LFP batteries are cheaper to make than most other batteries.
Most of today’s EVs use lithium-ion batteries whose cathodes use NCM chemistries. But NCM also has a lot of baggage, due mostly to cobalt, which has been called the “blood diamond of batteries” because it’s been mined in a way that’s endangered child workers and wrecked the environment inIn contrast, LFP batteries tend to be cheaper and longer lasting but aren’t as energy dense as NCM batteries. LFP batteries are also less complex to produce.
Reducing costs is certainly top of mind for the automaker, which had a particularly rough earnings this past quarter.the company left $2 billion in profits on the table, blaming poor execution and “deeply entrenched issues in our industrial system.” Ford is the latest automaker to announce a major EV factory project to be located in the US — a sign that the tax credits and other financial incentives in the Biden administration’s Inflation Reduction Act are having the desired effect of bolstering the US’s energy and manufacturing infrastructure.
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