India Battery - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026 - 2031)

According to Mordor Intelligence, the India battery market size is projected to expand from USD 12.68 billion in 2025 and USD 14.01 billion in 2026 to USD 23.30 billion by 2031, registering a CAGR of 10.71% between 2026 to 2031.

This report is Segmented by Battery Type (Primary Batteries and Secondary Batteries), Technology (Lead-Acid, Li-Ion, Nickel-Metal Hydride, Nickel-Cadmium, Sodium-Sulfur, Solid-State, Flow Battery, and Emerging Chemistries), and Application (Automotive, Industrial, Portable, Power Tools, SLI, and Other Applications). The Market Sizes and Forecasts are Provided in Terms of Value (USD).

India Battery Market Trends and Insights

Supportive Government Incentives & Policies

Multi-tiered fiscal measures are lowering entry barriers across the India battery market. The PM E-DRIVE scheme, launched in 2024 with a Rs 10,900 crore (USD 1.3 billion) corpus, extends demand incentives to e-ambulances and e-trucks, broadening the subsidy horizon beyond FAME-II, which had earlier supported 1.6 million electric vehicles. Maharashtra's 2025 EV policy adds capital subsidies of up to Rs 10 lakh per charging station, while Tamil Nadu waives road tax and registration fees until 2030 to accelerate fleet turnover. These incentives shorten payback cycles for OEMs and encourage gigafactory siting in states that layer state perks atop federal grants. As a result, domestic capacity commitments reached 68 GWh in 2025, a 40% jump over 2024 announcements.

Declining Lithium-ion Battery Prices

Global pack prices fell to USD 115 per kWh in 2024 and are trending toward USD 80 per kWh by 2026, easing the cost barrier that historically constrained India's battery market penetration. Ola Electric sources cathode precursors at spot rates 18% below 2023 averages, allowing its S1 scooter pack to retail at Rs 45,000, undercutting lead-acid alternatives across a ten-year lifecycle. Exide Industries and Amara Raja target sub-Rs 50,000 packs for three-wheelers by late 2026, signaling imminent price inflection for commercial fleets. Falling input costs thus reinforce demand-side incentives, giving the India battery market dual momentum on the supply and demand fronts.

Critical Mineral Supply Vulnerabilities

The India battery market remains fully import-dependent for lithium and cobalt, leaving domestic producers exposed to geopolitical shocks. Although lithium carbonate prices cooled to USD 12,000 per tonne in 2024, long-term contracts still track Chinese benchmarks influenced by strategic stockpiling. Government auctions of lithium blocks in Jammu & Kashmir and Rajasthan revealed reserves equal to just 3-4 years of projected demand at 2031 run-rates. Cobalt risks are starker because 70% of global supply comes from the Democratic Republic of Congo, where artisanal mining raises social and delivery uncertainties. OEMs are pivoting to cobalt-free LFP cathodes, yet premium NMC batteries still anchor high-range vehicles, keeping supply-chain fragility in focus.

Other drivers and restraints analyzed in the detailed report include:

1. Rapid EV Adoption in Two- & Three-Wheelers
2. Expanding Telecom & Data-Center Backup Needs
3. Under-developed Battery Recycling Ecosystem

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

Secondary batteries accounted for 65.5% of India's battery market share in 2025, and this slice is projected to expand at a 15.9% CAGR through 2031 as automotive electrification accelerates and stationary storage scales. The India battery market size for secondary cells is projected to rise from USD 8.30 billion in 2025 to almost USD 18 billion by 2031, cementing its dominance. Lithium-ion chemistries make up 42% of secondary-battery revenue, propelled by OEM transitions from lead-acid starter-lighting-ignition units to traction packs that deliver 2,000-5,000 charge cycles. Ola Electric's 5 GWh block and Exide's Rs 7,000 crore lithium line exemplify capital flowing toward rechargeables.

Primary batteries still serve remote sensors and medical devices, but will grow only 3.2% annually as portable-electronics makers adopt integrated lithium-polymer modules. NiMH packs persist in select hybrids such as Toyota's Camry because of superior high-heat tolerance. NiCd use is shrinking after Bureau of Indian Standards tightened cadmium limits. Flow and sodium-sulfur technologies are piloting grid projects, but high capital costs keep them niche.

Complete Report Scope:

• By Battery Type
  • Primary Batteries
  • Secondary Batteries
• By Technology
  • Lead-acid
  • Li-ion
  • Nickel-metal hydride
  • Nickel-cadmium
  • Sodium-sulfur
  • Solid-state
  • Flow Battery
  • Emerging chemistries
• By Application
  • Automotive (HEV, PHEV, and EV)
  • Industrial (Motive, Stationary (Telecom, UPS, ESS), etc.)
  • Portable (Consumer Electronics, etc.)
  • Power Tools
  • SLI
  • Other Applications

List of Companies Covered in this Report:

1. Exide Industries Ltd.
2. Amara Raja Energy & Mobility Ltd.
3. Luminous Power Technologies Pvt. Ltd.
4. HBL Power Systems Ltd.
5. Tata AutoComp GY Batteries Pvt. Ltd.
6. Okaya Power Pvt. Ltd.
7. Ola Electric Mobility Pvt. Ltd.
8. Reliance New Energy Ltd.
9. Rajesh Exports Ltd. (ACC Div.)
10. GODI India Pvt. Ltd.
11. Panasonic Energy India Co. Ltd.
12. LG Energy Solution (India)
13. JSW Energy Battery Division
14. Ather Energy Pvt. Ltd.
15. Hero Electric Vehicles Pvt. Ltd.
16. Su-Vastika Systems Pvt. Ltd.
17. iPower Batteries Pvt. Ltd.
18. Trontek Electronics Pvt. Ltd.
19. Evolute Solutions Pvt. Ltd.
20. Waaree Energies - Battery Storage Div.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support