In the US, the current administration’s Bipartisan Infrastructure Law and the American Battery Materials Initiative are making a concerted effort to secure a reliable source of materials and manufacturing capability for state-of-the-art batteries that will power electrification in transportation and nearly every other aspect of modern society.
Given the challenges of reliance on international petroleum and other energy markets and dependence on foreign sources of critical minerals, this is a long overdue and necessary policy initiative that should continue into the next administration since it economically benefits key constituencies. (Figure 1)

Figure 1. The transition to sustainable electrification and domestic battery production offers a crucial opportunity to modernize outdated manufacturing methods and minimize material waste.
However, as funding progresses for “battery-grade processed critical minerals, battery precursor materials, battery components, and cell and pack manufacturing,” the nation should question where the technologies for processing the materials and manufacturing the cells are coming from.
Is battery manufacturing so advanced that such necessities are inexpensive commodities — already as productive and efficient as they will ever be?
McKinsey & Company recently published an analysis that included a breakdown of typical costs for making a battery cell for vehicles or grid-connected energy storage. The bulk of the costs, 60 to 65%, is in the bill of materials for core components — the physical things that go into batteries, such as the lithium salts, lithiated metal oxides, graphite, copper, aluminum, and liquid electrolytes, as well as the packaging.
Operational expenses comprise most of the rest and cover manufacturing considerations like the roll-to-roll coating of the electrodes, rolling or stacking the electrode layers, assembly, the lengthy process of formation — the critical first few battery cycles — and testing, quality control, etc.
At first glance, the data seem straightforward. However, buried in these numbers are often overlooked costs baked into the way batteries are made — and have been made for over three decades.
The thickness of battery component layers, how they are stacked, the shape and size of the cells, and even the composition of the electrodes themselves are driven primarily by compatibility with old manufacturing technology rather than what makes a better and/or more cost-effective battery. The proverbial tail wags the dog.
For example, copper has excellent conductivity and is so widely used in batteries that it is classified as a near-critical material by the US Department of Energy. However, the copper layer in a typical Li-ion battery is up to ten times thicker than is required for good electrical conduction simply because thin copper films are too challenging to handle with dated but entrenched manufacturing methods.
Similarly, substantial quantities of costly and otherwise inert polymer adhesive binders, up to 20% by volume, are added to electrodes to hold them together. This is not because they’re required for battery performance, but rather to maintain integrity during the often-abrasive manufacturing process (Figure 2).

Figure 2. The traditional battery electrode coating and assembly production steps for a lithium-ion battery cell.
Most existing manufacturing relies on hazardous solvents to make electrode slurries that are then extruded onto rolls of metal current collector foils.
Drying ovens hundreds of feet long are required to slowly remove the toxic solvent without cracking or damaging the electrodes, which are enormous size and energy consumption. Because of the length of these ovens, the coating is made as wide as possible (>1 meter) to afford some economy of scale. But these wide rolls must then be cut or slit before subsequent processing.
Fortunately, there are tools that reduce this waste, which modernize and simplify battery electrode manufacturing. Dry electrocoating technologies remove solvents and ovens from the equation, eliminating the first three steps of traditional battery cell production (Figure 3).

Figure 3. Dry electrocoating technologies are an innovative approach to EV battery production, eliminating the need for traditional solvent-based processes and lengthy drying ovens.
This method streamlines electrode manufacturing, reduces waste, lowers energy consumption, and enables thinner, more efficient battery components for improved performance and cost-effectiveness. It also changes the complexity, size, and form factor capability calculus.
Advancing domestic battery manufacturing requires addressing inefficiencies rooted in outdated production methods. Innovations like dry electrocoating can redefine how batteries are made, reducing waste, cutting costs, and ensuring the US remains competitive in the global push for sustainable electrification.
Filed Under: Batteries, FAQs, Technology News