Why Do Polymer Battery Manufacturers Have a High Minimum Order Quantity (MOQ)?

The relatively high Minimum Order Quantity (MOQ) set by polymer (lithium-polymer) battery manufacturers stems from a confluence of factors 

related to production economics, process complexity, supply chain dynamics, and industry practices. Below is a detailed breakdown of the core 

principles:

1. Production Costs & Economies of Scale

High Fixed-Cost Amortization: Manufacturing requires significant capital investment in specialized equipment (coating machines, 

laminating/stacking machines, vacuum drying ovens, electrolyte filling systems, formation and testing lines) and controlled dry-room 

environments. High-volume production is necessary to amortize these fixed costs effectively.

Raw Material Procurement: Key materials (cathode/anode powders, separator, electrolyte, aluminum laminate film) are typically purchased 

in bulk to secure competitive pricing. Small orders lead to higher per-unit material costs and can even face supply chain constraints.

2. Complexity of Custom Manufacturing Process

High Degree of Customization: Polymer batteries are often built to customer-specific requirements—size, capacity, shape (odd form factors), 

and electrochemical formulations. Each new design necessitates:

a.New tooling (custom molds for pouch forming, jigs, fixtures).

b.Adjusted material formulations and process parameters.

c.A new cycle of safety and performance tests (cycling, nail penetration, overcharge, etc.).

d.These substantial upfront costs (NRE - Non-Recurring Engineering) must be justified by a sufficiently large production run.

Process Continuity & Changeover Losses: The production line involves sequential, integrated processes. Switching between different battery 

specifications requires downtime for recalibration, leading to lost efficiency and increased risk of quality deviations during ramp-up.

3. Quality Assurance & Certification Costs

Rigorous Testing & Certification: Each new battery model must undergo extensive internal qualification and often third-party safety certifications 

(e.g., UL, IEC62133, UN38.3). These certifications are expensive and time-consuming, making them cost-prohibitive for very small orders.

Consistency Control: Battery safety and performance heavily depend on cell-to-cell consistency. Large batch production promotes process stability 

and yields superior consistency compared to small, intermittent runs.

4. Supply Chain & Inventory Management

Inventory Risk: Custom components (e.g., specific-sized aluminum laminate film) may need to be ordered exclusively for one project. Small orders 

create high risks of dead stock for both raw materials and finished goods, which have a limited shelf life due to voltage decay.

5. Industry Dynamics & Risk Mitigation

Customer Screening: A higher MOQ acts as a filter for serious, committed customers with stable demand (e.g., OEMs for consumer electronics, 

drones, energy storage), ensuring efficient allocation of engineering and production resources.

Risk Allocation: Manufacturing is capital-intensive. Large orders often come with better payment terms (e.g., deposits, letters of credit), improving 

cash flow security. They also typically involve more technically capable clients who can collaborate effectively on specifications and manage 

application risks.

Summary: The high MOQ is fundamentally a reflection of the manufacturer's need to balance cost efficiency, process rigidity, and financial/

technical risk against the diverse needs of the market. For startups or R&D projects requiring custom cells, common strategies include opting for 

standard models, working with consolidators or smaller niche manufacturers, or using common cylindrical cells (like 18650) in prototypes before 

committing to a custom pouch cell order for mass production.