Global Battery Market - Growth, Trends, and Forecast (2018 - 2023)
The temporal decoupling between energy production and consumption can be overcome through a matched energy management, network expansion, or through the use of energy storage. Batteries are used to achieve that desired purpose. The major applications of batteries are in portable electronic equipment, uninterruptible power supplies (UPS) and automotive. Growing demand for electric, hybrid electric, and plug-in hybrid electric vehicles are creating a tremendous growth opportunity for the battery industry. Rise in need for security of energy supply, technological development, increasing disposable income of customers, development of a new application for batteries and decreasing prices of raw materials for manufacturing latest battery products further aided the battery industry. However, the availability of alternatives, like fuel cells, diesel generators, etc., coupled with uncertain regulations may hinder the growth of the market in some countries.
Moreover, to meet the power demand during peak periods, utilities are expected to continue implementing energy storage solutions, of which, most of the energy is generated from renewable energy sources, during off-peak periods. Evolving business models and involvement of utilities in the energy storage space are expected to further enhance the adoption of energy storage systems (ESSs) in the future. Also, the growing need for increased self-consumption of PV electricity on a household level leads to increased demand for household storage systems. This is likely to escalate the demand for batteries during the forecast period.
Lithium Ion Battery is expected to Witness the Highest Growth during the Forecast Period
Before the evolution of lithium-ion battery, lead acid batteries were the dominant form of rechargeable batteries regarding growth rate, whereas w.r.t market share lead acid batteries are still dominant. Lead acid battery is expected to be the market with majority share in 2023 in volume, but Li-ion market is likely to be higher than Lead acid from 2020. Li-ion battery market is driven by Automotive & Industrial applications. The market for lithium-ion batteries has registered a CAGR of 25% during the period of 2000-2016. At present, lead acid batteries occupy the clear majority of the automobile market, stationary storage and hospital equipment. While the upfront cost of lead-acid batteries is still lower than lithium-ion batteries, factors including lower energy density, weight, shorter cycle life, and higher true cost considering lifespan and performance contribute to expectations that growth in lead-acid batteries is expected to be restrained when compared to lithium-ion batteries.
The dominance of Asia-Pacific is expected to continue
Asia-Pacific is expected to be the fastest growing region during the forecast period, followed by North America and Europe. Growing demand for electric, hybrid electric, and plug-in hybrid electric vehicles are creating an excellent opportunity for the battery industry. About 140 million electric cars are expected to be on roads by 2030. Japan is another country, where battery industry is proliferating. Japan has ambitious targets to produce half of the world’s batteries by 2020. Japan also has a subsidy program for 66% of the cost for homes and business that install lithium-ion batteries. The need of flexibility within the electricity system increases with the upcoming proportion of renewable energy generation across various countries. Also, the government policies of multiple nations have become more encouraging and favoring the grid and the renewable energy storage. These supportive policies are expected to drive the demand for the batteries and in turn, provide growth in revenues to the battery manufacturers.
Key Developments in the Market
January 2018: Contemporary Amperex Technology Co Ltd (CATL) announced plans for USD 2 billion IPO in Shenzhen, to build two battery plants, including a giant 24 GWh facility, which would help to massively boost its output
November 2017: Samsung Advanced Institute of Technology (SAIT) developed a unique battery material, graphene ball, which enables a 45% increase in capacity, and five times fast-charging speeds than standard lithium-ion batteries
July 2017: Seiko Instruments Inc.’s subsidiary company, SII Semiconductor Corporation, introduced S-8223A/B/C/D Series 2-to-3 cell secondary battery protection IC for lithium-ion rechargeable batteries
Major Players: Enersys, Exide Industries, GS Yuasa Corporation, Johnson Controls Inc., Panasonic Corporation amongst others.
Reasons to Purchase this Report
Current and future battery market outlook in the developed and emerging markets
Analyzing various perspectives of the market with the help of Porter’s five forces analysis
The segment that is expected to dominate the market
Regions that are expected to witness fastest growth during the forecast period
Identifying the latest developments, market shares, and strategies employed by the major market players
3-month analyst support, along with the Market Estimate sheet in excel
Customization of the Report
This report can be customized to meet your requirements. Please connect with our representative, who will ensure you to get a report that suits your needs
Please note: This publisher does offer titles that are created upon receipt of order. If you are purchasing a PDF Email Delivery option above, the report will take approximately 2 business days to prepare and deliver.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook