New energy vehicles mainly consist of battery drive systems, motor systems, electronic control systems, and assembly components. The motor, electronic control, and assembly are basically the same as traditional cars, but the reason for the price difference is the battery drive system. From the perspective of the cost composition of new energy vehicles, battery drive systems account for 30-45% of the cost of new energy vehicles, while power lithium batteries account for approximately 75-85% of the cost composition of battery drive systems.

The core to solving the high price of new energy vehicles is to reduce the one-time procurement cost of power lithium batteries. The commercialized power lithium batteries in the market mainly include Lithium iron phosphate battery, lithium manganate battery and ternary material battery. The Chinese market is dominated by Lithium iron phosphate, and Japan and South Korea mostly choose the hybrid battery system of lithium manganate and ternary material. CCID's statistics show that the price of domestic Lithium iron phosphate battery is about 3-4 yuan/Wh, and that of lithium manganate and ternary material batteries is about 4-5 yuan/Wh. Considering the battery capacity of different types of new energy vehicles, the battery capacity of plug-in hybrid vehicles is 10-16KWh, the battery capacity of pure electric vehicles is 24-60KWh, and the battery capacity of pure electric buses is generally 200-400Kwh, corresponding to battery prices ranging from 30000 to 50000 yuan, 70000 to 180000 yuan, and 600000 to 1.2 million yuan. Such high battery prices are the main reason for the high prices of new energy vehicles.