Copper shortage impacts electric vehicle drive

author: FutureCar Staff    

Moshiel Biton explores the implications of the "severe" shortage of copper in the context of the electrification revolution. Copper, known as "the metal of electrification," is essential for powering various technologies, including electric vehicles (EVs) and renewable energy storage.

The demand for copper is projected to increase by 53% by 2040, while supply is only expected to rise by 16%. EVs alone account for 55% of copper demand and require significantly more copper than traditional combustion engine cars. The shortage of copper, coupled with other battery production limitations, poses challenges for EV manufacturers and may hinder the pace of EV production.

Furthermore, the scarcity of copper will impact other industries that rely on the metal. To fully leverage the benefits of the electric revolution and reduce emissions, new mining initiatives must be implemented quickly. However, these initiatives can take years to make a significant impact and may have adverse effects on the environment, emphasizing the need for innovative solutions.

To address the copper shortage and achieve net-zero targets, novel technologies and innovative approaches are necessary. These include exploring alternatives to copper, reducing consumption while improving efficiency, and adopting sustainable practices in copper usage.

Investing in reliable sources and stable supply chains is crucial for stabilizing the copper market and mitigating disruptions. However, the severe copper shortage may persist for decades, necessitating the development of mining methods that maximize extraction while minimizing costs and environmental impact.

Efficiency in copper usage is paramount, particularly in the EV industry. Every ounce of copper must be utilized sustainably throughout its lifecycle, from extraction to recycling. Current recycling rates for copper are suboptimal, and efforts must be made to scale up recycling methods and improve collection rates.

Breakthroughs in battery technology can enhance copper efficiency and enable alternative production methods. Research and development in this area are essential to maximize copper utilization and reduce ecological harm.

The Biden administration has recognized the importance of advancing battery technologies and recycling capacities. Initiatives such as the advanced battery research consortium and the invocation of the Defense Production Act aim to support technological breakthroughs and secure critical minerals.

The transition to EVs has the potential to significantly reduce greenhouse gas emissions and lower costs. However, the scarcity and rising cost of copper pose challenges for automakers and environmental agencies. Addressing this scarcity requires collaboration between innovative companies, government subsidies, private investment, and international cooperation.

To achieve a sustainable, electrified, and decarbonized economy, continuous innovation and action are necessary. The urgency to address the copper shortage is evident, and concerted efforts are needed to ensure a successful transition.

About the author: Moshiel Biton is the CEO and Co-Founder of Addionics.

FutureCar Staff