The last battery cost target the government and automakers set was beaten. Their new one is a 60 dollar cell.

In October 2025, Ford, General Motors and Stellantis, working with the Department of Energy through a group called USABC, set a new target for the price of an electric vehicle battery cell, 60 dollars per kilowatt hour, or 50 dollars for a version built with fewer critical minerals. The last time this same lineage of institutions set a battery cost target, in 2013, the market went on to beat it by 2025.

60 dollars1cell level cost target USABC set for a standard electric vehicle battery, dated 6 October 2025
50 dollars2cell level cost target for a version built with fewer critical minerals, same date
108 dollars5global average price of a battery pack in 2025, below the old 125 dollar target the Department of Energy set in 2013

A new cell level target, set in October 2025

Ford, General Motors and Stellantis set a new battery price target through a joint research group called the United States Advanced Battery Consortium, or USABC, working with the Department of Energy, national laboratories and universities. In a technical target sheet dated 6 October 2025, USABC named a cost goal of 60 dollars per kilowatt hour, a kilowatt hour being the unit that measures how much energy a battery can store. The figure is for a single cell, the basic unit inside a battery, not the finished pack, which costs more once casing, wiring and control electronics are added around hundreds of cells. The target assumes cells built in the United States, at a rate of 250,000 vehicles worth a year, in a pack sized at 100 kilowatt hours.

A second, lower target for a design with fewer critical minerals

USABC published a companion target the same day, 50 dollars per kilowatt hour, for a design it calls earth abundant, using less lithium, nickel, cobalt or graphite, metals that are slow and difficult to mine at scale. That is about 17% lower than the standard target, a figure calculated for this article from the 2 numbers. The earth abundant design must meet sourcing rules under the Inflation Reduction Act, a United States law, and last twice as many fast charge cycles, 2,000 against 1,000 for the standard design, before it wears out.

2 cell level cost targets USABC set in October 2025
02040608060Standarddesign50Earth abundantdesigndollars per kilowatt hour

The earth abundant figure comes from a companion target sheet at a separate web address, source 2 below, published by USABC the same day as the standard target.

Source 1.

Show the numbers
Standard design60
Earth abundant design50

The government set a similar target once before

In January 2013, the Department of Energy published a planning document, following a challenge from President Obama the year before. It set a battery cost target of 125 dollars per kilowatt hour by 2022, down from 500 dollars per kilowatt hour in 2012, and stated plainly that hitting 125 dollars would make the lifetime cost of an electric car with a 280 mile range equal to a similar gasoline car. Dr. David T. Danielson, then Assistant Secretary for Energy Efficiency and Renewable Energy at the Department of Energy, wrote this in the document opening message.

Every challenge presents an even greater opportunity, and the EV Everywhere Grand Challenge is no exception.

Dr. David T. Danielson, then Assistant Secretary for Energy Efficiency and Renewable Energy at the Department of Energy. Source 4.

The document describes itself as a planning paper, not official government policy.

A battery cost target, and what the market did nextDepartment of Energy figureIndependent market measurement
01002003004005005002012starting cost1252022target1082025market averagedollars per kilowatt hour

The 500 and 125 dollar figures are the unqualified battery cost figures the Department of Energy stated in its 2013 planning document. The 108 dollar figure is BloombergNEF global average pack price for 2025, source 5, a separate publisher measuring a different thing.

Source 4.

Show the numbers
2012 starting cost500
2022 target125
2025 market average108

The old target came and went. No promise is attached to the new one yet

No source states that the Department of Energy declared the 2022 target met. BloombergNEF, a market research firm, measured the global average price of a lithium ion battery pack, across every use, at 108 dollars per kilowatt hour in 2025, a record low that sits below the old 125 dollar target, 3 years after that target date passed. That 108 dollar figure is a pack level, worldwide average across every application, not the same measurement as the new 60 and 50 dollar figures, which are cell level, United States production only, and specific to 1 light duty passenger pack size. Nobody has yet published what reaching the new numbers will do to the price of a car. The institutions who set the last target watched the market beat it, and have now written the next one.

Sources

  1. USABC EV Performance Targets, Appendix A, USABC Goals for Advanced Batteries for Light Duty Electric Vehicles. United States Advanced Battery Consortium, a subsidiary of USCAR. Published 2025-10-06. Accessed 2026-09-01.
  2. USABC Earth Abundant Low Cost EV Performance Targets, Appendix A, USABC Goals for Earth Abundant Material Low Cost Electric Vehicles. United States Advanced Battery Consortium. Published 2025-10-06. Accessed 2026-09-01.
  3. USABC, the consortium overview page. United States Council for Automotive Research. Accessed 2026-09-01.
  4. EV Everywhere Grand Challenge Blueprint. United States Department of Energy, Office of Energy Efficiency and Renewable Energy. Published 2013-01-31. Accessed 2026-09-01.
  5. Lithium Ion Battery Pack Prices Fall to 108 Dollars Per Kilowatt Hour, Despite Rising Metal Prices. BloombergNEF. Published 2025-12-09. Accessed 2026-09-01.

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