Chinese companies are expanding their share of the US and European electric-car battery markets thanks to lower prices, cementing their domination of the industry globally.

China’s Contemporary Amperex Technology Co. ranked No. 1, with a 37% share of the market worldwide, at the end of August, according to a report from Seoul-based SNE Research. When BYD Co.’s 16% share is included, the two Chinese companies account for more than half the battery market for electric cars, the data showed.

CATL’s sales in Europe and US almost doubled from a year earlier, SNE said, without disclosing details. Its batteries are used in Tesla Inc.’s Model 3 and Y, BMW AG’s iX and Mercedes-Benz Group AG’s EQS, in addition to powering Chinese cars like MG Motor’s MG ZS and Guangzhou Automobile Group’s Aion Y, the research group said.

South Korea’s LG Energy Solution Ltd. came third with a 14% share, driven by sales of Tesla’s Model 3 and Y, Volkswagen’s ID. 3 and 4, and Ford Motor Co.’s Mustang Mach-E. Japan’s Panasonic Corp. ranked fourth, led by sales of Tesla’s Model Y, while the Japanese battery firm is seeking to develop a partnership with Mazda Motor Corp, SNE said.

Korean companies may catch up with their Chinese rivals by developing LFP batteries, while the US is encouraging carmakers to reduce reliance on Chinese components for EVs, SNE said. Toyota Motor Corp. is also developing bipolar LFP batteries to roll out in 2026 or 2027.

--With assistance from Danny Lee.