Electric Vehicle Battery Market by Vehicle Type (Passenger Car, Commercial Vehicle, and Two-Wheeler), Material Type (Lithium, Cobalt, and Manganese), and Region - Global Industry Analysis, Opportunities and Forecast up to 2029

Electric Vehicle Battery Market Size

The global Electric Vehicle Battery market size was valued at $62.09 billion in 2023 and is projected to reach $167.62 billion by 2029, growing at a CAGR of 18.0% during the forecast period. 

Electric Vehicle Battery Market Dynamics

• The environment-friendly nature of electric vehicles, the rise in the demand for zero-emission vehicles, and the decrease in the cost of the electric vehicle battery system are contributing to the market's growth.

• Additionally, the support provided by the various governmental agencies to encourage the sale of electric vehicles, alarming pollution levels recorded in the major cities, and increasing global concerns regarding the negative effect of climate change are the factors creating ample opportunities for the market.

• However, the increasing concerns over battery safety and the reduction in subsidies in major markets are restraining the market.

Electric Vehicle Battery Market Overview

A battery is used as a secondary source of power used in automobiles. An electric vehicle battery or traction battery powers the propulsion of battery electric vehicles. An electric vehicle battery is a secondary (rechargeable) battery. It uses chemical energy stored in rechargeable battery packs for power and therefore does not require any combustion engine for propulsion. 

By Battery Type, the Lithium Ion Battery Segment Emerge as the Dominant Segment

The lithium-ion battery segment emerged as the dominant segment during the forecast period. The lithium-ion batteries are the most common battery type used in modern electric vehicles. Their compact size makes them preferable in the automotive industry. Alternatives such as advanced batteries and supercapacitors cannot easily replace lithium-ion batteries due to their performance, cost, weight, and size. These batteries have higher energy density compared to lead-acid or nickel-metal hydride batteries. For instance, Nissan's lithium-ion battery technology allows a higher density of lithium ions to be stored, increasing travel distance. In addition, the recycling of Li-ion batteries is anticipated 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 are to be used for energy storage systems (ESS). Therefore, the lithium-ion batteries are expected to dominate the market.

By Geography, Europe Region Dominates by Being the Largest Market for Electric Vehicle Battery

Europe is estimated to be the largest market for global EV batteries during the forecast period. The growth of the EV battery market in the region is largely dependent on government incentives and funds as electric vehicles are currently very expensive. Countries such as France, Spain, Germany, the UK, Italy, Norway, Sweden, and Denmark are considered under Europe for market analysis. The increasingly stringent regulations related to environmental issues are propelling market players to test and develop advanced vehicles, which will further boost the market for advanced battery technologies. For instance, the Brexit deal creates an opportunity for Nissan to expand its business operations at its Sunderland plant. In return, the Japanese OEMs are even investing in the UK and other European countries.

Some of the Key Players Profiled in the Report Include:

• BYD Company Limited
• Contemporary Amperex Technology Co. Ltd
• East Penn Manufacturing Company
• Exide Industries Limited
• GS Yuasa International Ltd
• Hitachi Chemical Co., Ltd
• Johnson Controls International PLC
• LG Chem Ltd
• Mitsubishi Electric Corporation
• Panasonic Corporation
• Samsung Electronics Co. Ltd

What Can be Explored with this Research Report:

• Understand the key trends that will drive the market, challenges it faces in the current market scenario.
• Identify growth opportunities.
• Porter’s five force analysis.
• In-depth analysis of market segments, and regions/countries predicted to observed promising growth.
• Historical and forecast size of the market in terms of revenue (USD Million).
• Company profiling with key products and solution offerings, key financial information, SWOT analysis, and business strategies adopted.

Market Segmentation:

The research report includes in-depth coverage of the industry analysis with size, share, and forecast for the below segments:

Market by, Vehicle Type:
• Passenger Car
• Commercial Vehicle
• Two-Wheeler

Market by, Battery Type:
• Lead Acid Battery
• Nickel Metal Hydride Battery
• Lithium Ion Battery
• Solid State

Market by, Propulsion Type:
• Battery Electric Vehicle (BEV)
• Hybrid Electric Vehicle (HEV)
• Plug-in Hybrid Electric Vehicle (PHEV)

Market by, Material Type:
• Lithium
• Cobalt
• Manganese
• Natural Graphite

Market by, Geography:

The Electric Vehicle Battery Market report also analyzes the major geographic regions and countries for the market. The regions and countries covered in the study include:

• North America (The United States, Canada, Mexico), Market Estimates, Forecast & Opportunity Analysis
• Europe (Germany, France, UK, Italy, Spain, Rest of Europe), Market Estimates, Forecast & Opportunity Analysis
• Asia Pacific (China, Japan, India, South Korea, Australia, New Zealand, Rest of Asia Pacific), Market Estimates, Forecast & Opportunity Analysis
• South America (Brazil, Argentina, Chile, Rest of South America), Market Estimates, Forecast & Opportunity Analysis
• Middle East & Africa (UAE, Saudi Arabia, Qatar, Iran, South Africa, Rest of Middle East & Africa), Market Estimates, Forecast & Opportunity Analysis.

