PUBLISHER: The Business Research Company | PRODUCT CODE: 1923989
PUBLISHER: The Business Research Company | PRODUCT CODE: 1923989
A plug-in hybrid electric vehicle (PHEV) battery is a high-capacity rechargeable battery that stores electrical energy to power the vehicle's electric motor and can be charged externally via a home outlet or public charging station. It enables the vehicle to operate on electric power alone for short to moderate distances, reducing fuel consumption and emissions, while working in combination with the internal combustion engine for extended range and improved overall efficiency.
The main types of PHEV batteries include lithium-ion, lead-acid, sodium-ion, and others. Lithium-ion batteries are rechargeable energy storage devices that use lithium ions as the primary charge carriers, moving between the positive and negative electrodes during charging and discharging cycles. These batteries are used across various vehicle types, including passenger vehicles, light commercial vehicles, and heavy commercial vehicles, and are available in capacities of less than 10 kWh, 10-20 kWh, 20-30 kWh, and above 30 kWh. They support different charging infrastructures, such as home charging, public charging, and workplace charging.
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 influenced the plug-in hybrid electric vehicle battery market by affecting the cost and supply of imported raw materials and battery components, leading to higher production costs in key manufacturing regions such as China, Japan, and South Korea. The tariffs particularly impact segments like lithium-ion and other advanced battery types, as well as passenger and commercial vehicles relying on imported components. While the increased costs may slow adoption in some regions, tariffs also encourage local manufacturing, boosting domestic production capabilities and fostering innovation in cost-efficient battery technologies.
The plug-in hybrid electric vehicle battery market research report is one of a series of new reports from The Business Research Company that provides plug-in hybrid electric vehicle battery market statistics, including plug-in hybrid electric vehicle battery industry global market size, regional shares, competitors with a plug-in hybrid electric vehicle battery market share, detailed plug-in hybrid electric vehicle battery market segments, market trends and opportunities, and any further data you may need to thrive in the plug-in hybrid electric vehicle battery industry. This plug-in hybrid electric vehicle battery 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 plug-in hybrid electric vehicle battery market size has grown exponentially in recent years. It will grow from $13.85 billion in 2025 to $16.71 billion in 2026 at a compound annual growth rate (CAGR) of 20.6%. The growth in the historic period can be attributed to rising fuel prices, government subsidies for evs, limited charging infrastructure, increasing environmental regulations, growth of hybrid vehicles.
The plug-in hybrid electric vehicle battery market size is expected to see exponential growth in the next few years. It will grow to $35.02 billion in 2030 at a compound annual growth rate (CAGR) of 20.3%. The growth in the forecast period can be attributed to advancements in battery chemistry, expansion of public charging networks, rising consumer awareness about sustainability, cost reduction in battery production, integration with smart grid technologies. Major trends in the forecast period include high-capacity rechargeable batteries, vehicle-to-grid (v2g) integration, fast charging technology, battery thermal management systems, lightweight & compact battery designs.
The growing preference for energy-efficient vehicles is expected to drive growth in the plug-in hybrid electric vehicle (PHEV) battery market. Energy-efficient vehicles are automobiles designed to consume less fuel or electricity by using advanced technologies that deliver higher performance with lower environmental impact. Rising fuel prices are motivating consumers to choose vehicles that reduce long-term operating costs while meeting mobility needs. PHEV batteries support energy-efficient vehicles by allowing them to run on electricity for short distances and rely on fuel for longer trips, reducing overall energy consumption and emissions. For example, in June 2025, the UK Department for Transport reported 1,394,000 licensed zero-emission vehicles on UK roads in 2024, a 37 percent increase from 2023. This included 1,287,000 zero-emission cars, representing a 38 percent rise over the previous year. Consequently, the growing demand for energy-efficient vehicles is fueling the plug-in hybrid electric vehicle battery market.
Key players in the PHEV battery market are developing next-generation lithium-ion and sodium-ion batteries to extend all-electric range and enable ultra-fast charging. Lithium-ion and sodium-ion batteries are rechargeable technologies that use lithium or sodium ions as charge carriers, with lithium-ion offering high energy density and fast charging, while sodium-ion provides lower cost and better low-temperature performance. In October 2024, Contemporary Amperex Technology Co., Limited, a China-based battery company, launched the Freevoy Super Hybrid Battery for PHEVs and extended-range electric vehicles. This battery provides over 400 km of pure electric range and supports 4C ultra-fast charging, delivering 280 km of range in just 10 minutes. Combining advanced lithium-ion and sodium-ion technologies, it ensures high performance in extreme cold, improved efficiency, faster charging, and longer range, addressing concerns about limited range, slow charging, and cold-weather performance in hybrid vehicles.
In October 2024, Toyota Motor Corporation, a Japan-based automobile manufacturer, acquired Primearth EV Energy Co., Ltd. for an undisclosed amount. The acquisition strengthens Toyota's battery production capabilities and supports hybrid, plug-in hybrid, and battery electric vehicles, aligning with its long-term electrification strategy. Primearth EV Energy Co., Ltd., based in Japan, provides batteries for PHEVs, hybrid electric vehicles (HEVs), and battery electric vehicles (BEVs).
Major companies operating in the plug-in hybrid electric vehicle battery market are BYD Company Limited, Hitachi Chemical Co. Ltd., Panasonic Holdings Corporation, SK Innovation Co. Ltd., LG Energy Solution Ltd., Toshiba Corporation, Johnson Matthey Battery Systems Engineering Limited, Samsung SDI Co. Ltd., Sunwoda Electronic Co. Ltd., Gotion High-Tech Co. Ltd., GS Yuasa International Ltd., EnerSys Inc., Exide Industries Limited, Saft Groupe S.A., A123 Systems LLC, Farasis Energy Inc., Northvolt AB, Electrovaya Inc., Valence Technology Inc., Blue Energy Co. Ltd.
Asia-Pacific was the largest region in the plug-in hybrid electric vehicle battery market in 2025. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the plug-in hybrid electric vehicle battery market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the plug-in hybrid electric vehicle battery market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The plug-in hybrid electric vehicle battery market consists of sales of battery modules, energy storage control software, thermal management components, high-voltage cables and connectors, and battery management 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.
Plug-In Hybrid Electric Vehicle Battery 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 plug-in hybrid electric vehicle battery 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 plug-in hybrid electric vehicle battery ? 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 plug-in hybrid electric vehicle battery 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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