Automotive Battery Market Research Report - Global Forecast till 2030

Automotive Battery Market Research Report: Information, by Type (Lead Acid, Lithium-Ion, Nickel Metal Hydride, and Others), Propulsion [Internal Combustion Engine (ICE) and Electric Vehicle], Vehicle Type (Passenger Car and Commercial Vehicle), Sales Channel (OEM And Aftermarket), and Region (North America, Europe, Asia-Pacific, and the Rest of the World)- Forecast till 2030

ID: MRFR/AM/3338-HCR | February 2021 | Region: Global | 188 pages

 Automotive Battery Market overview

Automotive Battery Market is projected to be worth USD 103.47 billion by 2030, registering a CAGR of 6.57% during the forecast period (2022 - 2030). , The market was valued at USD 44.95 billion in 2021.

The primary factor that has played a crucial role in the automotive battery industry growth is the increasing demands of the customers for pollution-free vehicles that follow strict standards laid down by the government concerning environmental protection. The increase in the adoption of streams that include infotainment in the cars has also led to the rise in these batteries' demand.

Apart from the factors that promote growth, there are some restraints as well. This includes still developing support infrastructure for electric vehicles. Battery failures because of the heat are amongst few other factors restricting the growth of the automotive battery market Trends.

COVID -19 analysis

COVID 19 has bought a change in the lives of everyone. Be it the individuals or the organizations. The pandemic has taken humanity to a stage where they have been finding themselves a few years back. The main focus is to get back on track and cope with all the loss that this deadly virus has bought into the business globally. This might seem easy, but it is not. It needs research, study, and in-depth analysis of every small thing that affects the organizations’ smooth running. The experienced analysts have prepared the report based on their experience and knowledge after analyzing the current automotive battery market Size situations.

Market dynamics

The market Growth is expected to expand rapidly over the next few years, especially in developing economies like India, Thailand, and Vietnam. Further, there has been an increase in the demand for pollution-free electric vehicles, which is one of the main reasons for the growth of the automotive battery market Outlook in the forecast period.

According to the industry standards, an ideal automotive battery should have certain features, including the adequate capacity of the reserve, which makes the users know the ability of the battery to hold the electrical energy, which in turn delivers the performance is. The market’s driving factors have been increased demand for automotive vehicles because of the awareness among the people across the globe about no or negligible ill effects it causes to the environment.

Regulatory implications

For the success in the manufacturing of an EV, it requires support in the policies laid down by the state, federal and, area administration—this helps in achieving the goals that have been set for a longer duration. The EV providers are also expected to develop a platform that stands uniform for everyone and provides immense support to the EVs. If the regulatory policies favor the providers, it can give an incredible amount of boost in electric vehicles’ selling. This subsequently can make the automotive battery market Size increase over the forecast period. It’s not just the policies but also the increase in demand clubbed with other factors that have proved to be a significant factor that has helped it gain popularity in the market. This would help the automotive battery market Growth flourish even more. While new laws and regulations are on the way, there is more possibility of reaching the heights of success.

Segment overview

The automotive battery market has been divided into the following segments:

  1. Based on Vehicle type

  2. Based on type

  3. Based on engine types

  4. Based on functions

  5. Based on sales channel

Market-based on vehicle type: This is further divided into the following subcategories:

  • Passenger cars

  • HCV

  • LCV

Based on type: This segment is subdivided into the following:

  • Nickel metal hydride

  • Lithium-ion

  • Lead-acid

Based on engine type: This is further divided into:

  • Internal combustion engine

  • Electric vehicle.

Based on functions: This segment is further divided into the following subtypes:

  • Electric propulsion

  • Start

  • Lighting

  • Ignition

Based on sales channel: This segment is further subdivided into:

  • OEM

  • Aftermarket

Out of all these subtypes, the Lithium-ion subdivision dominates the automotive battery market Value because of the fact that it is much lighter in weight and hence is suitable for two wheels like scooters and motorcycles. They are ideally suitable for such vehicles.

Regional analysis

The market is divided into the following major regions. These are:

  • North America

  • Asia pacific

  • Europe

  • Rest of the world

North America dominates the automotive battery market Outlook because all the strong lead-acid battery manufacturers are located in the region, which leads to the increasing demand for electric vehicles. The area also has strict norms towards using eco-friendly products, ensuring that the market Share gets a sharp rise.

The Asia Pacific is expected to be the region that would have the fastest growth of the automotive battery market Value because of the increasing demand for such vehicles and high sales of passenger cars, commercial cars, and motorcycles. 

