Lithium-ion Battery Market Size (2024 - 2029)

The Lithium-ion Battery Market is projected to experience significant growth over the forecast period, driven by the expansion of electric vehicles and energy storage systems, along with decreasing battery prices and rising consumer electronics sales. Despite challenges such as a demand-supply imbalance of raw materials, the recycling of lithium-ion batteries presents a promising solution to secure essential materials like lithium and cobalt. This recycling process, particularly in electric vehicles, offers opportunities for companies to repurpose materials for new battery production. The Asia-Pacific region, led by countries like China and India, is expected to dominate the market due to the widespread adoption of electric vehicles.

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Market Size of Lithium-ion Battery Industry

Lithium-Ion Battery Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 64.75 Billion
Market Size (2029) USD 127.23 Billion
CAGR (2024 - 2029) 14.46 %
Fastest Growing Market Asia-Pacific
Largest Market Asia-Pacific

Major Players

Lithium-Ion Battery Market Major Players

*Disclaimer: Major Players sorted in no particular order

Lithium-ion Battery Market Analysis

The Lithium-ion Battery Market size is estimated at USD 64.75 billion in 2024, and is expected to reach USD 127.23 billion by 2029, growing at a CAGR of 14.46% during the forecast period (2024-2029).

  • Over the long term, the emergence of new markets via electric vehicles and energy storage systems (ESS) for both commercial and residential applications, declining lithium-ion battery prices, and the increasing sale of consumer electronics are expected to drive the market.
  • On the other hand, the rising demand-supply mismatch of raw materials is likely to hinder the market's growth.
  • However, recycling 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 lithium-ion batteries in electric vehicles offers an excellent opportunity for companies to utilize the refined constituent materials for manufacturing lithium-ion batteries for energy storage systems (ESS).
  • Asia-Pacific dominates the market worldwide, with the most significant contributions from countries such as China and India. With the large-scale acceptance of EVs, the market is further expected to grow in the region.

Lithium-ion Battery Industry Segmentation

A lithium-ion battery is a rechargeable battery that consists of an anode, cathode, and electrolyte. Different types of anode and cathode materials allow designers to design batteries depending on their applications. Lithium-ion batteries are preferred over other batteries mainly due to their high energy density.

The lithium-ion battery market is segmented by application and geography. By application, the market is segmented into electronic devices, automobiles, stationary energy storage, and other applications. The report also covers the market size and forecasts for the lithium-ion batteries market across major regions, such as Asia-Pacific, North America, Europe, South America, the Middle East, and Africa. For each segment, the market sizes and forecasts have been done based on revenue (USD).

Application
Electronic Devices
Automobile
Stationary Energy Storage (UPS, Renewables, and Industrial)
Other Applications (Power Tools, Medical Devices, and Other Applications)
Geography
North America
United States
Canada
Rest of the North America
Europe
Spain
Nordic
United Kingdom
Russia
Turkey
Germany
Italy
Rest of the Europe
Asia-Pacific
China
India
Japan
Malaysia
Thailand
Indonesia
Vietnam
Rest of Asia-Pacific
South America
Brazil
Argentina
Colmbia
Rest of South America
Middle East and Africa
United Arab Emirates
Saudi Arabia
South Africa
Nigeria
Qatar
Egypt
Rest of the Middle East and Africa
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Lithium-ion Battery Market Size Summary

The lithium-ion battery market is poised for substantial growth, driven by the increasing demand from electric vehicles and energy storage systems, alongside the declining costs of batteries. The market is experiencing a shift from its early reliance on consumer electronics to a more significant focus on electric vehicles, which are favored for their lower environmental impact compared to traditional internal combustion engine vehicles. This transition is supported by government incentives and policies aimed at phasing out ICE vehicles in several countries. The Asia-Pacific region, particularly China and India, is expected to lead the market due to the rapid adoption of electric vehicles and renewable energy projects, coupled with the region's growing demand for electronics.

Despite challenges such as the demand-supply mismatch of raw materials, the market is expected to benefit from advancements in battery recycling, which can secure the supply of essential materials like lithium and cobalt. This recycling process offers opportunities for companies to reuse refined materials in new battery production, particularly for energy storage systems. The market's fragmentation is evident with major players like Panasonic, Tesla, Samsung SDI, LG Chem, and CATL actively participating. Additionally, initiatives in India to establish gigafactories for lithium-ion battery production are set to bolster local manufacturing capabilities, aligning with the country's renewable energy goals and increasing energy storage needs.

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Lithium-ion Battery Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Market Size and Demand Forecast in USD billion, till 2029

    3. 1.3 Lithium-ion Battery Price Trend Analysis, till 2029

    4. 1.4 Recent Trends and Developments

    5. 1.5 Government Policies and Regulations

    6. 1.6 Market Dynamics

      1. 1.6.1 Drivers

        1. 1.6.1.1 Supportive Government Initiatives And Policies To Adopt Renewable Energy

        2. 1.6.1.2 Declining Cost Of Lithium-ion Batteries

      2. 1.6.2 Restraints

        1. 1.6.2.1 Demand-Supply Mismatch of Raw Materials

    7. 1.7 Supply Chain Analysis

    8. 1.8 Porter's Five Forces Analysis

      1. 1.8.1 Bargaining Power of Suppliers

      2. 1.8.2 Bargaining Power of Consumers

      3. 1.8.3 Threat of New Entrants

      4. 1.8.4 Threat of Substitute Products and Services

      5. 1.8.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Application

      1. 2.1.1 Electronic Devices

      2. 2.1.2 Automobile

      3. 2.1.3 Stationary Energy Storage (UPS, Renewables, and Industrial)

      4. 2.1.4 Other Applications (Power Tools, Medical Devices, and Other Applications)

    2. 2.2 Geography

      1. 2.2.1 North America

        1. 2.2.1.1 United States

        2. 2.2.1.2 Canada

        3. 2.2.1.3 Rest of the North America

      2. 2.2.2 Europe

        1. 2.2.2.1 Spain

        2. 2.2.2.2 Nordic

        3. 2.2.2.3 United Kingdom

        4. 2.2.2.4 Russia

        5. 2.2.2.5 Turkey

        6. 2.2.2.6 Germany

        7. 2.2.2.7 Italy

        8. 2.2.2.8 Rest of the Europe

      3. 2.2.3 Asia-Pacific

        1. 2.2.3.1 China

        2. 2.2.3.2 India

        3. 2.2.3.3 Japan

        4. 2.2.3.4 Malaysia

        5. 2.2.3.5 Thailand

        6. 2.2.3.6 Indonesia

        7. 2.2.3.7 Vietnam

        8. 2.2.3.8 Rest of Asia-Pacific

      4. 2.2.4 South America

        1. 2.2.4.1 Brazil

        2. 2.2.4.2 Argentina

        3. 2.2.4.3 Colmbia

        4. 2.2.4.4 Rest of South America

      5. 2.2.5 Middle East and Africa

        1. 2.2.5.1 United Arab Emirates

        2. 2.2.5.2 Saudi Arabia

        3. 2.2.5.3 South Africa

        4. 2.2.5.4 Nigeria

        5. 2.2.5.5 Qatar

        6. 2.2.5.6 Egypt

        7. 2.2.5.7 Rest of the Middle East and Africa

Lithium-ion Battery Market Size FAQs

The Lithium-ion Battery Market size is expected to reach USD 64.75 billion in 2024 and grow at a CAGR of 14.46% to reach USD 127.23 billion by 2029.

In 2024, the Lithium-ion Battery Market size is expected to reach USD 64.75 billion.

Lithium-ion Battery Market Report Snapshots

Lithium-ion Battery Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)