Lithium Iron Phosphate Batteries Market Research Report: Information by Power Capacity (Up to 16,250 mAh, 16,251–50,000 mAh, 50,001–100,000 mAh and 100,001–540,000 mAh), Industry (Automotive, Power, Industrial, and Others), Voltage (Up to 3.2 KV, 3.2–12 KV, 12–20 KV and Above 20 KV), Application (Portable, Stationary, and others) and Region (North America, Europe, Asia-Pacific, Middle East & Africa and South America) - Forecast till 2030
ID: MRFR/E&P/7260-HCR | February 2021 | Region: Global | 111 pages
Lithium Iron Phosphate Batteries Market Scenario
Lithium Iron Phosphate Batteries Market size is projected to reach USD 11.11 Billion by 2025, with 4.97% CAGR during the forecast period.
The key factors driving the growth of the global lithium iron phosphate batteries industry include increasing demand for lithium iron phosphate batteries in electric and hybrid electric vehicles and high requirement of lithium iron phosphate batteries in energy storage devices. Many countries around the world, such as China, India, Italy, and Denmark, are focusing on banning the use of internal combustion (IC) engines and increasing the adoption of electric vehicles. For instance, the Chinese government aims to sell 60% of the world's electric vehicle sales by 2035. Additionally, the Indian government aims to have 100% electric-vehicle throughout the country by 2030. Moreover, in Italy, the Italian government plans to ban diesel cars by 2024. Such initiatives lead to a rise in the demand for electric and hybrid vehicles. This, in turn, would increase the demand for lithium iron phosphate batteries in the automotive sector in the global market.
Key Players
The Key Players operating in the Global Lithium Iron Phosphate Batteries Market are Lithium Werks (Netherlands), Shenzhen Bak Technology (China), Bharat Power Solution (India) Power Sonic Corporation (US), RELiON Batteries (US), Contemporary Amperex Technology (China), A123 Systems (US), Electric Vehicle Power System Technology Co., Ltd. (China), K2 Energy (US), Victron Energy (The Netherlands), BYD (China), and Greensun Solar Energy Tech Co., Limited (China).
Many major players such as BYD (China), RELiON Batteries (US), and Lithium Werks (Netherlands) are actively focusing on product development, mergers and acquisitions, and contracts and agreements for enhancing their product portfolio. For instance, in February 2019, BYD (China) introduced a next-generation lithium iron phosphate battery technology, which has applications in forklifts and warehouse equipment. This development has helped the company enhance its presence in the global market. Such developments made by the major market players are likely to boost the global lithium iron phosphate batteries market during the forecast period.
The Global Lithium Iron Phosphate Batteries Market has been segmented based on Power Capacity, Industry, Voltage, and Application. Based on power capacity, the global market is segmented into up to 16,250 mAh, 16,251–50,000 mAh, 50,001–100,000 mAh, and 100,001–540,000 mAh. The 16,251–50,000 mAh segment is expected to grow with the highest CAGR during the forecast period owing to the increasing applications in various sectors such as automotive, industrial, and power generation. By industry, the global lithium iron phosphate batteries market has been segmented into automotive, power, industrial, and others. The automotive segment is expected to hold the largest share within the global lithium iron phosphate batteries market owing to the rising demand for lithium iron phosphate batteries in hybrid electric vehicles, plug-in electric vehicles, e-bikes, and automated guided vehicles. On the basis of voltage, the global lithium iron phosphate batteries market is segmented into up to 3.2 KV, 3.2–12 KV, 12–20 KV, and above 20 KV. The 12–20 KV segment is expected to hold the largest market share during the forecast period owing to the increasing adoption as energy storage for renewable energy sources, communication base energy storage stations, marine, and others. Based on the application, the global market is segmented into portable, stationary, and others. The portable segment is expected to hold the highest market share during the forecast period due to the widespread adoption of portable lithium iron phosphate batteries in the global market.
Market Segmentation 
The Global Lithium Iron Phosphate Batteries Market is expected to witness a high growth rate during the forecast period owing to the increasing demand for lithium iron phosphate batteries in electric and hybrid electric vehicles and high requirement of lithium iron phosphate batteries in energy storage devices.
A lithium iron phosphate battery is a rechargeable battery that uses LiFePO4 as its cathode. This battery is one of the types of lithium-ion batteries that is capable of charging and discharging at a higher rate compared to other types of batteries. These batteries are also known as lithium ferrophosphate batteries. Lithium iron phosphate batteries are used in various applications, such as electric vehicles, portable instruments, power tools, electronic devices, and small medical equipment.
Based on region, the global lithium iron phosphate batteries market is segmented into Asia-Pacific, North America, Europe, the Middle East & Africa, and South America. Asia-Pacific holds the largest market share due to the increasing focus on the adoption of electric vehicles in countries such as India and China. It is expected that Asia-Pacific would be the fastest-growing region in the market during the forecast period, followed by North America, owing to the increasing demand for lithium iron phosphate batteries in the region. All these factors are expected to boost the demand for lithium iron phosphate batteries in the global market.
Intended Audience
- Lithium iron phosphate battery manufacturers and suppliers
- Service providers of lithium iron phosphate batteries
- Energy and environment associations
- Government and research organizations
- State and national regulatory authorities
- Investment banks
- Manufacturers’ associations
- Institutional investors
- Environmental research institutes
Report Scope:
| Report Attribute/Metric | Details |
|---|---|
| Market Size |
|
| CAGR | 4.97% 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 | Power Capacity, Industry, Voltage and Application |
| Geographies Covered | North America, Europe, Asia-Pacific, and Rest of the World (RoW) |
| Key Vendors | Lithium Werks (Netherlands), Shenzhen Bak Technology (China), Bharat Power Solution (India) Power Sonic Corporation (US), RELiON Batteries (US), Contemporary Amperex Technology (China), A123 Systems (US), Electric Vehicle Power System Technology Co., Ltd. (China), K2 Energy (US), Victron Energy (The Netherlands), BYD (China), and Greensun Solar Energy Tech Co., Limited (China) |
| Key Market Opportunities | New product launches and R&D Amongst major key players |
| Key Market Drivers |
|
Frequently Asked Questions (FAQ) :
The global Lithium iron phosphate batteries is expected to record a significant market valuation of 11.11 billion by 2025.
The expected global Lithium iron phosphate batteries would register a moderate 4.97% CAGR in the forecast period.
As the fastest-growing segment, the Portable segment is expected to expand.
Some of the significant market players identified in the global Lithium iron phosphate batteries market are RELiON Batteries (US), BYD (China), and Lithium Werks (Netherlands) and others.
The major strategies adopted by key players to increase the profitability of the market is growing R&D investment towards product enhancement.