Under the EV hood

Although battery electric vehicles (BEV) have significantly fewer moving parts than petrol powered vehicles, which lowers maintenance costs over time, the starting price is still higher. Looking under the hood of a BEV, you are not likely to see the most expensive component: the battery. Changes in battery material composition, and economics of scale are helping manufacturers lower costs while the introduction of larger and heavier models like pickup trucks and vans pose new engineering challenges. According to Benchmark Materials, while the price of EV batteries has fallen nearly 90%, over the last decade they still account for 25% of a vehicle’s price.

Source: Benchmark Minerals, October 2023