Manufacturers are shifting to modular native EV platforms, both to better accommodate electric powertrains and to support high-volume production. Native EV platforms can accommodate battery packs that are up to 25 percent larger, providing greater drive range and supporting flexible powertrain configurations. Advances in battery chemistry will continue to improve the energy density of these batteries, further improving range. The cost to manufacture and purchase EVs will decline as production increases, but reaching price parity with ICE vehicles will require additional advancements in battery production methods. Batteries are the main contributor to the cost of EVs. The production of battery cells is the primary challenge, accounting for 70% of the total cost of the battery pack. 

Still, battery manufacturers will need additional means of reducing cell production and battery pack assembly costs to deliver cost-effective vehicle batteries. EV manufacturing presents new and novel challenges to automotive OEMs and startups seeking to become major electric mobility players. These companies will need to adopt advanced manufacturing technologies, such as industrial automation, and develop modular production facilities to produce the lightweight and flexible platforms needed for next-generation EVs.