Electric Vehicle Battery Market - Forecast(2023 - 2028)

Report Code: ESR 0479 Report Format: PDF + Excel

Electric Vehicle Battery Market Overview 

Electric Vehicle Battery Market is analysed to grow at a CAGR of 20.31% during the forecast 2022-2027 to reach $116.34 billion. An electric-vehicle battery (EVB) is also known as a traction battery that is used to power the electric motors of aelectric vehicleThese batteries are usually rechargeable batteries, and are typically lithium ion battery nickel metal hydride battery basedThese batteries are specifically designed for a high ampere-hour or kilowatt-hour with a wide range of capacities. Increasing government policies and investment for the deployment of the public charging infrastructure coupled with the increasing efficiency of the electric vehicle battery management system is expected to create significant growth for the demand of electric vehicle batteries during the forecast period.

Electric Vehicle Battery Market

Report Coverage 

The report: Electric Vehicle Battery Industry Outlook – Forecast (2022-2027)”, by Industry ARC covers an in-depth analysis of the following segments of the Electric Vehicle Battery Market.

By Battery Type: Lithium-Ion BatteriesNickel-Metal Hydride BatteriesLead-Acid Batteries, Ultracapacitors and Others. 
By Battery Capacity: <50 kWh, 51-100 kWh, 101-300 kWh and >300 kWh. 
By Electric Vehicle Type: Battery Electric Vehicle (BEV), Hybrid Electric Vehicle (HEV), Plug-in Hybrid Electric Vehicle (PHEV) and Fuel cell Electric vehicle.
By Application: Electric cars (Passenger Cars and Commercial Cars and Others), Electric scooters and Others. 
By Geography: North America(U.S., Canada and Mexico); Europe(U.K., Germany, Italy, France, Spain, Russia, Rest of Europe); APAC (China, Japan, South Korea, India, Australia, Rest of APAC); South America (Brazil, Argentina, Rest of Americas); Row (Middle East & Africa). 

Key Takeaways 

  • Increasing environmental concerns towards the adverse impact of conventional vehicles coupled with supportive government policies around the world for the adoption of vehicles using alternative sources of fuel to limit pollution is analysed to significantly drive the Electric Vehicle Battery Market during the forecast period 2022-2027. 
  • Lithium ion batteries are analysed to hold highest share 33.47in 2021 owing to its huge adoption across various electric vehicles and other technical advantages. 
  • Electric cars is expected to hold the highest market share 64.21% in the forecast period owing to the increasing production of electric cars over electric scooter. 
  • Asia-Pacific is analysed to hold the highest share in 2021 owing to the availability of leading market players for the Electric vehicle battery market coupled with increasing deployment of electric vehicles in this region.

    Global Electric Vehicle Battery Market Share, By Region, 2021 (%) 

    Electric Vehicle Battery Market 

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Electric Vehicle Battery Market Segment Analysis - By Battery Type 

By Battery Type, the Electric Vehicle Battery Market Report is segmented into Lithium-Ion Batteries, Nickel-Metal Hydride Batteries, Lead-Acid Batteries, Ultracapacitors and Others. Lithium-Ion Batteries are analysed to hold highest share 33.47% in 2021 owing to its huge adoption across various electric vehicles and other technical advantages over other battery types. The lithium-ion battery offers high energy density, fast recharging capability and high discharge power as compared to other batteries. Lithium-ion batteries are the only available technology that is capable of meeting OEM requirements for vehicle driving range and charging time. Furthermore, the recycling of Li-ion batteries is expected to secure the supply of raw materials, such as lithium and cobalt, and reduce the reliance on extracting and refining materials from mineral resources. Recycling of lithium-ion batteries that are currently being used in electric vehicles offers an excellent opportunity for companies to utilize the refined constituent materials for manufacturing lithium-ion batteries that can be used for energy storage systems (ESS). These factors tend to drive the demand of lithium ion batteries in the Electric vehicle battery market during the forecast period. 

Electric Vehicle Battery Market Segment Analysis–By Application 

By Application, the Electric Vehicle Battery Market Report is segmented into Electric cars (Passenger Cars and Commercial Cars) and Electric scooters. Electric cars are analysed to hold the highest share of 64.21during the forecast period 2022-2027 owing to the increasing production of electric cars over electric scooter. For instance, according to International Energy Agency (IEA), electric car sales share showed an exponential growth by elevating from 4.3% in 2020 to 25% in 2025 and is forecasted to reach 60.9% by 2030. This huge production and sales of electric cars tend to drive its market growth during the forecast period and will contribute significantly in the Electric vehicle batter market growth.

