Lithium Polymer Battery Market Overview
The global Lithium Polymer Battery Market is estimated to surpass $6.5 billion mark by 2027 growing at an estimated CAGR of 7.1% during the forecast period 2022 to 2027. Lithium–ion batteries are the secondary batteries (Rechargeable batteries) commonly used in consumer electronics such as cell phones, laptops, tablets and other portable devices. Lithium – Polymer battery is a category under lithium - ion batteries. The lithium-ion battery market is owing to the growing emphasis on electric vehicles throughout the world. The automotive sector uses the lithium-ion battery at multiple stages of the production line of the vehicle. Rising investments in the development of electric vehicles and growing adoption of consumer solutions such as radio controlled aircrafts and consumer electronics are some of the key opportunities for the lithium-ion and lithium polymer electrolyte battery market. Suzuki Motor plans to invest about $1.26 billion to produce electric vehicles and batteries in India through 2026. PVDF (Polyvinylidene Fluoride) plays an important role in powering batteries, particularly, the lithium polymer batteries. This is due to its high level thermal and electrochemical stability as well as its excellent adhesion between electrode films and collectors. Most companies have started recycling lithium-ion batteries as there is low accessibility for some of the raw materials such as lithium and cobalt. The rising dependence on NMC, Lithium cobalt oxide and Lithium iron phosphate batteries are in particular witnessing increased adoption in electric vehicles and consumer electronics.
Lithium Polymer Battery Market Report Coverage
The report: “Lithium Polymer Battery Market– Forecast (2022-2027)”, by IndustryARC covers an in-depth analysis of the following segments of the Lithium Polymer Battery Market Report.
By Power Rating: Upto 500mAh, 500-1000 mAh, 1000-2000 mAh, 2000-3000 mAh, 3000-5000
mAh, 5000-8000 mAh, 8000-20000 mAh, 20000 mAh and Above
By Type: Gel Polymer, Solid Polymer, Gel Composite Polymer
By End Use Industry: Automotive, Industrial, Energy and Power, Telecom, Medical, Aerospace and Défense, Consumer Electronics and Others
By Geography - North America (U.S, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Russia and Others), APAC(China, Japan India, SK, Aus and Others), South America(Brazil, Argentina and others), and RoW (Middle East and Africa).
- For many years now, lithium batteries have been a trusted power source in various industries. LPo batteries are used in applications such as smartphones, watches, computers and tablets. Lithium is used in lightweight marine batteries, solar batteries and electric vehicle batteries thus driving their potential recycling.
- High Energy Density and Improved Safety offered by Lithium Cobalt Oxide batteries has driven their adoption. However their Short Lifespan, limited charging and discharging capacity limits their adoption.
- Of the 180,000 metric tons of Li-ion batteries available for recycling worldwide in 2019, just a little over half were recycled. As lithium-ion battery production soars, so does interest in recycling. This drives the need for recycling as a co-industry for manufacturing.
Lithium Polymer Battery Market, By Region, 2021 (%)
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Lithium Polymer Battery Market Segment Analysis - By Type
Gel Polymer batteries dominate the market with a share of 46.9% in 2021. Lithium metal could be a useful alternative to traditional graphite-based anodes for the development of next-generation batteries due to its high specific capacity and low electrochemical potential. However, an unstable interface and potentially dangerous lithium-dendrite growth impede the practical use of lithium-metal batteries. Lithium gel polymer battery provides high lithium-ion conductivity and effectively suppresses lithium dendrite growth. The fluorinated ionic liquid promotes stronger anion coordination and weaker cation coordination, and thus, enables favorable lithium transport properties.
Lithium Polymer Battery Market Segment Analysis - By End Use Industry
Automotive is the fastest growing market with a CAGR of 11.9% through the forecast period 2022-2027. Majority of electric cars are powered by wet lithium-ion batteries, which use liquid electrolytes to transfer energy around. Electric car makers anticipate for high energy density batteries to improve range of their vehicles along with increased lifespan. In April 2020, Innolith, a Swiss startup, claimed to have made the world’s first 1,000 Wh/kg rechargeable battery; while none of the other battery makers have reached even 500 Wh/kg energy density batteries. A 1,000 Wh/kg Lithium Polymer Battery Recycling would be capable to power an electric car upto 1,000 km. The company has planned a pilot production in Germany, however, availability is expected after 2022. The company uses inorganic substances instead of organic solvents in its batteries, for better stability and to be flammable-free. Panasonic provides batteries to Tesla delivering power up to 530 km in premium models. The batteries require climate control during extreme hot and cold temperatures. Thus, the vehicle powered exclusively by a battery, the energy to optimize its battery temperature, is drawn from the battery itself, which hampers the battery performance. The automotive sector has witnessed a drop of more than 150% in the price per kWh in 6 years. Today, Tesla battery pack costs around $100 per kWh, and General Motors’ Chevrolet Bolt NMC battery pack is analyzed to cost around $125 per kWh showcasing significant price decline driving the adoption.
