MARKET CONTEXT

Dominant in EVs. Dominant in grid storage. Supply remains concentrated.

LFP is now a leading battery chemistry in both electric vehicles and stationary energy storage. At the same time, cathode material production remains highly concentrated outside Europe, creating a strategic need for stronger local capability.

LFP share of global EV battery market

Source: IEA Global EV Outlook 2024, 2025 & 2026

2020
~10%
2021
~20%
2022
~32%
2023
~40%
2024
~50%
2025
>55%
✓

LFP has become a major global EV battery chemistry.

LFP share of global stationary storage

Source: IEA Global Energy Review 2026

2020
0%
2021
0%
2022
~60%
2023
~75%
2024
~85%
2025
~90%
✓

LFP is highly attractive for stationary storage because of safety, cost, and long cycle life.

Supply concentration & Europe gap

Why local capability matters

98%

of global LFP cathode production capacity is in China

<10%

Europe’s share of local LFP cathode production capacity

Europe still has very limited local LFP cathode production capacity, creating a strategic need for stronger regional supply chains.

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Local European capability is essential for a resilient battery ecosystem.