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Introduction: With the electrification of the world's power and transportation systems, Europe is attempting to ensure its position in the rising battery market.

The Antarctic Bear learned that on-demand digital manufacturing supplier Protolabs has released a new survey report on the development status of the European battery industry. The study surveyed 200 industry executives from seven European countries to examine how the industry is prepared to address the challenges of ensuring battery supply chain security and occupying more global battery markets. The report states that global battery demand is expected to increase by 14 times by 2030, and as fossil fuels give way to the era of electricity, Europe must achieve its climate goals through battery supply.

△ Europe's competitive advantage will lie in innovation

The report points out that in order to help with this transformation, 82% of survey respondents are currently developing or planning to expand additive manufacturing capabilities within the next 12 months. In addition, 80% of respondents plan to relocate a portion of the supply chain closer to the manufacturing base.

Responding to the Rising Demand for Electric Vehicles

According to the International Clean Transport Council (ICCT), there are currently approximately 1.8 million electric vehicles on European roads, and according to the European Union (EU) target, this number will increase to at least 30 million by the end of 2030. According to statistics, for the first time since 2015, the sales of electric vehicles in Europe surpassed China in 2020, becoming the world's largest electric vehicle market.

The factors driving the rise of the European battery and battery storage manufacturing industry. The image is from Protolabs.

The report by Protolabs points out that the surge in consumer demand for electric vehicles has helped drive battery and battery storage manufacturing in Europe. According to reports, European manufacturers are unable to defeat China in terms of production and are focusing on manufacturing ultra-high performance and sustainable batteries. More than two-thirds of the survey respondents expressed confidence in their research and development work and innovative product design, while only over half of the respondents were confident in their ability to expand innovation.

Using 3D printing to support the supply chain again

The report shows that the COVID-19 epidemic highlights the vulnerability of the supply chain and accelerates the trend of the supply chain closer to the European destination market. This shortens the supply chain, thereby improving market elasticity and speed, and reducing carbon footprint. Eight out of ten respondents stated that they are currently tightening the supply chain or planning to do so in 2022. To support this, 82% of respondents plan to develop and expand additive manufacturing business, while 79% seek partnerships with professional technology suppliers or end users to achieve this goal.

Eight out of ten respondents stated that they are currently tightening the supply chain or plan to do so within the next 12 months.

The report by Protolabs points out that the use of 3D printing in the supply chain of special components will also provide manufacturers with greater flexibility, which is an important factor in the innovation of the next generation of solid-state batteries. Solid state batteries can store more electricity faster and potentially double the range of electric vehicles. The study also emphasizes the establishment of higher efficiency and environmental compliance in the production process of the European battery industry, such as using less energy and improving recycling. The EU plans to implement strict new environmental standards for batteries by 2022, aiming to eliminate cheaper and less sustainable component imports and promote local production.

Respondents stated that they are struggling with waste treatment and mandatory recycling targets.

However, research shows that many respondents are struggling with waste treatment and achieving mandatory recycling goals, which means that the circular economy in the battery industry still has some way to go. More than half of the respondents called for new government investment and support policies to expand the market share of the European battery industry. Fortunately, battery manufacturing seems to be a key part of the EU's decarbonization plan for the transportation sector under the green agreement, aimed at achieving climate neutrality by 2050.

Battery manufacturing is a key part of the EU's green agreement to achieve decarbonization in the transportation sector.

A key point in increasing battery production in Europe lies in the manufacturing of positive electrode active materials and the risk of an increasingly scarce supply of raw materials. This may become a key research area for innovative technologies such as additive manufacturing, promoting flexibility in the development and manufacturing of new materials. For 53% of respondents, the lack of investment return for everyone except market leaders is already one of the biggest risks faced by the European battery industry.

△ The biggest risk of the rise of the European battery industry

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