In this article we look into the LFP battery technology which is making Li-ion look outdated.
While Tesla, the world-famous EV manufacturer is performing exceptionally well in the EV space, the company is heavily invested in R&D and this is why yet another key news of the segment has come from it.
This time, however, the news pertains to the batteries used in electric vehicles.
Tesla Shifting Over To LFPs
Previously EV batteries have been Li-ion in nature but Tesla feels that by changing the chemicals of the battery composition to Lithium Iron Phosphate (also known as LFP) the game can be changed forever.
Replacing Nickel With Iron
In a statement, Tesla’s CEO Elon Musk who is revered throughout the world for his innovative thinking said that finding abundant sources of nickel and that too at reasonable prices is a difficult task.
Tesla has been offering early deliveries to a few selected customers however there’s a catch. Such customers need to choose LFP batteries for their EVs instead of Li-ion ones.
Elon Musk’s Contradictory Statements Might Be Misleading
Musk has been quoted saying that the overall experience delivered by Nickel is nearly the same as that of Iron which means that the customers going for the LFP battery technology are not losing much here.
Later, however, he claimed that the Iron batteries are better than the Nickel counterpart as the former is well suited to be 100% charged as compared to the latter one which should not be charged more than 90%.
Chinese Model 3 Versions Already Using LFPs
The use of LFP is not an entirely new thing however as the Chinese variants of the Tesla Model 3 have been featuring these batteries since 2020.
Tesla also made a bold claim recently that soon all of its standard variant vehicles will sport the LFP batteries instead of the Li-ion ones. This news received a mixed response from customers.
Who Is Manufacturing The LFPs For Tesla
Contemporary Amperex Technology Co which has the distinction of being the world’s largest manufacturer of electric vehicle batteries has been supplying the LFP batteries to Tesla.
Following in the footsteps of Tesla, several Chinese EV automakers have also started putting LFP batteries in their EVs.
How Are LFPs Better Than Li-Ion Batteries?
One of the major reasons behind this decision is the reduced cost of LFP batteries as compared to the Li-ion ones, however, in addition to this, these batteries are also less likely to catch fires which is a major reason why companies are making the switch to LFPs.
Chinese EVs Might Be The Trendsetters This Time
In China, the Li-ion batteries have lost their supremacy as being the most sold EV powering batteries. This was mainly because 57% of all EVs manufactured in China during 2021 had LFP batteries.
This gargantuan growth is mind-boggling as just one year ago this number was around 25%.
China is already known for the use of relatively cheaper items instead of the costlier ones and this is why iron which is readily available and is inexpensive than nickel is now being used as an alternative.
The globally changing dynamics of the EV batteries can be principally attributed to Tesla but now other major manufacturers are also pulling up their socks by putting LFP batteries in their EVs instead of the Li-ion ones.
Only time will tell how successful this technology is but for now companies are enjoying heftier profits by putting relatively cheaper batteries in their EVs and still charging the same amounts from customers.