America, Europe, and Asia is constrained by a market heavily reliant on a few manufacturers.

Data on global battery supply is difficult to obtain, but industry insiders have found evidence of insufficient battery supply. This demand is something we have never seen before. However, supply is difficult to keep up, "said Yayoi Sekine, an analyst at Bloomberg NEF in New York

However, strangely enough, despite supply shortages and rising demand expectations, the price of lithium-ion battery racks continues to decline every year.

To gain a clear understanding of the near future, consider battery powered cars. Nowadays, there are over 3 million electric vehicles running on highways worldwide; By 2025, Volkswagen alone plans to produce 3 million electric vehicles annually. The batteries of these cars (excluding those used by households, companies, and public utilities) will have to have corresponding sources of supply.

Here is a brief guide that can help unravel the mystery of current battery shortages and ongoing price declines.

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