Executive Summary
With the commercialization of electric vehicles by U.S. company Tesla, demand for secondary batteries as a replacement for internal combustion engine fuel is expected to surge. As a result, secondary battery manufacturers are accelerating technology development to enhance their competitiveness and are employing various strategies to create barriers to entry for new competitors.
Collaboration Between Automotive Manufacturers and Secondary Battery Manufacturers
One of various approaches to achieve this is through collaboration between final vehicle manufacturers and secondary battery manufacturers. For example, LG Energy Solution of Korea and General Motors of the United States are jointly developing secondary batteries (reference source 1). Through such joint development, secondary battery manufacturers can reduce the risk of technology development, while electric vehicle manufacturers can increase their design freedom.
Formation of Entry Barriers Through Patents
Another strategy is to secure patent rights, which are exclusive rights, in order to form entry barriers for latecomers. Since patents must be established and registered in each country, patent applications are concentrated in regions where electric vehicles are sold, or secondary batteries are produced.
According to the following graph and table (reference source 2), patent applications for high-efficiency secondary battery technologies are most actively being pursued in China, Korea, and Japan, in that order.
In the analysis of the table, the top 10 patent applicants include Korean companies such as LG (LG Chem, LG Energy Solution), Samsung SDI, and SK (SK On, SK Innovation), as well as Chinese companies CATL and BYD. Among these, LG holds the top spot with the highest number of patent filings, followed by CATL and Samsung SDI.
Interestingly, Korean companies among the top 10 applicants are primarily secondary battery manufacturers. Korean automotive companies (such as Hyundai Motor) appear to be relatively less active in developing secondary battery technologies. However, as the electric vehicle infrastructure expands and safety is ensured, it is highly likely that automotive companies will also increase their interest in secondary battery technology.
Analyzing the table regarding the proportion of overseas patents, Korea, Japan, U.S., and Germany tend to actively file patents both domestically and internationally. In contrast, China tends to focus on domestic patent filings. This is likely due to China’s relatively larger domestic automotive market compared to its export market. If China’s automotive exports increase in the future, it is expected that the proportion of overseas patents filed by Chinese companies will also rise.
Reference source 1: http://www.m-economynews.com/news/article.html?no=48597
Reference source 2: https://www.kipo.go.kr/ko/kpoContentView.do?menuCd=SCD0201295