Battery Market Summary
As per MRFR Analysis, the Global Battery Market was valued at USD 122.3 Billion in 2023 and is projected to grow from USD 139.36 Billion in 2024 to USD 475.37 Billion by 2032, with a CAGR of 15.20% during the forecast period. The automotive industry is the primary consumer of batteries, driven by the increasing demand for electric vehicles (EVs) and hybrid vehicles. The Asia-Pacific region is expected to dominate the market due to rising vehicle production and industrial expansion. Key players like Panasonic and LG Chem are investing in R&D to enhance product offerings and meet the growing demand for EV batteries.
Key Market Trends & Highlights
The battery market is experiencing significant growth driven by various trends.
- The market is projected to grow from USD 139.36 Billion in 2024 to USD 475.37 Billion by 2032.
- The automotive batteries segment dominated the market in 2021 due to advancements in technology.
- Asia-Pacific is the largest regional market, attributed to rising vehicle production and demand.
- The demand for electric and hybrid vehicles is expected to create substantial market opportunities.
Market Size & Forecast
2023 Market Size: USD 122.3 Billion
2024 Market Size: USD 139.36 Billion
2032 Market Size: USD 475.37 Billion
CAGR: 15.20%
Largest Regional Market: Asia-Pacific
Major Players
Major players include Panasonic Corporation, LG Chem, Johnson Controls Inc, Exide Technologies, and The Furukawa Battery Co. Ltd.
Furthermore, a wide variety of vehicles have crucial features such as hybridization and high electrification degree. Therefore, due to the growing Market Opportunities, the demand for better electric vehicles will increase. As a result, the revenue is also evaluated to increase drastically. Apart from that, the Asia-Pacific region is expected to dominate the market in the future years.
Source Secondary Research, Primary Research, MRFR Database, and Analyst Review
June 2024: Panasonic announced a significant investment in expanding its battery production capacity in Japan. The move aims to meet the growing demand for electric vehicle batteries.
Battery Market Trends
- The increasing demand for transportation to boost the market growth
The increasing demand for transportation will boost the growth of the market. The use of batteries in electric vehicles will increase significantly as the demand for sustainable transportation increases. Furthermore, the increased demand for storage solutions, such as grid storage, is driving up the demand for batteries. This in turn is driving the growth of the market.
The rising demand for electronic and hybrid vehicles will create an opportunity for the market
There is rising demand for electric vehicles and hybrid vehicles that will extend the life of the market. In the next few decades, sales of these vehicles will rise. This will create an opportunity for the market. This market is also centered on lithium-ion batteries and these batteries are used in many consumer electronics. Many of these consumer electronics are powered by electricity. This includes mobile phones and laptop computers. As sales for this product rise, there will be a need for more batteries.
Battery Market Segment Insights
Battery Type Insights
The market segmentation, based on type, includes Lead-acid Battery, Flow Battery, Nickel-metal Hybrid Battery, Small Sealed Lead-acid Battery, Sodium-sulfur Battery, Zinc-manganese dioxide Battery, Lithium-ion Battery, Nickel-ion Battery, and Others. The Lead-acid Battery segment held the majority share 2021 of the Battery revenue. Due to its high energy density and lightweight solutions, increased demand for electric vehicles (EVs), and grid storage. Therefore, with the growing requirement for storage and power backup throughout the projected period, demand for batteries is anticipated to increase across the manufacturing, railway, and solar power sectors.
Battery Application Insights
Based on Application, the market segmentation includes SLI Batteries, Automotive Batteries, Portable Batteries, Industrial Batteries, Power Tool Batteries, and Consumer Electronics. The Automotive Batteries segment dominated the market in 2021. This is due to Advances in technology that have enabled automotive batteries to become lighter, more efficient, and longer lasting than ever before. As a result, demand for these products is set to continue rising as more people turn to electric vehicles as their preferred mode of transportation.
Figure 2 Battery Market, by Application, 2024 & 2030 (USD Billion)
Source Secondary Research, Primary Research, MRFR Database, and Analyst Review
Battery Market Regional Insights
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The highest revenue share was attributed to Asia Pacific. Due to rising vehicle production, fast industrial expansion, and increasing demand throughout the area, Asia Pacific is a significant consumer of batteries. Due to their low setup and production costs and accessibility to a competent labour pool, China and India are the main producers in the consumer electronics sector.
Figure 3 Battery Market Share By Region 2021 (%)
Source Secondary Research, Primary Research, MRFR Database, and Analyst Review
North America is anticipated to have tremendous growth. The regional market is primarily driven by reasons such as falling Li-ion battery prices, rising consumer electronics sales, quick adoption of electric cars, and a developing renewable sector. Additionally, North America continues to be a leader in battery research and development as well as one of the world's biggest users of batteries.
