Lithium-Ion Battery Market Overview
Lithium-ion batteries have become the world’s most widely used type of rechargeable battery. It has become the most commonly used rechargeable battery in the world. Because of its more research, resulting in a rapid increase in production and use. The global lithium-ion battery market is expected to grow from USD 13 billion in 2021 to USD 32 billion in 2028, at a CAGR of 13% over the forecast period of the next few years.
Global Lithium-Ion Battery Market Size
Last year, the global lithium-ion battery market reached $82.6 billion. Last year, the global lithium-ion battery market reached $82.6 billion. Rising demand for electric vehicles and the popularity of portable devices will drive this market over the forecast period.
In 2016, the Asia Pacific region dominated the global lithium-ion battery market due to the increasing use of mobile phones in developing countries. Moreover, rising demand from Tesla Motors Co., BYD Co., Ltd., Nissan Motor Co., Ltd., and other automakers has driven the region over the past few years.
Market Segmentation by End-Use
The end-user segment is the largest in the lithium-ion battery market. Furthermore, regions such as Asia Pacific, Europe, and North America will likely grow significantly due to rising demand for portable devices.
Market Segmentation by Type
Lithium-ion batteries are classified into two types, which are cylindrical and pouch. Cylindrical batteries are more popular than pouch batteries due to their compact size and ease of use in electric vehicles and smartphones. However, the market for pouch products will grow faster as they are used in wearable devices such as watches or glasses due to their low production cost, high density, and lightweight compared to cylindrical products.
Market Segmentation by Region
The global lithium-ion battery market is divided into four regions. In 2016, North America held the largest share of the total market, with 48%, followed by Europe, with 30% of the market share. The RoW region registered a CAGR of 14% during 2016-2021 due to high demand from emerging countries such as China, India, and Brazil,
Market Growth Dynamics
The market growth dynamics are a combination of market drivers and restraints. Market drivers are the forces that accelerate the growth of a particular industry, while market restraints are factors that slow down or reverse it. Lithium-ion batteries’ most important market driver is their high energy density, which means more power per unit volume or weight. This makes them ideal for use in electric vehicles (EVs) because they can store enough energy to drive long distances without recharging as often as conventional fuel-powered cars.
It is also relatively lightweight relative to other rechargeable battery technologies, such as lead acid or nickel-cadmium (NiCd). They also have good safety features–lithium metal cannot react with air or water as some other metals do–so they’re less likely than traditional batteries to catch fire if damaged during use or storage.
Drivers of the Lithium-Ion Battery Market
Various applications drive the lithium-ion battery market. Applications: Consumer electronics such as laptops, smartphones, and tablets. In addition, there are electric vehicles (EV), hybrid electric vehicles (HEV), wireless power transfer systems, and grid storage systems.
Opportunities for Lithium-Ion Battery Market
The industry-wide market offers many opportunities. For manufacturers, higher profits at lower costs by expanding production facilities. Suppliers can also increase revenue by supplying battery raw materials and components. Distributors distribute these products through different regions and countries while importers expand their business by importing from other countries.