The global market for Battery estimated at US$105.6 Billion in the year 2021, is projected to reach a revised size of US$173.7 Billion by 2026, growing at a CAGR of 10.3% over the analysis period.
Lead Acid, one of the segments analyzed in the report, is projected to grow at a 6.4% CAGR to reach US$46.1 Billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Lithium Ion segment is readjusted to a revised 16.7% CAGR for the next 7-year period. This segment currently accounts for a 29.3% share of the global Battery market.
The battery industry banks on replacement sales as demand growth is related to service life. Even long-lasting rechargeable secondary batteries need replacement in the long run. These factors make replacement sales the driving force behind market growth.
Another important factor which of late is influencing demand for batteries is product safety and environmental sustainability. Reflective of the fact is the growing global momentum towards banning of hazardous substances, such as mercury, cadmium, and lead from batteries.
Already armed with the growing knowledge of harmful impact of batteries, certain regions such as Europe, have formulated directives, which restrict the usage of hazardous components like cadmium in batteries. Therefore, it is not surprising that in the coming years, battery chemistries such as Nickel-cadmium (Ni-Cd), would witness lackluster growth, particularly in the developed markets, where environmental concerns are gaining paramount attention among consumer groups and manufacturers alike.
Presently, the consumer batteries market is dominated by secondary batteries segment. The secondary/rechargeable batteries segment would see lithium-ion rechargeable batteries display the maximum growth opportunities, driven by the widespread popularity of smartphones and notebooks/laptops.
On the other hand, although alkaline batteries would continue to be a dominant force in the primary batteries market, fastest growth in the segment, however would emanate from emerging chemistries such as primary lithium, thereby offering stiff competition to existing chemistries in the segment.
Region-wise, emerging markets will be the chief contributors propelling the market forward in the years to come, all thanks to rising income levels of consumers in these regions. Going forward, battery manufacturers will continue to provide longer lasting batteries by improving the energy density of existing chemistries or by using new chemistries. This factor, coupled with the continuing emergence of power hungry electronic devices, will continue to drive the consumer battery industry forward in the coming years.
Rapid pace of industrialization, growing demand for auto industry and the significant investments being made into the sector in countries such as China and India will drive growth. With Asia-Pacific home to some of the leading electronics companies, the Li-ion batteries market is poised for growth. Renewable energy sector in Asia is gaining strength, due to the need to cut down greenhouse emissions and to meet the growing energy requirements of the developing economies.
China especially is a promising market due to the country being a global manufacturing hub of EVs, which make use of Li-ion batteries. The region`s Li-ion battery market also benefits from China`s leadership in production of electronic devices. India is also expected to emerge as a major market for Li-ion batteries, due to the country`s target to achieve 100% EV sales by the year 2030.
The battery market in North America is projected to register improved growth due to rising demand for consumer electronics, high uptake of electric vehicles, expansion of the renewable energy sector and declining costs of Li-ion batteries. The region remains a leading consumer of advanced batteries and is witnessing consistent focus on battery-related innovations.
The regional market is gaining from favorable policies that are offering desired boost to electric vehicles. Government policies are paving way for large-scale production of electric vehicles and encouraging customers to embrace the technology. Europe is anticipated to experience a strong growth in the coming years as a result of increasing production and uptake of electric vehicles. European market for Li-ion batteries is being driven by the growing adoption of EVs and the rising sales of portable electronic devices.
The increased focus on energy storage systems, specifically for renewable energy technologies, is presenting growth opportunities for the market. The US market for Li-ion battery will be driven by the rising emphasis on use of energy storage systems and the growing importance of clean energy technologies. With the country being an active adopter of battery storage systems based on Li-ion technology, there is high growth potential in this segment. The growing consumer electronics industry is also expected to fuel demand for Li-ion batteries.
MARKET TRENDS & DRIVERS
Li-ion Battery Registers Strong Growth with Expanding Applications in Consumer Electronics, Electric Vehicles and Energy Storage Sectors
A Comparative Review of Key Properties of Different Li-ion Batteries
Existing and Emerging Applications of Lithium-Ion Batteries
China Dominates Li-ion Battery Production, US and Europe Make Efforts to Gain Strong Position
Leading Li-ion Battery Mega Factories Worldwide: Ranked by Storage Capacity in GWh Per Annum
Robust Outlook for EVs Opens New Avenues of Growth for EV Batteries
Pandemic Impact on EVs and Prospects for Battery Technologies
Electric Micromobility Rises in Prominence Amid Covid-19 Pandemic
Global Automakers Focus on Securing Raw Materials for EVs
Projected Demand for Metals and Minerals from Li-ion Battery Packs Used in Passenger EVs by Type for the Years 2025 and 2030
Rising Sales of Electric Buses Bolsters Demand for Li-ion Batteries
Shortfall of Raw Materials to Augment Cost of EV Batteries
Major Players Operating in the EV Battery Space
Production of Electric Cars Set to Increase Focus on Recycling
Li-ion Batteries Emerge as the Dominant Technology for Grid-Scale Energy Storage
Comparison of Key Features for NaS Battery, Lithium-ion Battery, and Flow Battery Technologies
Rapid Growth of Renewable Energy Market Drives Opportunities
Increase in Offshore Wind Installations Presents New Opportunities
Lithium-ion Solar Batteries Hold an Edge over Lead Acid Batteries for Residential Solar Customers
Key Trends Driving the Battery Energy Storage Systems Market
Rapid Proliferation of Smart Homes Bodes Well for Battery Uptake
Driven by Focus on Convenience, Comfort and Energy Savings, the Rising Proliferation of Smart Homes Presents Steady Growth Opportunities for Batteries Market
Smart Cities & IoT Push Up the Need for Smart Batteries
New Battery Chemistry and Modularity at the Forefront of Innovations in UPS Systems
Battery Management Gains Precedence
Backup Power Demand Gives Special Thrust to Lead-Acid Batteries amid COVID-19
Graphene Holds the Potential to Enhance Attributes of Li-ion Batteries
Smart UPS Systems Built on Li-Ion Batteries Present Exciting Opportunities for Data Centers to Leverage Stored, Unused Energy
Increasing Adoption of Li-ion Batteries in Data Centers
Complex Infrastructure and Scale of Modern Data Centers Necessitates Energy Storage: Potential for Flow Batteries
Demand for Portable Batteries Set to Rise in Tandem with Expansion of Portable Applications
Opportunities and Challenges of Sustainable Battery Production
Li-ion Batteries Offer Support for Industrial Applications
Increased Preference for Li-ion Batteries by Motorcycle Manufacturers Due to High Resistivity to Drive the Market Growth
Dynamics in the Consumer Batteries Space
Growing Demand for Mobile Computing Devices To Spur Demand
Widespread Use of Li-ion Batteries in Smartphones
Li-ion Batteries Gain Momentum in Wearable Devices
Demand for Smart Batteries Pushes Up the Importance of Battery Fuel Gauge ICs
The Rise of Drones Spurs Demand for Drone Batteries