PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1484697
PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1484697
Market Overview
The Li-ion battery market generated revenue of USD 54.2 billion in 2023, which is expected to witness a CAGR of 15.5% during 2024-2030, to reach USD 147.3 billion by 2030. Lithium-ion batteries are used mostly in hybrids and electric cars, as well as computers and cell phones.
They have various advantages including low weight, and high energy density to make batteries work more efficiently, and as they can be recharged, they have been used for multiple applications.
Applications of these batteries go far beyond those components such as phones, power tools, electric cars, and even aerospace parts. On the contrary, while disposal batteries work with metallic lithium as the electrode, a lithium-ion battery is made of an intercalated lithium compound electrode.
The rising activities around the manufacturing arena are beginning to attract a greater need for Li-ion cells and battery packs. The main players in the market, like planners, regulators, policymakers, and investors will shift to the demand through the increase of electric mobility and lithium usage, which will make the goods more affordable and will change the market.
Innovation is a key element regarding cost-cutting for Li-ion batteries. Innovations in electrolyte and anode materials are already evident with new ones such as battery recycling coming to light. A high energy density, long life, and fast charging currents require Li-ion batteries to be made of sturdy materials.
Key Insights
Over the projection period, the Li-NMC category is projected to advance at 16.0% CAGR with the largest industry share.
Characteristics such as high energy density, stability, and long discharge cycles make Li-NMC variants best for numerous devices.
These are used in HEVs, BEVs, and PHEVs to confront battery overheating safety worries.
Emphasis on decreasing cobalt content by NMC cathode designers to make batteries low-priced and fuel industry strength.
The 10,001-60,000 mAh category dominated with a 45% market share in 2023.
Utilized in different types such as BEVs/PHEVs, material handling, marine systems, as well as industrial equipment, etc.
The automotive sector tops the list as the leader with a 30% share in 2023 and the expected 16.2% CAGR, caused by the carbon emission reduction efforts and the transition to electric vehicles.
Lowering lithium-ion battery prices will further lower the purchase cost of EVs, which will increase public adoption of electric vehicles.
China, with a policy of subsidies and quotas, is now the leader in the EV market and it is forecast that China is to prolong its supremacy in this field.
The APAC region, with a 15.8% CAGR, is the fastest-growing lithium-ion battery industry from the projection period, holding the largest share.
Augmented sales of portable electronics and EVs are propelling this development.
Key lithium mining areas are situated in Australia, Chile, and China, with Australia being the topmost producer.
China leads lithium usage, manufacturing more than 3 quarters of worldwide lithium-ion batteries.
EV acceptance in China, India, South Korea, and Japan is positively impacting the market, supported by government incentives and subsidies.