Europe is projected to experience notable growth. Europe has long been one of the world's top automakers, and it will hold this position well into the future. Key automakers including Audi, BMW, Volvo, Jaguar, Ferrari, Mercedes Benz, Porsche, and Lamborghini are present in the area, which will boost the expansion of the automotive sector and, as a result, increase demand for industrial batteries throughout the forecasted period.
Batteries Market Key Players & Competitive Insights
The major market players are investing a lot of money in R&D to expand their product lines, which will spur further market growth. With significant market development like new product releases, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations, market participants are also undertaking various strategic activities to expand their presence. To grow and thrive in a market climate that is becoming more competitive and growing, competitors in the Battery industry must offer affordable products.
Manufacturing locally to cut operating costs is one of the main business tactics manufacturers use in the Battery industry to benefit customers and expand the market sector. The market has recently given medicine some of the most important advantages. Major market players, including Panasonic Corporation, LG Chem, Johnson Controls Inc, Exide Technologies, The Furukawa Battery Co Ltd, and others, are attempting to increase market demand by funding R&D initiatives.
Panasonic develops, manufactures, and distributes electrical and electronic devices. It offers a range of products, including electronic equipment, broadcasting equipment, projectors, automotive electronics, aircraft in-flight entertainment systems, semiconductors, lithium batteries, electrical components, optical devices, bicycles, electronic materials, and photovoltaic modules.
Also, LG Chem, which was formed in 1947, is a chemical corporation with a diverse business portfolio focused on petrochemicals, innovative materials, and life sciences. It offers fundamental materials, chemicals, renewable polymers, and energy solutions such as automobile and energy storage system (ESS) batteries. Furthermore, the corporation provides sophisticated materials, specialty pharmaceuticals, and vaccinations.
Top Listed Companies in the Batteries industry includes
- The Furukawa Battery Co. Ltd.
- Chaowei Power Holding Ltd.
- Penn Manufacturing Company Inc
Battery Industry Development
In December 2022, Panasonic announced a partnership with Lucid Group to supply EV batteries.
In November 2022 Panasonic announced began construction of a new lithium-ion battery manufacturing facility in De Soto, KS. The project will drive significant economic activity and opportunities for the local Kansas economy making the state a key player in the domestic electric vehicle (EV) industry.
Battery Market Segmentation
Battery Market Type Outlook
- Nickel-metal Hybrid Battery
- Small Sealed Lead-acid Battery
- Zinc-manganese dioxide Battery
Battery Market Application Outlook
Battery Market Regional Outlook
| Attribute/Metric |
Details |
| Market Size 2023 |
USD 122.3 Billion |
| Market Size 2024 |
USD 139.36 Billion |
| Market Size 2032 |
USD 475.37 Billion |
| Compound Annual Growth Rate (CAGR) |
15.20% (2024-2032) |
| Base Year |
2023 |
| Market Forecast Period |
2024-2032 |
| Historical Data |
2018 & 2022 |
| Market Forecast Units |
Value (USD Million) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Battery Type, Application, and Region |
| Geographies Covered |
North America, Europe, Asia Pacific, and Rest of the World |
| Countries Covered |
The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled |
Panasonic Corporation, LG Chem, Johnson Controls Inc, Exide Technologies, The Furukawa Battery Co. Ltd, Chaowei Power Holding Ltd, Penn Manufacturing Company Inc, Fengfang Co. Ltd, Saft Groupe, Delphi Automotive |
| Key Market Opportunities |
The rising demand for electronic and hybrid vehicles |
| Key Market Dynamics |
The increasing demand for transportation and electronic vehicles |
Battery Market Highlights:
Frequently Asked Questions (FAQ) :
The Battery market size was valued at USD 122.3 Billion in 2023.
The Battery market is projected to grow at a CAGR of 15.20% during the forecast period, 2024-2032.
Asia Pacific had the largest share of the Battery market.
The listed players in the Battery market are Panasonic Corporation, LG Chem, Johnson Controls Inc, Exide Technologies, The Furukawa Battery Co. Ltd, Chaowei Power Holding Ltd, Penn Manufacturing Company Inc, Fengfang Co. Ltd, Saft Groupe, Delphi Automotive.
The Lead-acid Battery category dominated the battery market in 2021.
Automotive Batteries had the largest share in the market for batteries.
Batteries and electronic devices like TVs, computers and DVD players use DC electricity - once an AC current enters a device, it's converted to DC.
