The five major battery materials, positive electrode, negative electrode, electrolyte, lithium copper foil, and separator are the main direct materials of lithium batteries.

Positive electrode material: It is the main material cost, accounting for about 55%. Lithium-ion batteries are mainly divided into lithium iron phosphate batteries and ternary batteries according to different positive electrode materials. Power batteries have both, and energy storage batteries are almost all lithium iron phosphate batteries in China.

Negative electrode material: It accounts for about 14% of the total cost, including artificial graphite and natural graphite. Artificial graphite can be used in power batteries and energy storage batteries, while natural graphite is mostly used in consumer batteries.

Electrolyte: It accounts for about 13% of the total cost, and its main components are solutes, solvents and additives. Solutes include LiPF6 and new lithium salts LiFSI, which are the main source of cost. The solvents are mainly cyclic carbonates and chain carbonates, including PC, EC, DMC, DEC and EMC. Additives are mainly used for film formation, overcharge protection, low temperature resistance, flame retardancy, rate enhancement, etc. Common products include VC, FEC, PS, LiBOB, DTD, LiDFOB, etc.

Lithium battery copper foil: electrolytic copper foil, accounting for about 8% of the cost. Lithium battery copper foil is used for lithium battery negative electrode current collector.

Diaphragm: accounting for 4% of the total material cost, divided into wet diaphragm and dry diaphragm. The main cost of wet diaphragm is PE, and the main component of dry diaphragm is PP.

The upstream raw materials of lithium batteries mainly include various minerals, including metal resources such as lithium ore, nickel ore, cobalt ore, manganese ore, iron ore, and non-metallic mineral resources such as graphite ore, silicon, and phosphate. The smelted battery raw materials mainly include positive electrode materials, negative electrode materials, diaphragms, electrolytes, lithium battery copper foil, etc.

Among the upstream mineral resources of battery materials, cobalt, nickel, and lithium rely on overseas imports. China's global market share of battery materials such as positive electrode/negative electrode/electrolyte/diaphragm is 55%/92%/86%/73% respectively, but China's key basic materials cobalt, nickel and lithium only account for 1.95%/1.57%/6.31% of the global reserves, and cobalt/nickel/lithium rely on imports. With the rapid growth of demand for new energy vehicles, the cobalt/nickel/lithium market is booming.