Electric car battery prices are expected to fall increasingly in 2025
According to research companies, the prices of electric car batteries are expected to decline increasingly in 2025. The electric car market is also growing.
Electric car battery prices are increasing
Gartner, an American technology research and consulting firm, stated that the electric vehicle market is growing significantly in 2025. The company expects around 85 million electric vehicles to be on the roads by the end of the year, with a total growth rate of over 33%.
Gartner also anticipates that around 73% of electric vehicles will be battery electric vehicles in 2025. By 2030, automakers will be able to recycle 95% of electric vehicle batteries.
Jonathan Davenport, Sr Director Analyst at Gartner, said: “Despite several hurdles affecting the EV market over the past few months, we are projecting the number of EVs in use globally to total 64 million units in 2024 and increase 33% in 2025. Many companies overestimated how quickly the switch to EVs would occur. This caused those companies to delay launching new EV models. The growth in 2025 will be driven primarily by higher EV sales in China (58%) and Europe (24%), which together are projected to represent 82% of total EVs in use worldwide.”
Electric vehicles market
The electric vehicle market is expected to grow significantly in 2025, driven by higher EV sales in China (58%) and Europe (24%), which together are projected to account for 82% of all electric vehicles in use worldwide.
Experts expect the total number of battery electric vehicles (BEVs) to reach about 62 million by the end of 2025, marking a 35% increase from 2024.
Additionally, plug-in hybrid electric vehicles (PHEVs) are expected to reach about 23 million units in 2025, marking a 28% increase over 2024.
Electric car battery prices in 2025
The Goldman Sachs Group, an American multinational investment bank and financial services company, stated that the prices of electric car batteries will decline significantly in 2025. The average price of an electric car battery is expected to drop to about $90 per watt-hour, down from $111 in 2024.
Electric car battery prices are expected to continue declining through 2026, reaching $82 per kilowatt-hour.
