Global shift to EVs spurs innovations in battery materials

Electric vehicles are becoming central to transportation decarbonization strategies, supporting national climate targets and reshaping the future of mobility.  The global electric vehicle market is growing rapidly, expected to be valued at around US$ 833.2 billion in 2026 and projected to reach US$ 2,169.5 billion by 2033, with a CAGR of 14.7% in the coming years, according to projections by Persistence Market Research Pvt. Ltd. This expansion comes from continuous battery technology improvements, declining battery costs, supportive government policies, and strong investments across the automotive value chain.

Government incentives and tightening emission standards are significantly increasing the demand for electric vehicles worldwide. Policymakers are using subsidies, tax exemptions, purchase incentives, and zero-emission mandates to reduce dependence on fossil fuels and encourage cleaner transportation alternatives. Countries across Europe, North America, and Asia Pacific are implementing stricter fuel economy regulations, making electrification a critical strategy for automakers to meet compliance requirements. The industry’s leading players include Tesla, BYD, Hyundai Motor Group, Volkswagen Group, and SAIC Motor, according to the report. More than 85% of global vehicle sales are now covered by increasingly stringent fuel economy and CO₂ regulations. Markets such as China, the European Union, and several U.S. states have strengthened zero-emission vehicle targets, creating a favorable environment for EV manufacturers. These policies have accelerated investments in battery production, vehicle assembly plants, and charging infrastructure.

Battery technology improvements and lower lifetime ownership costs are another major driver of the electric vehicle market. Advances in lithium-ion batteries have increased vehicle range, improved energy density, reduced charging times, and lowered production costs. These developments are making EVs increasingly competitive with conventional internal combustion engine vehicles. Electric vehicles can deliver up to 50% lower maintenance and operating costs over their lifetime compared to internal combustion engine vehicles. With fewer moving parts, lower servicing requirements, and reduced fuel expenses, EVs are becoming more attractive for private consumers, fleet operators, and commercial transportation providers.

While charging infrastructure gaps and affordability challenges remain in certain regions, lower ownership costs and expanding model availability continue to strengthen consumer adoption. Government incentives, stringent emission regulations, and rapid advances in battery technology continue to accelerate global EV adoption. Battery Electric Vehicles (BEVs) are expected to lead the propulsion segment with a 45% market share, while Fuel Cell Electric Vehicles (FCEVs) are projected to be the fastest-growing propulsion technology. Asia Pacific is projected to account for over 58% of the global market, led by China's manufacturing strength and large-scale EV adoption, while India is expected to be the fastest-growing regional market.

Full EV battery material innovation ecosystem from pack to power components

Last June 9 to 11, SABIC participated in the Battery Show Europe in Stuttgart, Germany, and featured its growing portfolio of specialty thermoplastics that add value to energy storage and power electronics systems.  The company highlighted the newly launched LNP™ THERMOCOMP™ OFM compounds, which are well suited for high-power, high-voltage electric drive and power module applications. These compounds, based on polyphenylene sulfide (PPS) resin, broaden the scope of SABIC’s offering for the industry and address increasingly rigorous voltage and power demands.

“Our customers are under pressure to deliver EV systems that handle more power, run cooler and operate more reliably,” said Sergi Monros, vice president, SABIC’s Specialties BU. “We continue to expand our specialty materials portfolio with solutions like our new high voltage LNP THERMOCOMP OFM compounds and the broad range of material solutions we’re showcasing here. From charge to discharge, we aim to help engineers improve performance, safety and manufacturability across the entire energy storage and power electronics systems,” he said.

Illustrating its extensive product scope, SABIC displayed a full-size replica of an electric vehicle (EV) battery pack, as well as individual battery components. These included a lightweight honeycomb energy absorber using NORYL GTX™ resin, a cell retainer and module frame made with LNP™ KONDUIT™ compound, and electrical insulation film extruded from NORYL™ NHP resin.

Beyond EV battery components, SABIC materials on display encompassed high-voltage capacitors made with ELCRES™ HTV150A film, an EV inverter housing molded from ULTEM™ resin and a high-voltage header featuring LNP KONDUIT compound.

At SABIC’s booth, attendees were able to explore how these and other specialty materials enhance the performance, reliability, usability and safety of systems that generate power, convert high voltage current and store energy.

New high-performance binder for the next generation of EV batteries

With the transition to new battery technologies, particularly solid-state batteries (SSB), material requirements are increasing significantly. This next generation of batteries enables longer driving ranges, faster charging times, and enhanced safety – while placing the highest demands on the performance and reliability of all components used.

BASF introduced Oppanol® N PLUS, a new high-performance binder for the next generation of electric vehicle (EV) batteries. The product was also presented at The Battery Show Europe. 

Oppanol N PLUS is based on BASF’s proven polyisobutene (PIB) technology and has been specifically engineered for modern battery concepts. As a binder, it plays a central role in the cathode, anode, or electrolyte by reliably holding the individual components together while keeping them effectively separated. Thanks to its high elasticity and extensibility, the material compensates for mechanical stress during charging and discharging, thus significantly contributing to battery lifetime and stability. At the same time, Oppanol is chemically inert, preventing unwanted side reactions.

A key feature of Oppanol N PLUS is its exceptionally high and consistent product quality with very narrow specifications. This enables: reduced variability in production processes, less need for reformulation at the customer, lower quality control efforts, and faster and more stable process adjustments.

In addition, BASF offers enhanced services: customers benefit from particularly fresh material supplied directly from stock, as well as more flexible delivery options with smaller packaging sizes starting at 20 kilograms. This supports battery manufacturers and OEMs in efficiently implementing the next generation of high-performance and reliable batteries for e-mobility.

“With Oppanol N PLUS, BASF combines decades of expertise with the requirements of tomorrow’s e-mobility. The new product exemplifies the company’s commitment to continuously advancing proven materials and actively shaping the transition to sustainable technologies,” said Madeleine Jordan, Global Business Management, Oppanol at BASF.

The launch of Oppanol N PLUS coincides with a milestone year: 95 years ago, BASF laid the foundation for polyisobutene technology. In 1931, Michael Otto first demonstrated that isobutene can be polymerized under suitable conditions – a breakthrough that led to the development of the Oppanol product family. In the same year, BASF filed a patent for a process to manufacture PIB. The product was later named “Oppanol” after the Ludwigshafen district of Oppau, where it was first developed. It took another seven years of research and development before Oppanol could be produced on an industrial scale. In 1938, production began at the newly built Oppanol plant – marking the start of the polymer’s global success.

From the outset, Oppanol fascinated researchers and users alike with its unique property profile: it is transparent, impermeable to water and a wide range of gases, resistant to chemicals, physiologically harmless, and adhesive. Today, Oppanol is used worldwide in a broad range of applications, including chewing gum, adhesive bandages, insulating glass windows cable insulation, roofing membranes, pipeline coatings and modern battery technologies. It also stands for exceptional durability, chemical stability, and reliable performance.