June 15, 2024
Secondary Battery Market

Rechargeable Battery Market Driven By Increasing Sales Of Electric Vehicles

The rechargeable battery market comprises lithium-ion, lead-acid, and nickel-based batteries that are used for various purposes including powering electric vehicles, consumer electronics, energy storage systems, and other industrial applications. Rechargeable batteries are preferred over non-rechargeable batteries as they help reduce waste and offer cost-saving over time. Lithium-ion batteries are widely used in portable devices like laptops, smartphones, and tablets owing to their high energy density and lightweight property. They also power cordless power tools and are increasingly being adopted in electric vehicles and energy storage systems due to their versatility.

The global Rechargeable Battery Market is estimated to be valued at US$ 192.47 Bn in 2024 and is expected to exhibit a CAGR of 12% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

The rechargeable battery market is driven by the increasing adoption of electric vehicles worldwide due to stringent emission regulations and growing environmental concerns. Several automakers are launching new electric vehicle models with larger battery capacities and improved driving range. Governments across regions are also offering subsidies and tax rebates to promote electric vehicle sales. According to the report, the global stock of electric cars exceeded 10 million in 2021 and is expected to witness strong growth during the forecast period. Another key trend in the market is rapid technological advancement in battery chemistries and charging infrastructure. Companies are investing heavily in R&D to develop low-cost, high-energy density batteries with fast-charging capability. This is further expected to reduce battery costs and drive the adoption of energy storage systems and electric mobility solutions over the coming years.

Porter’s Analysis

Threat of new entrants: The battery market requires large upfront investments in infrastructure and Research & Development which acts as a barrier for new players.

Bargaining power of buyers: Buyers have high bargaining power due to the presence of various established players providing substitute products.

Bargaining power of suppliers: Suppliers have moderate bargaining power due to availability of alternative raw material suppliers in the market.

Threat of new substitutes: Emerging technologies in batteries such as solid-state batteries pose a moderate threat of substitution.

Competitive rivalry: The market is highly competitive with the presence of global players globally offering a wide range of batteries.

Key Takeaways

The Global Battery Market Share is expected to witness high growth. North America is expected to dominate the global battery market during the forecast period. Factors such as growing demand for EVs and a shift towards renewable energy will drive the battery market growth in the region.

Regional analysis Asia Pacific battery market is projected to grow at the highest CAGR during the forecast period. Presence of major battery manufacturers and growing adoption of EVs and energy storage systems especially in China, Japan, and South Korea are the major factors driving the regional market growth.

Key players operating in the battery market are DSM, CP Kelco, H & A Canada Inc., Nanjing Joyfulchem Co., Ltd., Dancheng Caixin Sugar Industry Co. Ltd., Zhengzhou Cinogel Biotech Co., Ltd., Hangzhou Gellan Solutions Biotec Co., Ltd., DuPont, Hebei Xinhe Biochemical Co. Ltd, and Nutricorn Co., Limited. DSM and DuPont are focusing on expanding their global footprint and product portfolios to strengthen their leadership positions in the market.

*Note:
1.      Source: Coherent Market Insights, Public sources, Desk research
2.      We have leveraged AI tools to mine information and compile it