Four Electric Vehicle Suppliers

As the world’s auto industry goes electric, suppliers are navigating a delicate transition. Some parts will change drastically while others remain the same.

At TE’s Woert factory, machines turn out 16 copper connectors for combustion cars a second. But EV connectors need to be much larger and more complicated.

Investors are eyeing EV components makers as a way to play the EV transition without betting on pricey EV manufacturer stocks. Here are a few to consider.

SK On

SK On is a division of South Korea’s largest energy and chemicals conglomerate, SK Group. The company focuses on electric pickup truck EV battery production and has facilities in Commerce, Georgia, China, and Hungary. Ford has partnered with SK On to build multiple battery plants at Blue Oval City.

The company’s EV batteries are designed for safety and to charge faster and travel farther on each charge. They also take the environment into consideration. SK On’s chemistry takes advantage of earth-friendly resources and minimizes atmospheric pollution by reducing carbon dioxide emissions.

The company’s co-CEO Jee Dong-seob has ambitious plans for the company. He wants to make SK On the world’s largest electric vehicle supplier by 2030. The company has already begun expanding its capacity to meet demand. It currently produces EV batteries for Kia EVs and has agreements with some luxury car brands. It also has a joint venture with Ford that will produce 150 GWh of production capacity in the US. SK On is planning to expand its capacity even further to meet future demand. The company also has a new facility in Tennessee to produce advanced lithium-ion batteries.

BYD

BYD is the world’s leading supplier of new energy vehicles (NEVs), with over 200,000 cars sold per month. Their products include passenger EVs, electric buses, electric trains, and electric forklifts. They also provide energy storage systems and solar panels. Their products are designed to reduce carbon emissions and provide a more sustainable energy source.

In addition to manufacturing its own products, BYD also provides core EV technologies for other manufacturers, including batteries, motors, and semiconductor chips. Their long-term expertise puts them in a position to take advantage of the secular growth of the EV market.

Unlike Tesla, which sells its own vehicles directly to customers, BYD distributes its products through traditional dealership networks. This allows them to reach a wider range of consumers and integrate their products with their daily transportation routines. However, this model may limit their ability to develop a consistent customer experience. BYD’s reliance on third-party partners may also lead to lower quality control. This could be problematic for their brand image and reputation. However, if they continue to grow their presence overseas, they may be able to improve their customer service.

Panasonic

Panasonic is a multinational electronics and electrical goods manufacturer headquartered in Osaka, Japan. Its product line includes rechargeable batteries, automotive and avionic systems, industrial systems, and home renovation and construction products. Panasonic also manufactures a wide range of consumer electronics and operates a global consumer marketing organization with the goal of strengthening its brand worldwide.

The company has a long history in electric vehicles and electric vehicle supplier was the first to use lithium-ion batteries for production cars. The company has a strong partnership with Toyota and is a top sponsor of Formula 1 racing. Panasonic is also a top sponsor of Japanese soccer and owns Gamba Osaka in the J-League.

The company’s battery arm, Panasonic Energy, recently announced a supply agreement with Tesla rival Lucid Group to build its 4680 cells for the company’s luxury electric vehicle lineup including the Lucid Air and Gravity SUV. The move signals that Panasonic is willing to diversify its customer base, which currently largely consists of Tesla, as it eyes a boost in annual EV battery capacity of up to 200 gigawatt hours (GWh) by 2031.

LG Chem

LG Chem is one of the world’s leading producers of batteries for electric vehicles. The company’s battery division earned a sizable profit this year and has a $128 billion backorder for electric vehicle batteries. This is a sign of the growing demand for greener transportation solutions.

EVs require more batteries than conventional cars, and this has led to fierce competition among battery producers. Several companies have managed to reduce battery costs per kWh, which has made electric cars hyper-competitive and is putting pressure on traditional automakers to ramp up their electrification efforts.

LG Energy Solution is investigating the possibility of opening a second EV battery plant in the US, according to sources familiar with the matter. The South Korean supplier already operates a factory in Holland, Michigan. It also has plants in China, Poland, and South Korea. The company is focusing on solid-state batteries, which have more range and are less expensive to produce than liquid batteries. The company has partnered with GM to develop its Ultium Cells LLC technology for a Cadillac Lyriq and upcoming EVs.

TE Connectivity

The company provides connectivity and sensor solutions. Its products include connector systems, terminals and components, filters, relays, switches, wires, cables, and antennas. Its customers use them for automotive, aerospace and defense, industrial equipment, commercial transportation, medical devices, and data and communication. The company also manufactures interventional medical components, which can range from catheter tips to complex distal assemblies. TE Connectivity serves its customers in more than 150 countries.

TE Connectivity has the engineering and production capability to help you solve the toughest design challenges. Their products meet the requirements of the world’s leading industries in automotive, energy and industrial, broadband communications, consumer devices, and aerospace and defense. They are proven in the harshest environments where every connection counts.

TE Connectivity is a global technology leader creating a safer, more sustainable, and productive future. Their broad portfolio forms the electrical architecture of the cutting-edge innovations that power and connect the world. From the largest automotive interconnects in the world to the most advanced fiber optics and harnessing products, they are here to help you make your next innovation work.