A recent study by SNE Research shows that Chinese electric vehicle (EV) battery manufacturers have continued to dominate the global market. In the first seven months of 2026, the top seven Chinese battery makers accounted for 72.8% of the global market, up by 3.1 percentage points from the previous year. Global battery usage for EVs, plug-in hybrids, and hybrids reached 725.2 gigawatt-hours (GWh) between January and July 2026, reflecting a 20.4% increase compared to the same period in 2025. July alone saw a 22.1% growth in battery use, outpacing the overall annual growth. CATL, the world’s largest EV battery producer, came close to a 40% market share, with its output rising by 26.6% to 289.6 GWh. Its market share increased from 38% to 39.9%. In contrast, BYD, the second-largest global manufacturer, saw slower growth, with its output rising only 4.7% to 106.7 GWh. Its market share dropped from 16.9% to 14.7%. Together, CATL and BYD accounted for 54.6% of the global market, a slight decline from 54.9% the previous year. Korean battery makers faced challenges in the growing market. LG Energy Solution, ranked third, increased its output by 4.5% to 60.3 GWh, but its market share dropped to 8.3%, down from 17.9% a year earlier. SK On, which had previously ranked higher, saw its output fall by 9.8% to 22.3 GWh, pushing it down to eighth place with a 3.1% market share. Production adjustments by key clients in North America and Europe slowed its recovery. Chinese battery manufacturers as a group showed strong growth, with all seven in the top 10 increasing their output by more than 30% compared to the previous year. CALB, Gotion, EVE, and SVOLT all saw significant gains, with REPT making a notable debut in the top 10. These companies collectively raised the share of Chinese manufacturers in the top 10 to 72.8%, up 3.1 percentage points from the prior year. Regional trends varied widely. Europe saw a 29.3% increase in battery demand, while China grew by 16.6%. Asia, excluding China, saw a massive 77.1% rise, and South America surged by 192.6%. In contrast, North America saw a 20.2% decline, partly due to the expiration of U.S. federal tax credits for EVs and the discontinuation of several popular models. Meanwhile, Europe saw a record 35% increase in fully electric vehicle registrations, surpassing gasoline vehicles for the first time in a six-month period. Growth was also strong in India, Southeast Asia, Brazil, and Australia, largely driven by Chinese battery manufacturers. Technologically, the market is shifting toward lithium iron phosphate (LFP) batteries, which now make up 56.1% of the market, up from 51.6%. The average battery capacity per vehicle also increased by 12%, from 34.5 kWh to 38.6 kWh, contributing to overall growth beyond just rising sales. Looking ahead, SNE Research suggests that future success in the sector will depend not only on production capacity but also on regional efficiency, market diversification, product flexibility—especially toward LFP batteries—and supply chain transparency, as the European Union prepares to implement its battery passport regulation in February 2027.