Table Of Content

1 Market Overview             
    1.1 Introduction         
    1.2 Research Objectives        
    1.3 Market Segmentation        
    1.4 Stakeholders         
    1.5 List of Acronyms         
               
2 Executive Summary             
                
3 Research Methodology            
    3.1 Identification of Data          
    3.2 Evaluation of Market Dynamics       
    3.3 Collaboration of Data        
    3.4 Verification and Analysis        
    3.5 Data Sources         
    3.6 Assumptions         
               
4 Market Dynamics             
    4.1 Market Drivers         
           4.1.1 Low Maintenance Cost of the Batteries
           4.1.2 Evolution of Lithium-ion technology in EV battery
    4.2 Market Restraints          
           4.2.1 Stringent Lead Pollution Norms in Electric Vehicle Battery
    4.3 Market Opportunities        
           4.3.1 Growth in Public Charging Infrastructure
    4.4 Market Challenges         
           4.4.1 Instability in Raw Material Prices
    4.5 Impact of COVID-19 on Electric Vehicle Battery Market     
               
5 Porter's Five Force Analysis            
    5.1 Bargaining Power of Suppliers        
    5.2 Bargaining Power of Buyers        
    5.3 Threat of New Entrants        
    5.4 Threat of Substitutes        
    5.5 Competitive Rivalry in the Market       
               
6 Global Electric Vehicle Battery Market by, Vehicle Type         
    6.1 Overview         
    6.2 Passenger Car         
    6.3 Commercial Vehicle        
    6.4 Two-Wheeler         
               
7 Global Electric Vehicle Battery Market by, Battery Type         
    7.1 Overview         
    7.2 Lead Acid Battery         
    7.3 Nickel Metal Hydride Battery        
    7.4 Lithium Ion Battery         
    7.5 Solid State         
               
8 Global Electric Vehicle Battery Market by, Propulsion Type         
    8.1 Overview         
    8.2 Battery Electric Vehicle (BEV)        
    8.3 Hybrid Electric Vehicle (HEV)        
    8.4 Plug-in Hybrid Electric Vehicle (PHEV)       
               
9 Global Electric Vehicle Battery Market by, Material Type         
    9.1 Overview         
    9.2 Lithium          
    9.3 Cobalt          
    9.4 Manganese          
    9.5 Natural Graphite         
               
10 Global Electric Vehicle Battery Market by, Geography         
    10.1 Overview         
    10.2 North America         
             10.2.1 US 
             10.2.2 Canada 
             10.2.3 Mexico 
    10.3 Europe          
             10.3.1 Germany 
             10.3.2 France 
             10.3.3 UK 
             10.3.4 Italy 
             10.3.5 Spain 
             10.3.6 Rest of Europe
    10.4 Asia Pacific         
             10.4.1 China 
             10.4.2 Japan 
             10.4.3 India 
             10.4.4 South Korea
             10.4.5 Australia 
             10.4.6 New Zealand
             10.4.7 Rest of Asia Pacific
    10.5 South America         
             10.5.1 Brazil 
             10.5.2 Argentina
             10.5.3 Chile 
             10.5.4 Rest of South America
    10.6 Middle East & Africa        
             10.6.1 UAE 
             10.6.2 Saudi Arabia
             10.6.3 Qatar 
             10.6.4 Iran 
             10.6.5 South Africa
             10.6.6 Rest of Middle East & Africa
               
11 Key Developments             
               
12 Company Profiling             
    12.1 BYD Company Limited        
             12.1.1 Business Overview
             12.1.2 Product/Service Offering
             12.1.3 Financial Overview
             12.1.4 SWOT Analysis
             12.1.5 Key Activities
    12.2 Contemporary Amperex Technology Co. Ltd      
    12.3 East Penn Manufacturing Company       
    12.4 Exide Industries Limited        
    12.5 GS Yuasa International Ltd        
    12.6 Hitachi Chemical Co., Ltd        
    12.7 Johnson Controls International PLC       
    12.8 LG Chem Ltd         
    12.9 Mitsubishi Electric Corporation       
    12.10 Panasonic Corporation        
    12.11 Samsung Electronics Co. Ltd