Are batteries cheaper in China?

Today, China produces over three-quarters of batteries sold globally, and in 2024 average prices dropped faster there than anywhere else in the world, falling by nearly 30%. Batteries in China were reported to be cheaper than in Europe and North America by over 30% and 20%, respectively.

Are Chinese tariffs affecting the battery market?

The U.S. battery market has entered a period of pricing uncertainty due to expanded battery tariffs. Starting in 2025, new Chinese tariffs on imported lithium-ion cells and components—especially those used in energy storage systems—have reached levels as high as 104%, according to updated trade filings.

Are Chinese lithium-ion batteries cheaper than US batteries?

Strikingly, the per-kilogram prices of Chinese lithium-ion batteries exported to the United States are lower than the same product sold to any other market.

Are EV batteries still imported from China?

Despite growth in domestic battery production, many upstream materials are still imported from China and other countries. Under the current China tariffs, including those introduced in the Trump China Tariffs 2025 policy, EV manufacturers face increased costs for essential battery inputs.

How much battery storage capacity will the United States add in 2025?

According to U.S. Energy Information Administration data, the United States is projected to add 18.2 gigawatts of battery storage capacity by the end of 2025. Most of this development relies on imported lithium-ion cells. As a result, increased import costs may affect project budgets and implementation timelines.

Is China still a supplier of lithium battery cells?

China remains a primary supplier of lithium battery cells for the U.S. market. In December 2024, lithium battery imports from China exceeded $1.9 billion, according to U.S. trade records. However, changes under the 2025 tariff framework have added new barriers to this trade.