ID: MRFR/E&P/6816-CR | April 2020 | Region: Global | 155 pages
Hybrid EV Battery Market is projected to be worth USD 27.68 billion by 2027, registering a CAGR of 23.05% CAGR during the forecast period (2021 - 2027), The market was valued at USD 8.15 billion in 2020.
Global Market of Hybrid EV Battery is projected to grow at a high rate during the forecast period, primarily due to the high fuel costs, environmental concerns, and increase in demand for plug-in hybrid EVs. In line with this, alternative vehicles, including hybrid and plug-in hybrid vehicles, are introduced to the automotive industry as a part of corrective measures for reducing environmental pollution. Moreover, the increasing adoption of hybrid vehicles in developing countries would present an opportunity for the global market.
The factors driving the demand for hybrid EV batteries are the increasing high fuel costs and environmental concerns and an increase in demand for plug-in hybrid EVs. The growth in demand and consumption of hybrid EV batteries is highly influenced by the increasing fuel costs and the environmental concerns among governments and consumers, which results in strict government standards primarily in the developed countries, such as the US, Germany, Norway, the Netherlands, and Japan as well as in developing countries such as China and India. Governments have been encouraging users to minimize fuel consumption while promoting environmental awareness programs to reduce vehicle pollution. For instance, in May 2019, the US Department of Energy imposed a federal tax credit of USD 2,500 to USD 7,500 to the consumers for all the domestic purchase of plug-in hybrid EVs to reduce vehicular pollution. This has widely led to the demand for hybrid EVs in the US and has further raised the production and consumption of hybrid EV batteries in the market. Moreover, the increasing fuel prices in the global market leads to the increased demand for hybrid EVs and the consumption of hybrid EV batteries in the market during the forecast period. Thus, the impact of the high fuel costs and environmental concerns is expected to increase the demand for hybrid EV batteries over the forecast period.
Furthermore, increasing awareness regarding the environmental impact of gasoline vehicles has boosted the demand for both hybrid EVs and plug-in hybrid EVs worldwide. The automotive industry has been witnessing the adoption of hybrid electrified propulsion systems to minimize the risk of collapse due to the sudden switch from gasoline to electric mode in hybrid vehicles. Therefore, the automotive OEMs are primarily investing in the development of plug-in hybrid EVs to capitalize on the need for minimizing the risk of such incidences, meet the government regulations, and reap the benefits of the rebates of EVs manufacturing. Moreover, the government-introduced tax rebates and credit benefits are expected to increase the demand for the plug-in hybrid EVs during the forecast period. The government initiatives are also promoting the adoption of hybrid EVs in the global market. According to the International Energy Agency (IEA), the year-on-year sales growth of plug-in hybrid EVs in the global market was almost 50%, 46%, and 29% in the years 2018, 2017, and 2016, respectively. Therefore, the rapid growth in the demand and sales for the plug-in hybrid EVs primarily drives the growth of the global market for the hybrid EV batteries during the forecast period.
The Prominent Players operating in the Global Hybrid EV Battery Market are Toshiba Corporation (Japan), LG Chem (South Korea), Samsung Sdi Co. Ltd (South Korea), Panasonic Corporation (Japan), Saft (France), GS Yuasa International Ltd. (Japan), BYD Co. Ltd. (China), Contemporary Amperex Technology Co., Ltd. (China), Hitachi Ltd. (Japan), Nissan Motor Corporation (Japan), Exide Industries Ltd. (India), and A123 Systems LLC (US).
Global Market Segmentation
The Global Hybrid EV Battery Market is segmented Based on Type, Application, and Region. By type, the global market has been segmented into lead-acid, lithium-ion, nickel-based, and others. By application, the global market has been segmented into hybrid EV and plug-in hybrid EV.
Geographically, the global hybrid EV battery market has been segmented into five major regions, namely, North America, Europe, Asia-Pacific, the Middle East & Africa, and South America. The market in Asia-Pacific is estimated to account for the highest share, as the key players in the region are heavily investing in a hybrid EV by developing advanced hybrid EV batteries to increase the adoption of such vehicles. The effective initiatives taken by the governments of countries such as China, Japan, India, and Singapore for the development of hybrid EV batteries by focusing on investing in the development of the charging duration and rechargeable battery packs are expected to drive the market. Collaborations between the hybrid EV OEMs and battery technology providers in the market are expected to add to the growth of the market in Asia-Pacific during the forecast period. Japan is an important market for the sale of a hybrid EV owing to the increased attention of the transport ministry on the use of electric vehicles. Over the years, the production and sale of hybrid EVs have increased in Japan, which is one of the key factors fueling the growth of batteries and cells packs used in hybrid EVs.
The growing number of battery manufacturers is a significant factor in increasing its market share in terms of value. In 2018, Japan and India collaborated on the policy dialogue for the next-generation or zero-emission vehicle. This collaboration will promote the smooth functioning of hybrid EVs and the battery charging infrastructure, which is expected to create a demand for hybrid EV batteries in the country. In China, China Automotive Technology and Research Center (CATARC), along with the Directory of Environmental Organizations & Environmental Government Agencies in China, introduced a rule for hybrid EVs, wherein the automotive OEMs producing or importing more than 30,000 vehicles in China must ensure 10% of them are electrically powered vehicles by 2019. Furthermore, the rapid urbanization, industrialization, and an increase in per capita household incomes, which prompt consumers to replace their fuel-driven vehicles with their electric variants, are expected to fuel the demand for hybrid EV batteries in the region. Such factors are expected to drive the growth of the hybrid EV battery market in Asia-Pacific during the forecast period.
The report for the global hybrid EV battery market of Market Research Future research covers extensive primary research. This is accompanied by a detailed analysis of qualitative and quantitative aspects by various industry experts and key opinion leaders to gain deeper insights into the market and industry performance. The report gives a clear picture of the current market scenario, which includes the historic and forecasted market size, in terms of value and volume, technological advancement, macroeconomic, and governing factors of the market. The report provides comprehensive information about the strategies of the top companies in the industry, along with a broad study of the different market segments and regions.
|Market Size||2027: USD 27.68 billion|
|CAGR||23.05% CAGR (2020 - 2027)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type and Application|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Toshiba Corporation (Japan), LG Chem (South Korea), Samsung Sdi Co. Ltd (South Korea), Panasonic Corporation (Japan), Saft (France), GS Yuasa International Ltd. (Japan), BYD Co. Ltd. (China), Contemporary Amperex Technology Co., Ltd. (China), Hitachi Ltd. (Japan), Nissan Motor Corporation (Japan), Exide Industries Ltd. (India), and A123 Systems LLC (US)|
|Key Market Opportunities||Increasing awareness regarding the environmental impact of gasoline vehicles|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
While electric vehicles require both range and power from the battery pack, hybrids require similar power with far less energy.
hybrid EV battery market is projected to register a moderate 24.41% CAGR in the forecast period.
The lithium-ion segment is slated to expand as the fastest-growing segment.
The hybrid electric vehicle segment is slated to expand as the fastest-growing segment.
A few major market players operating in the global hybrid EV battery market are Dorman Products (US), Samsung SDI Co., Ltd. (South Korea), LG Chem. (South Korea), Toyota (Japan), among others.
hybrid EV battery market is expected to record a substantial market valuation of USD 28.68 Billion by 2027.