This report delves into the intricate dynamics of the electric vehicle (EV) industry, with a focus on achieving price parity with traditional internal combustion engine (ICE) vehicles. It presents a detailed component-wise analysis, highlighting the high-voltage battery as the pivotal element, constituting over 40% of an EV's total cost.

The content explores the functionalities of key EV components like lithium-ion batteries, electric motors, and chargers, emphasizing their roles and operational mechanisms. Additionally, it discusses the current cost disparities in EVs, underscoring the challenges and potential strategies to reduce these costs, such as domestic lithium-ion cell production, technological advancements in battery efficiency, and innovative business models like Battery-as-a-Service (BaaS). The post provides a comprehensive view of the efforts and developments that are steering the EV industry towards a more economically competitive future against conventional vehicles.