Battery Insights

How We Help Clients

Battery Insights is an integral part of McKinsey’s Battery Accelerator Team (BAT). As the think tank of BAT, Battery Insights provides end-to-end expertise and cutting-edge analytics across different stages of the battery value chain – from component production and cell manufacturing to pack assembly, second life, and recycling. We support battery manufacturers, suppliers, and investors, along with key customers in the automotive and energy storage industries by offering data-driven insights and tailored solutions.

Our advanced proprietary models, combined with deep industry expertise, enable clients to navigate market dynamics, achieve sustainability goals, and address complex regulatory challenges. With our global perspective, Battery Insights delivers actionable intelligence to support strategic decision-making.

We provide comprehensive insights into demand, supply, costs, emissions technology and regulations to clients across the battery value chain. As the industry evolves, we continuously refine our tools and methodologies to offer clients the latest data-driven perspectives on industrialization factors such as capex, opex, yield, and ramp-up, as well as key insights into suppliers and components.

Battery Demand Modeling

We deliver detailed demand forecasts across various battery chemistries, enabling clients to plan with accuracy and confidence. Our demand model incorporates chemistry breakdowns and market-specific insights, helping clients stay ahead in a fast-growing industry

Battery cell demand projections broken down by technology and regions
Multiple demand scenarios analysis

Bottom-Up Supply Modeling

Our supply models provide granular insights into cathode, anode and cell production facilities, covering details on location, capacity, start of production, and more. By leveraging a bottom-up approach, we enable precise forecasting of supply dynamics across the value chain.

Plant-level production capacity analysis
Location-based supply chain modeling
Timeline and capacity forecasts for new and existing plants

Cost and Emission Modeling

Our proprietary models analyze cost structures and emissions across battery cell manufacturing, providing clients with clear visibility into cost drivers and sustainability benchmarks. We help clients identify cost-saving opportunities and decarbonization pathways.

Cost and emission curves for cell production
Cost trends analysis for major battery components

Examples of our work

Optimizing capex for a European cell manufacturer’s Scale-Up

We supported a European battery cell manufacturer’s scale-up by conducting a comprehensive capex diagnostic on their first large-scale factory. Through detailed should-cost analyses of equipment and construction requirements, we identified a 10–15% potential reduction in plant capex. Additionally, we provided benchmarking insights on ramp-up plans and FTE planning to enhance operational efficiency.

Green Business Building for an Active Material Player

We partnered with a client specializing in battery active material production to support their growth journey, from initial market entry to capital raising and, most recently, optimizing capital expenditures. Our team conducted a thorough analysis and identified nearly $1 billion in potential CAPEX reductions.

Supporting Sustainable Innovation in Battery Recycling

We helped a recycling client develop a go-to-market strategy for their new low-emission technology, which processes black mass into precursor cathode active material (pCAM) for EV batteries. By creating a bottom-up cost and emissions model, we identified competitive value opportunities and optimized processing routes. Our support, including investor pitch materials, enabled the client to achieve over 70% emissions reduction for pCAM production.

Our Experts

Yunjing Kinzel

With over a decade of experience in market intelligence and industry research, co-leads the global Battery Insights team, specializing in China’s battery value chain and policy development.

Alexandre van de Rijt

Leads the global Battery and Energy Storage Insights solutions, which develop end-to-end perspectives across the entire battery value chain; advises clients in residential, Commercial & Industrial and utility-scale energy storage.

Nikola Vekic

Advises clients along the battery value chain on raw material sourcing and pricing strategies; co-leads the McKinsey circular battery vertical.

Christian Ahrberg

Leads the Energy Storage Insights team, providing clients with end-to-end perspectives on the energy storage value chain with a geographical focus on South Korea and broader Asia.