Electric Vehicle Battery Market Segment Analysis – By Geography 

Asia-Pacific is analysed to be the major region with a share of 35% in 2021 for the Electric Vehicle Battery Market owing to the availability of leading market players for the Electric vehicle battery market coupled with increasing deployment of electric vehicles in this region. China is one of the largest markets for electric vehicles, and the increasing adoption of electric vehicles in the country has been in line with the clean energy policy and this will tend to propel the demand of electric vehicle battery during the forecast period. Moreover, the Government of China has been providing both financial and non-financial incentives to promote the adoption of electric vehicles. Favourable policies, such as the energy efficiency standards and increasing peak demand charges and technological advances in China and India is expected to drive the demand for Electric vehicle battery in this region. For instance, according to International Energy Agency (IEA), global electric car stock in China is highest in 2020 accounting for 3.5 million BEV and 1 million PHEV. This huge availability of electric car tend to drive the Electric vehicle battery market growth during the forecast period. 

Electric Vehicle Battery Market Drivers 

Increasing demand of zero emission vehicles owing to increasing environmental concerns across the globe is driving the Electric Vehicle Battery Market growth

Increasing environmental concerns to limit the production of conventional vehicles which has adversely affected global environment structure has propelled the demand of electric vehicle batteries. Widespread global concerns regarding the negative effect of climate change along with alarming pollution levels recorded in major cities have created a significant demand for zero emission vehicles. The rise in petrol and diesel prices has added to the demand for fuel-efficient vehicle and enhanced the need for advanced fuel-efficient technologies, leading to a surge in demand for electrically powered vehicles. Economic incentives and regulatory measures are often coupled with other policies that increase the value proposition of EVs. Such policies often aim to harness the multiple co-benefits arising from greater electrification of transport, most prominently energy diversification in a sector that is 90% dependent on oil products and the reduction of local pollutant and GHG emissions. This tend to drive the demand of electric vehicle batteries across the globe, further driving its market growth. 

Increasing registration of electric vehicles across the globe is propelling the demand of electric vehicle batteries 

Increasing registration of electric vehicles across various parts of the world is analysed to bring significant growth in the demand of electric vehicle battery. With the increasing technological advancement and environmental friendly offerings of electric vehicles is set to drive the global automotive sector during the forecast period. This has brought a major growth in the manufacturing of high efficient and long standing rechargeable batteries. Moreover, conventional automotive manufacturers who used to develop conventional fuel based automobiles are investing in their research and development for the addition of electric vehicle segment in their portfolio. This will further drive the demand of electric vehicle batteries across the globe, further driving its market growth. For instance, according to International Energy Agency (IEA), registration of electric cars in China elevated from 257 thousands units in 2016 to 931 thousand units in 2020. This increasing registration of electric cars will further drive the market growth of electric vehicle battery during the forecast period.

Electric Vehicle Battery Market Challenges 

Lack of charging infrastructure and technical limitations is analysed to hamper the Electric Vehicle Battery Market growth 

One of the most important factors restraining the market growth of Electric Vehicle Battery Market across the global is the lack of charging infrastructure. There is no doubt that the popularity of electric vehicles has grown exponentially in last few years owing to the environmental concerns, but with the limited availability of charging infrastructure across various parts of a country tend to limit the market growth of electric vehicle batteries during the forecast period. Moreover, Electric vehicle batteries are limited by range and speed over conventional fuels such as petrol and diesel. Most of the electric cars have a range of about 50-100 miles and need to be recharged again and again if used at maximum throttle. In addition, battery life is another major concern, the electric vehicle battery generally last for about 3-4 years if used at maximum efficiency which is needed to be replaced. This limits the adoption of electric vehicle further bringing major challenges in the electric vehicle battery market growth during the forecast period.

Electric Vehicle Battery Industry Outlook

Production Innovation, Acquisitions, Collaboration, and R&D activities are key strategies adopted by players in the Electric Vehicle Battery Market. In 2021, the market of Electric Vehicle Battery industry outlook has been fragmented by several companies. Electric Vehicle Battery top 10 companies include

  1. CATL 
  2. Panasonic Corporation 3.
  3. Mitsubishi Electric Corporation 4.
  6. BYD Company Limited
  7. Wanxiang Group Corporation 
  8. Beijing Pride Power Battery Technology Co Ltd 
  9. Tianneng Power International Limited 
  10. Inverted Energy 

Acquisitions/Technology Launches/Partnerships 

  • 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.
  • In November 2020, Delhi-based battery maker Inverted Energy announced the opening of its lithium battery manufacturing facility in New Delhi, India. The commissioning of the plant, which currently has a production capacity of 100 MWh (megawatt hour) annually, is aimed at reducing dependence on China. 

