Allianz Warns of Increasing Fire Risk to Supply Chain from EVs
Allianz Global Corporate & Specialty (AGCS) has issued a warning about the increased fire risk posed by lithium-ion (Li-ion) batteries in the supply chain, particularly due to the rising adoption of electric vehicles (EVs). AGCS highlights the potential danger of "thermal runaway events" in li-ion batteries, where uncontrollable self-heating can lead to the ejection of gas and shrapnel at high temperatures. These incidents can occur in various configurations of Li-ion batteries used in EVs, presenting a concern for warehousing and sea shipping operations.
AGCS emphasizes the need for prevention measures, such as enhanced training, early detection systems, and adherence to safety protocols. The report also provides recommendations for manufacturers, shippers, transporters, and insurance underwriters to mitigate the risks associated with li-ion battery transportation and storage.
The growth of electric vehicle sales in the U.S. has started to taper off as dealer lots become filled with unsold battery-powered models.