Automotive Lithium-Ion Battery Market

Market Overview:

The global automotive lithium-ion battery market size reached US$ 40.4 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 116.4 Billion by 2028, exhibiting a growth rate (CAGR) of 18.90% during 2023-2028. The increasing demand for hybrid and electric vehicles (H/EVs), rising investments in the upgradation of public charging infrastructure, and the growing number of research and development (R&D) activities represent some of the key factors driving the market.

An automotive lithium-ion battery is a rechargeable battery made using lithium, graphite, cobalt, and manganese. It allows lithium-ions to flow from the negative electrode to the positive electrode during the discharge and back while charging. It supplies voltage to different components of a vehicle, which include electric motors, headlights, power steering, music systems, wipers, radios, air conditioners (ACs), and charging plugs. It offers high energy density, longer lifespan, and fast charging capabilities. It is also capable of operating in various temperatures and providing high levels of power output. At present, increasing sales of vehicles are driving the demand for automotive lithium-ion battery across the globe.

Automotive Lithium-Ion Battery Market Trends:

There is an increase in the demand for hybrid and electric vehicles (H/EVs) on account of the growing global population, rapid urbanization, and inflating income levels of individuals. This, coupled with significant improvements in the automotive infrastructure and the rising number of automotive manufacturing plants, represents one of the major factors fueling the market growth around the world. Moreover, due to the growing environmental awareness among individuals, governing agencies of different countries are implementing regulations to promote the use of automotive lithium-ion batteries and minimize carbon emissions. They are also undertaking initiatives to improve road networks. In addition, the growing investments in the upgradation of public charging infrastructure for EVs and the expanding number of EV charging stations are influencing the market positively. Apart from this, due to the inflating prices of petrol, there is a rise in the demand for fuel-efficient and high-performance vehicles, which, in turn, is influencing the sales of automotive lithium-ion batteries worldwide. Furthermore, the increasing awareness about using lithium-ion batteries in vehicles on account of their numerous advantages, such as enhanced energy density, lightweight design, and environment-friendly properties, is contributing to the market growth. Besides this, the integration of artificial intelligence (AI), machine learning (ML), and 3D printing to optimize the performance, safety, and efficiency of lithium-ion batteries are strengthening the growth of the market. Additionally, key players are investing in using high-tech methods and manufacturing advanced battery variants. They are also focusing on financing research and development (R&D) activities to launch lightweight and small automotive lithium-ion batteries with enhanced efficiency. Leading players are also doing collaborations and partnerships with leading organizations worldwide to manufacture advanced and high-performance batteries.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global automotive lithium-ion battery market, along with forecasts at the global, regional, and country levels from 2023-2028. Our report has categorized the market based on battery type, distribution channel, and vehicle type.

Battery Type Insights:

• Lithium Titanium Oxide (LTO)
• Lithium Nickel Manganese Cobalt Oxide
• Lithium Iron Phosphate
• Others
   

The report has provided a detailed breakup and analysis of the automotive lithium-ion battery market based on the battery type. This includes lithium titanium oxide (LTO), lithium nickel manganese cobalt oxide, lithium iron phosphate, and others. According to the report, lithium iron phosphate represented the largest segment.

Distribution Channel Insights:

• OEM
• Aftermarket
   

A detailed breakup and analysis of the automotive lithium-ion battery market based on the distribution channel has also been provided in the report. This includes OEM and aftermarket. According to the report, OEM accounted for the largest market share.

Vehicle Type Insights:

• Two-Wheeler
• Three-Wheeler
• Four-Wheeler
   

The report has provided a detailed breakup and analysis of the automotive lithium-ion battery market based on the vehicle type. This includes two-wheeler, three-wheeler, and four-wheeler. According to the report, four-wheeler represented the largest segment.

Regional Insights:

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Others
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Europe (Germany, France, the United Kingdom, Italy, Spain, and others); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific was the largest market for automotive lithium-ion battery. Some of the factors driving the Asia Pacific automotive lithium-ion battery market included rapid urbanization, inflating income levels, increasing investment in research and development (R&D) activities, etc.

Competitive Landscape:

The report has also provided a comprehensive analysis of the competitive landscape in the global automotive lithium-ion battery market. Competitive analysis such as market structure, market share by key players, 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. Some of the companies covered include A123 Systems LLC (Wanxiang Group Corporation), Envision AESC Group Ltd. (Envision Group), GS Yuasa International Ltd., Hitachi Astemo Americas Inc. (Hitachi America Ltd.), Panasonic Holdings Corporation, Samsung SDI Co. Ltd., Toshiba Corporation, etc. Kindly note that this only represents a partial list of companies, and the complete list has been provided in the report.

Report Coverage:

Key Questions Answered in This Report:

• How has the global automotive lithium-ion battery market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global automotive lithium-ion battery market?
• What is the impact of each driver, restraint, and opportunity on the global automotive lithium-ion battery market?
• What are the key regional markets?
• Which countries represent the most attractive automotive lithium-ion battery market?
• What is the breakup of the market based on the battery type?
• Which is the most attractive battery type in the automotive lithium-ion battery market?
• What is the breakup of the market based on the distribution channel?
• Which is the most attractive distribution channel in the automotive lithium-ion battery market?
• What is the breakup of the market based on vehicle type?
• Which is the most attractive vehicle type in the automotive lithium-ion battery market?
• What is the competitive structure of the global automotive lithium-ion battery market?
• Who are the key players/companies in the global automotive lithium-ion battery market?

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the automotive lithium-ion battery market from 2017-2028.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global automotive lithium-ion battery market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• 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 automotive lithium-ion 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.