February 26, 2024

Growing need for recyclable batteries to boost the growth of Battery Rebuild Service Market

 

Battery rebuild service involves rebuilding or reconditioning of spent lead-acid batteries to restore their lifespan and storage capacity. Such batteries are commonly used in automobiles, heavy equipment, and industrial and renewable energy applications such as solar and wind farms. Through rebuild services, lead from old spent batteries is recovered, crushed, washed and melted to produce new grids and plates. Further, compartments are cleaned and filled with new electrolyte solution, which allows batteries to regain 80-90% of their original storage capacity at a significantly lower cost compared to purchasing new batteries. This makes battery rebuild services an economically viable and environmentally sustainable option for extending the life of lead-acid batteries.

The global Battery Rebuild Service Market is estimated to be valued at US$ 3.90 Bn in 2023 and is expected to exhibit a CAGR of 6.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends in the battery rebuild service market is rising adoption of sealed lead-acid batteries. Sealed lead-acid batteries are maintenance-free and do not require watering during their lifespan, making them suitable for a variety of applications. Moreover, sealed batteries can also be reconstructed through rebuild services, which is fueling their demand. Additionally, stringent environmental regulations around e-waste disposal and rising focus on recycling spent batteries is driving the growth of the battery rebuild service market. Rebuild services help in recovering over 95% of materials from spent batteries, including lead, polypropylene and sulfuric acid electrolyte for reuse. This significantly reduces battery waste and promotes circular economy principles of reuse and recycling.

Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as the battery rebuild service market requires technical skills and access to testing tools and equipment which requires high initial investment.
Bargaining power of buyers: The bargaining power of buyers is high as the services offered by battery rebuild service providers can be substituted and there are many service providers.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw materials required for battery rebuild services have few substitutes and suppliers have some control over pricing.
Threat of new substitutes: The threat of new substitutes is moderate as new energy storage technologies can potentially disrupt the battery rebuild service market over the long term.
Competitive rivalry: high.

Key Takeaways
The global Battery Rebuild Service Market is expected to witness high growth, exhibiting a CAGR of 6.8% over the forecast period, due to increasing demand for energy storage solutions across various end-use industries.

Regional analysis: North America currently dominates the battery rebuild service market owing to the strong presence of battery service providers and suppliers in the region. Asia Pacific is expected to exhibit the fastest growth in the battery rebuild service market during the forecast period supported by increasing manufacturing activities and automotive production in China and India.

Key players operating in the Battery Rebuild Service Market are Battery Solutions LLC, Battery Builders Inc., Battery Service Hub, The Battery Medic LLC, Interco Trading Company, Interstate Batteries Inc., Johnson Controls International plc, Tesla Inc., Battery Universe LLC, Battery Recyclers of America, Relectrify Pty Ltd., Battery-Biz Inc., Enertec Batteries Pty Ltd., Stryten Manufacturing LLC, Allied Battery Co. The key players are focusing on increasing their production capacities and global footprint to meet the growing demand.

 

*Note:

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