Relevant Report Titles: 

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1. Electric Vehicle Battery Market- Market Overview
    1.1 Definitions and Scope
2. Electric Vehicle Battery Market- Executive Summary
    2.1 Market Revenue, Market Size and Key Trends by Company
    2.2 Key trends by application
    2.3 Key trends segmented by geography
3. Electric Vehicle Battery Market–Market Landscape
    3.1 Comparative Analysis
        3.1.1 Product Benchmarking
        3.1.2 Top 5 Financial Analysis
        3.1.3 Market Value Split by Top 10 companies
        3.1.4 Patent Analysis
        3.1.5 Pricing Analysis
4. Electric Vehicle Battery Market– Industry Market Entry Scenario Premium (Premium)
    4.1 Regulatory Framework Overview
    4.2 New Business and Ease of Doing business index
    4.3 Case studies of successful ventures
    4.4 Customer Analysis – Top 10 companies
5. Electric Vehicle Battery Market – Startup Company Scenario (Premium)
    5.1 Investment Analysis
    5.2 Venture Capital Funding Scenario
6. Electric Vehicle Battery Market- Market Forces
    6.1 Market Drivers
    6.2 Market Constraints
    6.3 Porters five force model
        6.3.1 Bargaining power of suppliers
        6.3.2 Bargaining powers of customers
        6.3.3 Threat of new entrants
        6.3.4 Rivalry among existing players
        6.3.5 Threat of substitutes
7. Electric Vehicle Battery Market – By Strategic Analysis  (Market Size -$Million/Billion)
    7.1 Value Chain Analysis
    7.2 Opportunities Analysis
    7.3 Product Life Cycle
    7.4 Suppliers and Distributors
8. Electric Vehicle Battery Market- By Battery Type
    8.1 Lithium-Ion Batteries
    8.2 Nickel-Metal Hydride Batteries
    8.3 Lead-Acid Batteries
    8.4 Ultracapacitors
    8.5 Others
9. Electric Vehicle Battery Market- By Battery Capacity
    9.1 <50 kWh
    9.2 51-100 kWh
    9.3 101-300 kWh
    9.4 >300 kWh
10. Electric Vehicle Battery Market- By Electric Vehicle Type
    10.1 Battery Electric Vehicle (BEV)
    10.2 Hybrid Electric Vehicle (HEV)
    10.3 Plug-in Hybrid Electric Vehicle (PHEV)
    10.4 Fuel cell Electric vehicle
11. Electric Vehicle Battery Market- By Application
    11.1 Electric cars
        11.1.1 Passenger Cars
        11.1.2 Commercial Cars
        11.1.3 Others
    11.2 Electric scooters
    11.3 Others
12. Electric Vehicle Battery Market -  By Geography (Market Size -$Million/Billion)
    12.1 North America
        12.1.1 U.S
        12.1.2 Canada
        12.1.3 Mexico
    12.2 Europe
        12.2.1 U.K
        12.2.2 Germany
        12.2.3 Italy
        12.2.4 France
        12.2.5 Spain
        12.2.6 Others
    12.3 APAC
        12.3.1 China
        12.3.2 Japan
        12.3.3 South Korea
        12.3.4 India
        12.3.5 Australia & New Zealand
        12.3.6 Others
    12.4 South America
        12.4.1 Brazil
        12.4.2 Argentina
        12.4.3 Others
    12.5 RoW
        12.5.1 Middle East
        12.5.2 Africa
13. Electric Vehicle Battery Market- Entropy
14. Electric Vehicle Battery Market- Industry Competition Landscape (Premium)
    14.1 Global Market Share
    14.2 Market Share by Region
    14.3 Market Share by Packaging Technology
    14.4 Market Share by End Users
15. Electric Vehicle Battery Market- Key Company List by Country Premium (Premium)
16. Electric Vehicle Battery Market Company Analysis
    16.1 Market Share, Company Revenue, Products, M&A, Developments
    16.2 CATL
    16.3 Panasonic Corporation
    16.4 Mitsubishi Electric Corporation
    16.5 LG CHEM LTD
    16.7 BYD Company Limited
    16.8 Wanxiang Group Corporation
    16.9 Beijing Pride Power Battery Technology Co Ltd
    16.10 Tianneng Power International Limited
    16.11 Inverted Energy
*Financials would be provided on a best efforts basis for private companies"