10 July 2025
LMR battery technology: The next rival to LFP?
Article Summary
Explore how lithium manganese-rich (LMR) battery technology offers a cost-effective, high-energy alternative in the EV market, rivaling traditional solutions.
In the rapidly evolving and highly competitive world of electric vehicles (EVs), battery technology can be a game-changer. Among emerging battery chemistries, high-manganese lithium-ion (Li-ion) batteries — often referred to as lithium manganese-rich (LMR) batteries — are gaining significant attention for their potential to address the limitations of current technologies.
LMR batteries are a subtype of Li-ion batteries that incorporate a higher proportion of manganese in the cathode material. Unlike traditional lithium nickel cobalt manganese (NCM) batteries, such as NCM811, NCM622 and NCM523, which rely heavily on cobalt and nickel, LMR batteries substitute a significant fraction of these costly and supply-constrained metals with manganese.
The recent announcement by General Motors (GM) and LG Energy Solution regarding LMR battery technology has cast a spotlight on its promising potential in EVs. GM aims to become the first automaker to deploy LMR prismatic battery cells for future GM electric trucks and full-size sport utility vehicles (SUVs). This move aligns with ongoing automotive industry trends that emphasize sustainability and innovation in battery technology. Ultium Cells, a GM and LG Energy Solution joint venture, plans to start commercial production of LMR prismatic cells in the US by 2028.
Apart from GM, other automakers, including Ford, have expressed interest in high-manganese chemistries, although commercial timelines remain tentative. In April, Charles Poon, director of Electrified Propulsion Engineering at Ford, wrote in a LinkedIn post that the automaker had made a breakthrough with LMR battery technology. He revealed Ford was actively working to scale LMR cell chemistry and integrate them into the company’s future vehicle lineup within this decade.
We also expect European automakers such as Volkswagen (VW) to embrace the technology in the long term. VW Group’s cathode active material (CAM) partner, Umicore, has been developing LMR batterytechnology for many years.
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How competitive is LMR battery technology?
Although not new to the scene, LMR battery technology has been quietly evolving behind the scenes for years. For instance, GM began researching LMR batteries as early as 2015. Despite this long-standing research, persistent technical hurdles have stopped the technology from entering practical EV battery technology applications.
Technical challenges facing LMR batteries
LMR batteries tend to experience capacity fading and voltage decay over repeated charge cycles, reducing overall performance. These batteries also have limited rate capability, struggling with fast charging and high-power output.
Thermal stability is also a concern, as heat buildup can affect safety. However, the chemistry does offer several appealing advantages.
Reduced reliance on critical materials
A typical high-nickel battery cell comprises approximately 85% nickel, 10% manganese and 5% cobalt. In contrast, the composition of LMR cells differs significantly, containing about 35% nickel, 65% manganese and almost no cobalt. This reduced reliance on critical materials such as cobalt and nickel proves highly advantageous in geopolitically charged times.
Cost efficiency through abundant resources
Manganese is far more abundant and less expensive than cobalt and nickel, both of which dominate traditional NCM battery cathodes. By leveraging manganese-rich cathodes, manufacturers can significantly reduce raw material costs and mitigate supply chain risks associated with cobalt mining.
However, it should be noted that the higher lithium content in high-manganese batteries makes them more vulnerable to price volatility, a characteristic that has marked the lithium market over the past couple of years.
Superior energy density compared to traditional chemistries
Another significant advantage of LMR over established chemistries such as lithium iron phosphate (LFP) batteries is its superior energy density. LMR cells typically operate at a higher voltage (about 4.1 V) than LFP (about 3.2 V), enabling more energy storage per unit weight or volume. GM estimates its new LMR cells will achieve 33% more energy density while maintaining a cost comparable to that of LFP batteries.
Enhanced low-temperature performance
LMR batteries demonstrate better low-temperature performance than LFP, retaining a higher percentage of their capacity at subzero temperatures. This characteristic is critical for EV usability in colder regions, where battery efficiency and range typically fall short.
Sustainability and environmental benefits
Moreover, the sustainability benefits of manganese-rich batteries, owing to manganese’s abundance and lower toxicity, align with tightening environmental regulations and consumer demand for greener products.
Some of the high-manganese EV battery technologies poised for use in the light vehicle segment include lithium manganese nickel oxide (LMNO), lithium manganese oxide (LMO) and NCM217. However, these chemistries are still far from commercialization in EVs.
We do not expect mass adoption of high-manganese batteries during this decade. NCM217 will be the most popular of the three chemistries, with an expected demand for nearly 110 GWh in 2035.
Large scale adoption of LMR battery technology: Not expected any time soon
The broader industry recognizes that LMR could complement existing LFP batteries and high-nickel batteries, enabling a diversified battery portfolio tailored to vehicle segments and price points. Given their superior energy density and low cost, LMR batteries can be considered an alternative to LFP batteries. However, LMR is still in the development phase, whereas alternatives such as LFP or single-crystal high-voltage NCM are in mass production. LMR’s main value proposition — cost effectiveness — can only be achieved once economy of scale is reached.
Global demand for Li-ion battery by cathode type
Since mainland Chinese companies, who dominate LFP battery technology, have yet to engage with or officially announce developments in LMR, international competitors have a chance to gain an early advantage in a technology that could transform the electric vehicle industry.
The global EV market should grow exponentially, with Li-ion batteries projected to reach multi-terawatt-hour production capacity by 2030. Although we expect the share of LMR battery in the light vehicle segment to remain modest even by 2035, any significant advancement in resolving the technical challenges, complemented by the cost and logistical advantages, can accelerate the adoption of this emerging EV battery technology across automakers and regions.
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This article was published by S&P Global Mobility and not by S&P Global Ratings, which is a separately managed division of S&P Global.