Competitive landscape

The primary critical players in the automotive battery industry include Robert Bosch GmbH, which is a Germany based company, EXIDE technologies which is a company based in the US; A123 Systems; GS Yuasa, which is a Japanese company; LF Chem which is based in South Korea, Saft Groupe SA from France, Johnsons controls from the US, East Penn manufacturing company which is a US-based company, Delphi automotive LLP from the UK, EnerSys which is based in the US and many others.

All the key players have been focusing on the developmental aspects of the automotive battery market Revenue. They have planned things strategically to ensure that the markets get to the top. They have been looking forward to saving the environment and providing the best user experience simultaneously. The focus is not only on themselves but they have been on the industry as a whole. With new innovations and technological advancements, they have bought the industry to a level where all the newcomers have a preset level to work on. 

Recent developments

Recent developments in the global automotive battery automotive battery market Share include:

  1. In 2016, Johnson's control invested a considerable amount of 112 million USD in its facility situated in Germany. It has been estimated by the company to expand its business by almost 65%.

  2. In the same year, Panasonic corporation started a joint venture with another reading company from China, Dalian lever electric co, to manufacture the batteries used in automobiles. This joint venture will look into the quality controls of the battery.

  3. In December 2015, a new battery that uses lithium-ion technology was invented by Bosch, which is very light in weight as compared to the lead-acid batteries. These batteries are suitable for two-wheelers and even jet skies.

  4. Advancements in the market Revenue are being made to ensure that the batteries are eco-friendly and do not harm the environment whatsoever.

  5. High-performance batteries have been introduced that give a comfortable experience to the user.

  6. Nissan will soon create more than 6000 new jobs with UK’s first car battery gigafactory. The facility that will be developed adjacent to the largest European factory of Nissan in Sunderland, was hailed as the key to the United Kingdom’s transition away from the fossil fuel cars. 

  7. Hyundai Motor will invest $100 mn in battery startup SolidEnergy Systems. The company currently sources its batteries from its EVs from LG Chem Ltd and SK Innovation Co Ltd’s wholly-owned LG Energy Solution. 

Report overview

While the battery used in the vehicles changes the electrical current into chemical energy, it plays a vital role in the smooth running of the car. The primary function that a battery plays in automobiles is to start the vehicle by feeding the engine. Growing at a CAGR of 5.61% during the forecast period, the automotive battery market Analysis is expected to touch a whopping USD 115.23 billion mark by the end of 2027. The fact that the demand for hybrid and fully electric vehicles are on the rise ensures the market Trends grow quickly. Other factors that pull back its growth include the safety issues related to using the batteries and the vehicles' underdeveloped infrastructure. But with the development in countries like India, China, Myanmar, and Indonesia, the demand for electric cars has been increasing. Therefore, it is also experiencing growth in such regions.

Report Scope:
Report Attribute/Metric Details
  Market Size

  • 2030: USD 103.47 billion
  • 2030 : Significant value
  •   CAGR   6.57% CAGR (2022-2030)
      Base Year   2021
      Forecast Period   2022-2030
      Historical Data   2019 & 2020
      Forecast Units   Value (USD Billion)
      Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
      Segments Covered   By Technology, By End Market, By Application, By Vehicle type
      Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
      Key Vendors   Robert Bosch GmbH, which is a Germany based company, EXIDE technologies which is a company based in the US; A123 Systems; GS Yuasa, which is a Japanese company; LF Chem which is based in South Korea, Saft Groupe SA from France, Johnsons controls from the US, East Penn manufacturing company which is a US-based company, Delphi automotive LLP from the UK
      Key Market Opportunities   Increase in the adoption of streams that include infotainment in the cars
      Key Market Drivers

  • Pollution-free vehicles
  • Government concerning environmental protection

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    Frequently Asked Questions (FAQ) :

    The market is slated to expand at a steady rate of 6.57% in the coming years.

    The market can reach a valuation of USD 103.47 billion by 2030.

    The players listed in the report are EXIDE Technologies (US), GS Yuasa (Japan), Saft Groupe SA (France), East Penn Manufacturing Company (US), EnerSys (US), BYD Co. Ltd (China), Panasonic Corporation (Japan), Delphi Automotive LLP (UK), Johnson Controls (US), LG Chem (South Korea), A123 Systems, LLC (China), Robert Bosch GmbH (Germany), and others.

    Soaring demand for semi-hybrid, hybrid, and fully electric vehicles along with the rising adoption of automotive battery in passenger vehicles back the market growth.

    The enhancing the growth of the North American market include strict regulations, mounting demand for environment-friendly vehicles along with the presence of some of the most well-known players like Johnson Controls, Odyssey and Exide.