Battery Market, Overview, Key Trends, Key Takeaways

Posted 2023-11-16 06:40:01

The global Battery Market is estimated to be valued at US$ 167.07 Bn or Mn in 2023 and is expected to exhibit a CAGR of 18% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Batteries are energy storage devices that convert stored chemical energy into electrical energy. They come in various shapes and sizes, ranging from button cells to megawatt systems connected to stabilize power grids. The increasing demand for portable electronics and the rising adoption of electric vehicles are expected to drive the growth of the battery market.

Market key trends:
The rising adoption of electric vehicles is one of the key trends in the battery market. Several governments across the world are promoting the use of electric vehicles by offering attractive subsidy schemes to both vehicle manufacturers as well as customers. Countries like China, Germany, Norway, UK, France, etc. have set targets to phase out internal combustion engine (ICE) vehicles in the coming years. This is expected to significantly boost the demand for lithium-ion batteries used in electric vehicles. The growing electric vehicle sales will therefore directly contribute to the increasing demand for batteries over the forecast period.

Market key trends:
One of the key trends in the battery market is the rising demand for Li-ion batteries. Lithium-ion batteries deliver high energy density and don't experience memory effect. They are increasingly being used in various consumer electronics like smartphones, laptops, power tools, and electric vehicles. With greater emphasis on reducing emissions, sales of electric vehicles have picked up significantly over the past few years which has further boosted the demand for Li-ion batteries that power EVs.

SWOT Analysis
Strengths: Advanced battery technologies offer better performance, faster charging, and higher energy density. Growing EV industry is creating robust demand.
Weaknesses: High production costs and reliance on imported raw materials. Battery safety issues can negatively impact adoption.
Opportunities: Rising investments in developing low-cost and advanced battery technologies. Increasing demand from renewables sector for energy storage.
Threats: Slow charging infrastructure growth poses challenge to EV adoption. Decline in subsidies can impact EV sales. Intense competition among battery manufacturers.

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 EVs. Rising environmental concerns are prompting consumers to switch to electric vehicles which use batteries as the main power source.

The Asia Pacific region currently dominates the battery market, with China being the largest producer and consumer. Presence of major automobile and battery manufacturers and high EV sales are driving the Asia Pacific market. The region's market is projected to expand at a high CAGR during the forecast period.

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. Major players are investing heavily in developing advanced technologies to improve battery performance and safety.