Australia Electric Vehicle Battery Market

Australia Electric Vehicle Battery Market Overview:

The Australia electric vehicle battery market size reached USD 1,531.80 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 12,235.06 Million by 2033, exhibiting a growth rate (CAGR) of 25.97% during 2025-2033. The market driven by growing electric vehicle uptake, improvements in battery technologies, and supportive regulatory environments, setting the industry up for long-term growth, improved domestic manufacturing capacity, and an increasing proportion of the shift towards a cleaner, more sustainable transport infrastructure nationwide.

Australia Electric Vehicle Battery Market Trends:

Increase in Electric Vehicle Battery Demand

Demand for electric vehicle (EV) batteries in Australia is growing strongly with the country's move towards sustainability and cleaner mobility. As people become highly aware of the environmental effects of conventional cars, EV’s are gaining traction as a cleaner option, both among consumers and businesses. Such demand has been facilitated by government incentives for the purchase of EVs, the establishment of supporting infrastructure, and a push for carbon reduction. Further, Australia's growing momentum for achieving net-zero emissions by 2050 is strengthening the shift to electric mobility. With more electric vehicle models emerging in the market, the need for high-performance EV batteries is on the rise, boosting the development of market. Consumers' preference for zero-emission transport choices is incentivizing manufacturers to invest in EV manufacturing, further spurring demand for batteries. With Australia electric vehicle battery market growth displaying a consistent upward trend, the nation is likely to witness major improvements in both market share and technological innovation in the years to come.

Technological Improvements in Battery Efficiency

Technological improvements of electric vehicle (EV) batteries are a key driving force in the Australian market. For instance, in August 2024, Clarios introduced Delkor xEV AGM batteries in Australia and New Zealand, providing improved power pulse support and increased energy throughput to address growing demand for advanced electric vehicle power solutions. Moreover, with increasing global demand for electric vehicles, producers and researchers have turned their attention to enhancing battery performance to enhance the range, durability, and cost of EVs. These include developments like solid-state batteries with greater energy density and accelerated recharging capability over conventional lithium-ion batteries. These developments are significant in tackling the range anxiety commonly linked to EVs, hence making them more desirable for consumers. Moreover, developments in battery management systems (BMS) and recycling technology are enhancing the overall efficiency and sustainability of EV batteries. For Australia's electric vehicle battery market, such developments are vital to making EVs more convenient and practical for common consumers. With ongoing advancement in battery technology, the Australia electric vehicle battery market outlook remain positive, and growth is likely to continue with consumers increasingly expecting improved-performing electric vehicles.

Expansion of Local Manufacturing Capabilities

The increase in the domestic manufacturing capacity of Australia is a pivotal reason behind the development of the electric vehicle (EV) battery market. For example, in August 2024, Forsee Power collaborated with Infinitev to provide aftersales maintenance and recycling solutions for high-voltage transport batteries in Australia, promoting battery circularity and enhancing support for Australia's electric mobility industry. Furthermore, the nation's abundance of minerals like lithium, cobalt, and nickel, which are key ingredients for EV batteries, has made Australia a future world leader in the production of batteries. The private sector and government are heavily investing in local research and manufacturing factories to take advantage of these natural resources, breaking the reliance on global supply chains and promoting economic growth. Local production not only caters to the growing demand for electric vehicles (EVs) within Australia but also serve export markets by capitalizing on the rising global demand for EV batteries. Furthermore, domestic manufacturing will contribute to reducing carbon emissions associated with the long-distance transportation of batteries, thereby supporting Australia's sustainability objectives. As domestic EV battery manufacturers continue to play an increasingly prominent role, the market remains favorable, characterized by a rising Australia's electric vehicle battery share and ongoing innovation.

Australia Electric Vehicle Battery Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region level for 2025-2033. Our report has categorized the market based on battery type, propulsion type, and vehicle type

Battery Type Insights:

• Lithium-Ion Battery
• Nickel-Metal Hydride Battery
• Lead-Acid Battery
• Others

The report has provided a detailed breakup and analysis of the market based on the battery type. This includes lithium-ion battery, nickel-metal hydride battery, lead-acid battery, and others.

Propulsion Type Insights:

• Battery Electric Vehicles
• Plug-in Hybrid Electric Vehicles
• Hybrid Electric Vehicles

A detailed breakup and analysis of the market based on the propulsion type have also been provided in the report. This includes battery electric vehicles, plug-in hybrid electric vehicles, and hybrid electric vehicles.

Vehicle Type Insights:

• Passenger Car
• Commercial Vehicles
• Two-Wheeler

The report has provided a detailed breakup and analysis of the market based on the vehicle type. This includes passenger car, commercial vehicles, and two-wheeler.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Electric Vehicle Battery Market News:

• In April 2025, Australian Sayona Mining finalized its acquisition of Piedmont Lithium in the United States to create Elevra Lithium. The $623 million all-stock merger brings Sayona's Canadian business under one umbrella and enhances its foothold in the North American electric vehicle market. Both companies will have equal representation on the combined board.
• In October 2024, eLumina opened Australia's first lithium battery and EV charger manufacturing plant on the Gold Coast. The $20 million plant will make up to 300 batteries and chargers a year, and it will be an important part of Australia's transition to clean energy, with the first products expected to hit the market in 2025.

Australia Electric Vehicle Battery Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia electric vehicle battery market performed so far and how will it perform in the coming years?
• What is the breakup of the Australia electric vehicle battery market on the basis of battery type?
• What is the breakup of the Australia electric vehicle battery market on the basis of propulsion type?
• What is the breakup of the Australia electric vehicle battery market on the basis of vehicle type?
• What is the breakup of the Australia electric vehicle battery market on the basis of region?
• What are the various stages in the value chain of the Australia electric vehicle battery market? 
• What are the key driving factors and challenges in the Australia electric vehicle battery?
• What is the structure of the Australia electric vehicle battery market and who are the key players?
• What is the degree of competition in the Australia electric vehicle battery market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia electric vehicle battery market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia electric vehicle battery market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia electric vehicle battery industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.