US & Europe Propel EV Battery Demand in Uncertain Times: Electric Vehicle Battery Market Projected to Reach US$ 21.2584 Billion by 2033 | Future Market Insights, Inc.
Future Market Insights Global and Consulting Pvt. Ltd.
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Future Market Insights Global and Consulting Pvt. Ltd.
In an ever-changing automotive industry, the widespread adoption of electric vehicles (EVs) is expected to fuel a significant increase in the demand for batteries, particularly in the United States and Europe. As governments actively support the growth of EV sales through favorable policies, battery manufacturers are well-positioned to seize the emerging opportunities in the electric vehicle sector. Our comprehensive analysis, driven by data, provides businesses with strategic recommendations to stay ahead in this dynamic and rapidly evolving industry.
NEWARK, Del, July 25, 2023 (GLOBE NEWSWIRE) -- The global Electric Vehicle Battery Market is experiencing robust growth, projected to achieve a promising Compound Annual Growth Rate (CAGR) of 8.5%. By 2033, the market is expected to reach a significant revenue milestone of US$ 21.2584 Billion. As of 2023, the market is already valued at US$ 9.4023 Billion, demonstrating a strong foundation for future expansion.
The increasing transition toward electric vehicles (EVs) will propel accelerated battery demand in leading automobile markets like the United States and Europe. Battery and automotive manufacturers are facing challenges owing to uncertainty related to the battery supply chain. Several players are considering constructing gigafactory or joining joint ventures to combat shrunken supply.
The shift toward EVs can be attributed to adverse climactic change and increasing carbon emissions, especially in urban cities. The EV30-30 Scenario targets a surging value share of EVs to 30% by 2030 (excluding two/three-wheelers).
Favorable government policies to encourage EV sales are predicted to offer opportunities for battery makers of EVs. Additionally, technological advancements have spiked the energy density of lithium-ion batteries while reducing the overall price of lithium-ion batteries. As a result, propelling its uptake in li-ion powered EVs.
Surging investments for the upgradation of public charging infrastructure in conjunction with the rising efficiency of EVs are expected to create lucrative opportunities for manufacturers.
The high cost of EVs is expected to affect the uptake of batteries negatively. Gaps in demand and supply of essential raw materials like cobalt and a dearth of charging infrastructure are expected to limit the market growth.
Top Highlights from the FMI’s Analysis of the Electric Vehicle Battery Market:
The United States electric vehicle battery industry is expected to attain a 28.7% market share in 2023. The dominant share of the country reflects the high establishment of the market and great prospects for future growth.
Germany is expected to hold a 15.1% market share in 2023. The country is expected to attract key players from across the globe to expand its sales and drive product innovation.
Japan contributes 5.3% to the global market. The regional market offers excellent potential for key participants’ growth.
Australia's share in the market is as low as 1.4%. However, the country is expected to offer growth prospects to businesses that venture out.
China is expected to expand robustly over the forecast period at a 9.6% CAGR.
The Indian market is anticipated to expand at a CAGR of 9% in the forecast period.
Under the battery type category, lead acid is expected to record a market share of 45.7% in 2023.
Passenger cars are expected to hold a 22.2% market share in 2023.
Top Key Players of the Electric Vehicle Battery Market
Automotive Energy Supply Corporation
Panasonic Corporation
BYD Company Limited
GS Yuasa Corporation
LG Chem Ltd.
Samsung SDI Co., Ltd
Tesla Motors, Inc.
Hitachi Chemical Company, Ltd.
Narada Power Source Co. Ltd.
Johnson Controls International Plc.
Tianneng Power International Co., Ltd.
Crown Battery Corporation
Furukawa Electric Co., Ltd.
EnerSys
Wanxiang Group Corporation
East Penn Manufacturing Co.
Toshiba Corporation
Leoch International Technology Ltd.
Key Developments in the Electric Vehicle Battery Market
CATL collaborated with Ford in February 2023 to develop a battery plant for EVs in the United States Michigan city. As a part of the agreement, Ford is expected to own the new unit of CATL. CATL is also predicted to assist Ford in accelerating the development of batteries.
Clarios’ Optima introduced an all-new lithium-power sport battery line in November 2022. The line focuses on enhancing batteries for personal watercraft, motorcycles, utility task vehicles (UTV), snowmobiles, and all-terrain vehicles (ATVs).
Honda Motor Company declared the development of a lithium-ion battery plant for EVs in the United States with the LG Energy Solution Ltd. in August 2022. The total investment in the project has been US$ 4.4 billion. The companies aim to develop about 40 GWh of batteries yearly to be exclusively used in North America’s Honda and Acura electric vehicles.
Key Segments of the Electric Vehicle Battery Market
By Battery Capacity:
Less than 20 kWh
21 to 40 kWh
More than 41 kWh
By Vehicle Technology:
HEV
PHEV
BEV
By Vehicle Type:
Passenger Cars
Light Commercial Vehicles
Heavy Commercial Vehicles
Others
By Battery Type:
Lithium Ion
Lead Acid
Nickel Hydride
Others
By Region:
North America
Latin America
Asia Pacific
The Middle East and Africa
Europe
About the Automotive Division at Future Market Insights
The automotive team at Future Market Insights offers expert analysis, time-efficient research, and strategic recommendations to provide authentic insights and accurate results to help clients worldwide. With over 100+ reports and one billion+ data points, the team has analyzed the industry lucidly in 50+ countries for over a decade. The team briefly analyzes key trends, including competitive landscape, profit margin, and research development efforts.
Explore Wide-ranging Coverage of Future Market Insights Automotive Landscape:
Automotive Lead Acid Battery Market Size: Is expected to attain a valuation of US$ 28.24 billion in 2023. The market is projected to reach US$ 47 billion by 2033, expected to register a CAGR of 5.2% from 2023 to 2033.
Automotive Battery Management System Market Demand: Is expected to record a CAGR of 25.6% during the forecast period. The automotive battery management system market size is anticipated to rise from US$ 3.8 billion in 2023 to US$ 37.4 billion by 2033.
EV Battery Heating System Market Share: Is currently valued at US$ 3113.6 Million in 2023. By 2033, demand for EV battery heating systems is expected to reach a high of US$ 17289 Million.
EV Power Module Market Growth: Is predicted to record a robust CAGR of 24% during the forecast period from 2023 to 2033.
Automotive Boot Release Cables Market Demand: Is estimated to reach US$ 492.7 million. Further, the market is projected to surpass a value of US$ 708.5 million by 2033, reflecting a CAGR of 3.7% between 2023 and 2033.
Automotive Torque Rod Market Outlook: Is projected to expand at a compound annual growth rate (CAGR) of 3.0%, resulting in a market size of US$ 11,095.4 million by the end of 2033.
About Future Market Insights (FMI):
Future Market Insights, Inc. (ESOMAR certified, Stevie Award - recipient market research organization, and a member of Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities to favor market growth in various segments based on Source, Application, Sales Channel, and End Use over the next ten years.
