PUBLISHER: The Business Research Company | PRODUCT CODE: 1923917
PUBLISHER: The Business Research Company | PRODUCT CODE: 1923917
Next-generation batteries are advanced energy storage systems developed to surpass the limitations of conventional lithium-ion batteries by enhancing energy density, safety, affordability, sustainability, and longevity. These batteries utilize innovative materials, new chemical compositions, and unique structural designs to boost performance and tackle the environmental and resource-related issues of current technologies.
The primary types of next-generation batteries include lithium-sulfur, sodium-ion, solid-state, aluminum-ion, and flow batteries. Lithium-sulfur (Li-S) batteries, in particular, are rechargeable and feature sulfur as the cathode and lithium as the anode. They come in several formats, including cylindrical, prismatic, pouch, stacked, and flexible types. These batteries serve a wide range of applications, such as electric vehicles (EVs), consumer electronics, grid energy storage, industrial machinery, and portable power tools. End users span across industries such as aerospace and defense, automotive, telecommunications, healthcare, and consumer electronics manufacturing.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
Tariffs have significantly influenced the next generation batteries market by increasing costs for critical raw materials, advanced components, and cross-border battery cell imports, particularly affecting solid-state and lithium-sulfur battery supply chains. regions such as asia-pacific and north america are most impacted due to their reliance on international sourcing and manufacturing concentration. electric vehicles, grid energy storage, and consumer electronics segments face price pressures and delayed deployments. however, tariffs are also encouraging local manufacturing, supply chain localization, and investments in domestic battery innovation ecosystems.
The next generation batteries market research report is one of a series of new reports from The Business Research Company that provides next generation batteries market statistics, including next generation batteries industry global market size, regional shares, competitors with a next generation batteries market share, detailed next generation batteries market segments, market trends and opportunities, and any further data you may need to thrive in the next generation batteries industry. This next generation batteries market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The next generation batteries market size has grown strongly in recent years. It will grow from $4.94 billion in 2025 to $5.21 billion in 2026 at a compound annual growth rate (CAGR) of 5.4%. The growth in the historic period can be attributed to ev adoption growth, lithium-ion performance limitations, renewable energy integration, consumer electronics power demand, declining battery production costs.
The next generation batteries market size is expected to see strong growth in the next few years. It will grow to $6.45 billion in 2030 at a compound annual growth rate (CAGR) of 5.5%. The growth in the forecast period can be attributed to solid-state battery commercialization, grid-scale energy storage demand, raw material diversification, government electrification mandates, advancements in battery recycling technologies. Major trends in the forecast period include next-generation ev battery innovation, sustainable battery materials adoption, smart manufacturing for advanced batteries, connected energy storage ecosystems, AI-driven battery design and optimization.
Rising demand for electric vehicles is expected to drive the growth of the next generation batteries market in the coming years. Electric vehicles (EVs) are automobiles powered wholly or partly by electricity, typically using batteries instead of traditional internal combustion engines. This increasing demand is largely fueled by economic advantages, as EVs offer lower operating costs, making them a cost-effective choice for consumers in the long run. Next-generation batteries, such as solid-state and lithium-sulfur types, improve EV performance by providing higher energy density, faster charging capabilities, longer lifespans, and greater safety, enhancing overall practicality and efficiency. For example, in April 2025, the European Automobile Manufacturers Association reported that battery-electric car sales rose by 23.9% in the first quarter of 2025, reaching 412,997 units and accounting for 15.2% of the EU market share. As a result, growing EV demand is contributing significantly to the expansion of the next generation batteries market.
Major companies in the next generation batteries market are prioritizing the development of advanced technologies such as EV battery systems to tackle challenges such as charging duration, energy capacity, and cost efficiency. EV battery systems are integrated power storage units that supply electricity to a vehicle's motor, enabling propulsion and enhancing overall vehicle performance. For instance, in March 2025, BYD Auto Co. Ltd., a China-based automotive company, introduced the Next-Gen EV Battery System capable of delivering up to 400 km of driving range in just five minutes of charging. This groundbreaking system operates at 1,000 volts and offers ultra-fast charging speeds of up to 1,000 kW, using advanced lithium iron phosphate (LFP) technology. With its sophisticated thermal and battery management systems, this innovation allows models such as the BYD Han L and Tang L to recharge quickly and safely, drastically reducing downtime and improving user convenience.
In April 2024, Arkema S.A., a France-based adhesives manufacturer, acquired Proionic for an undisclosed sum. Through this acquisition, Arkema seeks to enhance its advanced battery materials portfolio by leveraging Proionic's expertise in ionic liquids, which contribute to increased energy density, safety, and sustainability in next-generation batteries. Additionally, the acquisition supports Arkema's growth in biomass processing and metal treatment, reinforcing its leadership in the advanced battery solutions sector. Proionic, based in Austria, specializes in the development and production of ionic liquids, which are critical components in the advancement of lithium-ion battery technology.
Major companies operating in the next generation batteries market are Toyota Motor Corporation, Volkswagen AG, Samsung Electronics Co. Ltd., Ford Motor Company, General Motors Company, Bayerische Motoren Werke, Honda Motor Co. Ltd., Panasonic Holdings Corporation, LG Energy Solution Ltd., QuantumScape Corporation, SK On Co. Ltd., Build Your Dreams, ProLogium Technology Co. Ltd., Northvolt AB, Natron Energy Inc., ZincFive Inc., StoreDot Ltd., Factorial Energy Inc., Sion Power, Amprius Technologies Inc., Enovix Corporation, Showa Denko Materials, Blue Current Inc., Solid Power Inc.
Asia-Pacific was the largest region in the next generation batteries market in 2025. The regions covered in the next generation batteries market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the next generation batteries market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The next generation batteries market consists of sales of battery packs or modules, portable energy storage devices, and smart battery systems. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Next Generation Batteries Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses next generation batteries market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for next generation batteries ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The next generation batteries market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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