July 14, 2024

Electric Vehicles Is Fastest Growing Segment Fueling The Growth Of Battery Market

Market Overview:

Batteries are portable devices that convert stored chemical energy into electrical energy. The main advantages of batteries are their portability, reliability and ability to power a wide range of electronic devices. They are used extensively in various applications such as consumer electronics, automotive, grid storage, etc.

Market key trends:

One of the key trends driving the growth of the battery market is the rising adoption of electric vehicles. The automotive industry is witnessing a paradigm shift from internal combustion engine (ICE) vehicles to electric vehicles (EVs) due to stringent emission norms and growing environmental concerns. Many countries are offering incentives and tax rebates to promote the sale of EVs. Leading automobile manufacturers are also extensively investing in the development of EVs and improving battery technologies. This is increasing the demand for advanced lithium-ion batteries with high energy density and longer life for automotive applications.
Segment Analysis

The battery market is segmented into lithium-ion, lead-acid, nickel metal hydride, nickel cadmium and others. The lithium-ion battery segment dominated the market in 2023 and is expected to witness the highest growth over the forecast period due to increasing demand for electric vehicles requiring high energy density batteries. Lithium-ion batteries are preferred over other battery types for their high energy density, high voltage and minimal memory effect.

Key Takeaways

The Global Battery Market Demand  is expected to witness high growth, exhibiting CAGR of 18% over the forecast period, due to increasing demand for electric vehicles driven by stringent emission norms globally.

Regional analysis

Asia Pacific dominated the global battery market in 2023 and is expected to maintain its dominance over the forecast period. This is attributed to the increasing adoption of electric vehicles in countries like China and Japan. China is the largest manufacturer of batteries globally and dominates the lithium-ion battery segment.

Key players

Key players operating in the battery market are BYD Company Limited, Panasonic Corporation, Contemporary Amperex Technology Co. Limited, Samsung SDI Co. Ltd, TianJin Lishen Battery Joint-Stock CO. LTD, GS Yuasa Corporation, Duracell Inc., Clarios (Formerly Johnson Controls International PLC), VARTA AG, LG Chem Ltd, Tesla Inc. and EnerSys.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it