Breaking: EV Battery Prices Plummeting Toward $80/kWh by 2026

EV battery prices are on a steep downward trajectory, with projections indicating a significant drop to approximately $80 per kilowatt-hour (kWh) by 2026. This forecast, supported by major financial institutions and industry analysis, signals a new era of affordability for electric vehicles.

Key Updates on EV Battery Price Declines

• 2026 Price Forecast: Goldman Sachs and other analysts predict average battery prices to reach around $80/kWh by 2026, a nearly 50% reduction from 2023 levels.
• Record Lows Achieved: By late 2025, EV battery pack costs hit a record low of $139/kWh, marking a 14% decrease year-over-year.
• Historical Trend: Battery prices have historically dropped by approximately 19% for every doubling of global cumulative production.
• Cell-Only Prices: Average cell-only prices fell to $79/kWh in late 2025, with some markets experiencing even lower rates.
• Lithium and Nickel Impact: Declines in the prices of key raw materials like lithium and nickel are contributing factors to the overall battery cost reduction.

Why It Matters

This sustained decrease in battery costs is a critical driver for the mass adoption of electric vehicles. Lower battery prices directly translate to more affordable EVs, potentially closing the price gap with internal combustion engine vehicles and accelerating the transition to sustainable transportation.

BloombergNEF: New Record Lows for Battery Prices