Lithium Polymer Battery Market Segment Analysis - By Geography
APAC region holds the largest market share of 35.2% in 2021. The APAC region driven by China is projected to drive market growth. China surpassed the US in 2015 to become the world leader in electric cars production, continuing to build a potential domestic market for battery makers like CATL through 2021. In 2021, China held around 59% of global Lithium Ion and Lithium battery production capacity. At present, China has a stock of around 45% of global electric vehicles. A Lithium Ion/Polymer battery consists of 4 main components namely- anode, electrolytes, separators, and cathode. China manufactures around 65% of the anodes, 64% of the electrolytes, 44% of the separators, and 39% of the cathodes.
Lithium Polymer Battery Market Drivers
Investments in EVs Will Positively Impact Market Growth in The Future:
With the rising popularity of emission-free battery and hybrid electric vehicles, industry participants are likely to expand their investments in EVs. Furthermore, technology improvements have prompted prominent corporations to expand their reach into previously unexplored markets. Notably, the ubiquity of rapid car battery chargers for increased battery performance will augur well for the growth of the global automotive battery market. Furthermore, increased electrification of commercial vehicles in mature economies will fuel industry growth. Stakeholders are also likely to increase their output as a result of strong government initiatives encouraging the adoption of EVs. In February 2022, The Ontario government-backed an investment of $18.5 million by car components producer Ventra Group. This investment will allow the Ontario economy to boom as a result of domestic auto manufacturers' regional development programs. Furthermore, corporations anticipate that this investment will be used to build a flex-ion battery innovation center, which will boost employment and the economy.
Demand for fully automated grid and smart meters will further bolster the UPS Battery Market
For socio-economic development, energy is the foundation block. A significant gap has been identified between installed energy generation capacity, demand for energy and the population growth rate across various parts of globe. To cope with the pressure of growing population, many countries across world has adopted smart metering programs and full automated grids. Electricity grid investments are expected to reach about $290 billion in 2021, recovering from 2020 and even surpassing the 2019 investment. Smart meters generate petabytes of data over current drawn, readings, power factor, damage, pilferage and other parameters. Smart meters are also integrated with the ICT architecture to send signal or readings directly to the grid. So, if there is a power failure, the meter won’t be able to send any notifications to utility. Thus, there is the need for backup energy supply. So growing smart grids and smart meters will further bolster the need for Lithium Polymer Battery Market.
Lithium Polymer Battery Market Challenges
A dip in Automotive Production Amid the Pandemic may limit the market growth
The industry has been disrupted as a result of a drop in automotive manufacturing and the closure of transportation services. The suspension of automotive battery production, in particular, didn't seem to work well for the global market outlook. However, the removal of prohibitions and strong government policies may lead to the selling of batteries. Despite the fact that the emergence of COVID-19 halted global production and sales of new automobiles, the impact on electric vehicles was good. The overall number of EVs sold in 2020 exceeded the entire number of EVs sold in 2019; however, the automotive production was lower. Global EV sales took a giant leap in both volume and market share in 2021. Automakers sold 6.6 million plug-in vehicles in 2021, more than double the 3 million sold in 2020, and more than triple the 2.2 million sold in 2019. Component production, on the other hand, was negatively impacted, and tiny Tier II and Tier III manufacturers suffered liquidity concerns. Major automotive events throughout the world were canceled or postponed, including the 2020 Geneva motor show, the Qatar Grand Prix, the New York International Auto Show, and the Australian Grand Prix. Fiat Chrysler Automobiles, Ford, PSA Group, Volkswagen Group factories in Europe, Ducati, Tesla factory in California, BMW Group European factories, Rolls-Royce, and General Motors are among the worldwide automakers that have halted production owing to the Coronavirus (COVID-19) epidemic. This hampered the market growth for lithium polymer batteries.
Lithium Polymer Battery Market Landscape
Product launches, acquisitions, and R&D activities are key strategies adopted by players in the Lithium Polymer Battery Market.
- Panasonic Corporation
- Mitsubishi Electric Corporation
- LG CHEM LTD
- SAMSUNG ELECTRONICS CO. LTD
- BYD Company Limited
- Wanxiang Group Corporation
- Beijing Pride Power Battery Technology Co Ltd
- Tianneng Power International Limited
- Inverted Energy
- In January 2021, Heavy-Duty Lithium-Ion Battery Recycling Pilot Launched By New Flyer & Li-Cycle.
- In December 2020 Altair International and St. Georges’ Eco Mining entered into a Binding agreement that would allow Altair access to St-Georges’ patent-pending Lithium processing technology for Altair’s Nevada based Stonewall project and most importantly bring together the two companies to jointly develop a patentable industrial scale process for Electric Vehicle Lithium-ion battery (LIB) recycling.
- In December 2020, LG Chem Ltd announced its plans to double the production capacity of battery cells in China for Tesla Inc electric vehicles (EV) in 2021 to keep up with its US client's growth in the biggest car market.
Report Code: ESR 0137
Report Code: ESR 0086
Report Code: ESR 0300
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