Market Size of Automotive Battery Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 93.27 Billion |
| Market Size (2029) | USD 237.28 Billion |
| CAGR (2024 - 2029) | 20.53 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Asia-Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Automotive Battery Market Analysis
The Automotive Battery Market size is estimated at USD 93.27 billion in 2024, and is expected to reach USD 237.28 billion by 2029, growing at a CAGR of 20.53% during the forecast period (2024-2029).
An automotive battery is an electrochemical device that can store and generate electrical energy. When starting the engine, the automotive battery provides electric current to power the starting motor and ignition system. When the alternator is not handling the load, it works as a voltage stabilizer by giving current to the lights, radio, and other electrical accessories.
Globally rising demand for sustainable transportation and cleaner energy has engaged the demand for battery electric vehicles. Consumer constraints such as vehicle range, greater upfront prices, limited model availability, and lack of knowledge are being solved by promotional activities and government legislation. These variables will have an impact on the demand for electric vehicles, which will drive the target market. In addition to this, an increase in the global battery production capacity has helped achieve economies of scale in the automotive battery industry, another major driver for market growth.
Automotive Battery Industry Segmentation
A rechargeable battery used to start an automobile is an automotive battery or car battery. Its primary function is to supply an electric current to the electric starting motor, which in turn ignites the internal combustion engine that powers the vehicle's propulsion system or supplies power to electric vehicle motors.
The scope of the automotive battery market is segmented by battery type, vehicle type, drive type, and geography. By battery type, the market is segmented into lead-acid, lithium-ion, and other battery types. By vehicle type, the market is segmented into passenger cars and commercial vehicles. By drive type, the market is segmented into internal combustion engines and electric vehicles. By geography, the market is segmented into North America, Europe, Asia-Pacific, and the rest of the World.
The report offers the market size in value (USD) and forecasts for all the above segments.
| Battery Type | |
| Lead-Acid | |
| Lithium-Ion | |
| Other Battery Types |
| Vehicle Type | |
| Passenger Cars | |
| Commercial Vehicles |
| Drive Type | |
| Internal Combustion Engine | |
| Electric Vehicles |
| Geography | |||||||
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Automotive Battery Market Size Summary
The automotive battery market is poised for significant expansion, driven by the increasing global demand for electric vehicles (EVs) and the push for sustainable transportation solutions. As governments worldwide set ambitious emission reduction targets, the adoption of battery electric vehicles is gaining momentum, supported by advancements in battery technology, particularly lithium-ion batteries. These improvements have enhanced energy density, charging times, and overall performance, making EVs more appealing to consumers. The automotive battery industry is also benefiting from increased production capacity, which has facilitated economies of scale, further propelling market growth. Prominent automobile manufacturers are forging strategic partnerships with battery producers to meet the rising demand, underscoring the importance of collaboration in this rapidly evolving sector.
The Asia-Pacific region is expected to experience the fastest growth in the automotive battery market, driven by the burgeoning demand for electric vehicles in countries like China, South Korea, and India. China, as the largest manufacturer and consumer of electric vehicles, plays a pivotal role in this growth, with its substantial lithium-ion battery manufacturing capacity and control over critical supply chain elements such as lithium and graphite. The region's growth is further supported by favorable government policies and initiatives aimed at promoting electric vehicle adoption. The market is characterized by consolidation, with key players like Panasonic Corporation, Exide Technologies, and Samsung SDI Co. Ltd. focusing on expanding their product offerings and strategic collaborations to enhance their market presence. As the electric vehicle market continues to expand, the demand for automotive batteries is expected to rise, presenting lucrative opportunities for industry participants.
Automotive Battery Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.1.1 Increasing Demand For Electric Vehicles is Anticipated to Boost the Market
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1.2 Market Restraints
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1.2.1 High Cost Associated with Electric Vehicles is Anticipated to Restrain the Growth of the Market
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Consumers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Battery Type
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2.1.1 Lead-Acid
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2.1.2 Lithium-Ion
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2.1.3 Other Battery Types
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2.2 Vehicle Type
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2.2.1 Passenger Cars
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2.2.2 Commercial Vehicles
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2.3 Drive Type
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2.3.1 Internal Combustion Engine
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2.3.2 Electric Vehicles
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2.4 Geography
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2.4.1 North America
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2.4.1.1 United States
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2.4.1.2 Canada
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2.4.1.3 Rest of North America
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2.4.2 Europe
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2.4.2.1 Germany
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2.4.2.2 France
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2.4.2.3 United Kingdom
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2.4.2.4 Rest of Europe
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2.4.3 Asia-Pacific
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2.4.3.1 China
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2.4.3.2 India
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2.4.3.3 Japan
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2.4.3.4 South Korea
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2.4.3.5 Rest of Asia-Pacific
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2.4.4 Rest of the World
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2.4.4.1 South America
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2.4.4.2 Middle East and Africa
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Automotive Battery Market Size FAQs
How big is the Automotive Battery Market?
The Automotive Battery Market size is expected to reach USD 93.27 billion in 2024 and grow at a CAGR of 20.53% to reach USD 237.28 billion by 2029.
What is the current Automotive Battery Market size?
In 2024, the Automotive Battery Market size is expected to reach USD 93.27 billion.
