As global climate change intensifies and the transition to clean energy accelerates,
lithium-ion batteries—critical components of electric vehicles—are becoming increasingly
vital in international trade networks. This study investigates the structural evolution
and determinants of the electric vehicle lithium-ion battery trade network among European
Union (EU) member states from 2012 to 2023, employing social network analysis and
the multiple regression quadratic assignment procedure method. The findings demonstrate
the transformation of the network from a centralized and loosely connected structure,
with Germany as the dominant hub, to a more interconnected and decentralized system
in which Poland and Hungary emerge as the leading players. Key network metrics, such
as the density, clustering coefficients, and average path lengths, reveal increased
regional trade connectivity and enhanced supply chain efficiency. The analysis identifies
geographic and economic proximity, logistics performance, labor cost differentials,
energy resource availability, and venture capital investment as significant drivers
of trade flows, highlighting the interaction among spatial, economic, and infrastructural
factors in shaping the network. Based on these findings, this study underscores the
need for targeted policy measures to support Central and Eastern European countries,
including investment in logistics infrastructure, technological innovation, and regional
cooperation initiatives, to strengthen their integration into the supply chain and
bolster their export capacity. Furthermore, fostering balanced inter-regional collaborations
is essential in building a resilient trade network. Continued investment in transportation
infrastructure and innovation is recommended to sustain the EU’s competitive advantage
in the global electric vehicle lithium-ion battery supply chain.