Jul. 07, 2025
Lithium-ion batteries power the lives of millions of people each day. From laptops and cell phones to hybrids and electric cars, this technology is growing in popularity due to its light weight, high energy density, and ability to recharge.
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So how does it work?
This animation walks you through the process.
A battery is made up of an anode, cathode, separator, electrolyte, and two current collectors (positive and negative). The anode and cathode store the lithium. The electrolyte carries positively charged lithium ions from the anode to the cathode and vice versa through the separator. The movement of the lithium ions creates free electrons in the anode which creates a charge at the positive current collector. The electrical current then flows from the current collector through a device being powered (cell , computer, etc.) to the negative current collector. The separator blocks the flow of electrons inside the battery.
While the battery is discharging and providing an electric current, the anode releases lithium ions to the cathode, generating a flow of electrons from one side to the other. When plugging in the device, the opposite happens: Lithium ions are released by the cathode and received by the anode.
The two most common concepts associated with batteries are energy density and power density. Energy density is measured in watt-hours per kilogram (Wh/kg) and is the amount of energy the battery can store with respect to its mass. Power density is measured in watts per kilogram (W/kg) and is the amount of power that can be generated by the battery with respect to its mass. To draw a clearer picture, think of draining a pool. Energy density is similar to the size of the pool, while power density is comparable to draining the pool as quickly as possible.
The Department of Energy's Vehicle Technologies Office (VTO) works on increasing the energy density of batteries, while reducing the cost, and maintaining an acceptable power density. For more information on VTO’s battery-related projects, please visit the Vehicle Technologies Office website.
Many people in the construction industry understand the basics of how internal combustion engines work — but what about the batteries used to power electric construction equipment? Now’s a great time to learn since battery-electric machines are becoming more common on jobsites.
Most electric vehicles — like cars and Volvo electric machines — use lithium-ion batteries, which are rechargeable batteries also used in electronic devices such as mobile phones, laptops and more. They’re called “lithium-ion” because lithium ions move between two electrodes during the charging and discharging cycles to store and release energy.
Let’s take a deeper look at what makes up a lithium-ion battery and how the components inside work.
First off, electricity can’t be captured and stored. It must be converted into another energy form (e.g chemical energy) which can then be stored.
Batteries are like fuel tanks — they don’t produce energy, but rather store it. In an internal combustion engine, the bond energies within gasoline or diesel molecules are broken and converted to heat, which in turn transforms into the mechanical energy needed to drive the piston inside the engine. Similarly, batteries store electricity from the power grid in the form of chemical potential and then discharge that energy to provide electricity when it’s needed.
Lithium-ion batteries contain four major components:
1. Anode (-)
2. Cathode (+)
3. Electrolyte
4. Separator
A battery must be connected to an external circuit (e.g. an electric machine or a mobile , as examples) to absorb and release energy. Electrons are the energy that provide the power. They move from the anode through the external circuit to the cathode while lithium ions stay inside the battery and move through the electrolyte to the other side — we’ll explain this more in a bit.
First, what are anodes, cathodes, separators and electrolytes? Let’s take a look:
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Lithium is popular because it’s incredibly reactive and can store a lot of energy. This reactivity allows lithium-ion batteries to be small and lightweight, yet powerful — which is ideal for portable electronics and electric vehicles.
On the periodic table of elements, you’ll notice that Lithium is #3, meaning it has three protons (+) in its nucleus and three electrons (-) arranged in two “shells” around the nucleus — this electron arrangement is the key.
The first shell holds two electrons — further out, the second shell holds one. This single electron in the outer shell makes lithium highly reactive, as it wants to lose this electron to achieve a more stable configuration.
When lithium loses its electron, the remaining subatomic particles become what’s called an ion. An ion is simply an atom that has an electric charge because it either gained electrons, making it negatively charged, or lost electrons, making it positively charged. In this case, lithium loses an electron and becomes a positively charged lithium ion. This is where lithium-ion batteries get their name.
So, where do these lost electrons and newly formed lithium ions go?
To explain what’s happening, we’ll use the NMC (nickel, manganese and cobalt oxide) battery configuration on an electric machine as our example:
Once most of the lithium has moved from the anode to the cathode during discharge, the battery is empty.
DISCHARGING: LITHIUM IONS & ELECTRONS MOVE FROM ANODE TO CATHODE
CHARGING: LITHIUM IONS & ELECTRONS MOVE FROM CATHODE TO ANODE
Over time, though, the irreversible nature of the process can change the chemistry and structure of battery materials, which, in turn, can reduce battery life and performance.
It’s worth noting too that different types of lithium-ion batteries have slightly different chemistries. Still, they all rely on the movement of electrons and lithium ions between electrodes to store and release energy.
The most common types of batteries are lead acid, nickel based and lithium-ion — and there are a few different kinds of lithium-ion batteries based on the material they’re made from. Here at Volvo, we’re currently using NMC (nickel, manganese, cobalt oxide) because they:
Lithium-ion batteries are superior to lead-acid batteries because they:
Among lithium-ion batteries, NMC has better fast-charging capabilities, better cold-weather performance and a higher energy density when compared with LFP.
If you own electric heavy equipment, here are a few tips to help ensure you have plenty of power when you need it and limit battery degradation over time:
Note that for Volvo electric equipment, the SOC window is between 10% and 90%, versus for cars where the SOC window is wider. An electric machine showing 0% SOC is actually 10% for the battery and showing 100% SOC is actually 90%.
We recognize this all may still seem a bit complicated, but a big part of that is because it’s still fairly new to our industry. Think about how confusing it can be for someone new to learn about how an internal combustion engine works. With time and experience, though, it all starts to make more sense — and this will too.
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