Battery Raw Material Market 2025 – Market Size & Segments Analysis, Industry Trends, Manufacturers Analysis, Opportunities and Forecast 2034
Page: 215 | Report Code: MC250128 | Research Suite: Report (PDF) & Market Data (Excel)
The global market value of the battery raw material market
is estimated to be USD 97.8 billion, and a CAGR of 8.7% is expected during the
forecast period. Increasing demand for lithium-ion batteries in the automobile
sector is driving growth in the market. Rising growth in the number of electric
vehicles all over the world is significant, and the rising adoption of
renewable energy sources is driving growth in the market.
The rapidly growing demand for electronic devices like laptops and smartphones is also likely to contribute to the growth of the battery materials in coming years. Industrialization all over the world is also spurring the market growth.
Growth
Drivers
Increasing adoption of electric vehicles, consumer
electronics, and renewable energy storage solutions is significantly driving
the demand for lithium-ion batteries. Lead-acid batteries are also a
substitute, and increasing demand for them is also driving growth in the
battery raw material market. The growth of the market is also driven by increased
regulations for the safe handling of hazardous materials. The expansion in the
use of portable electronic devices and rising growth in electric vehicles is a
key factor behind the significant growth in the market. Surging demand for
battery materials like nickel and cobalt in emerging economies is contributing
significantly to the market’s growth.
Market is also witnessing significant growth due to
increasing urbanization, and rising disposable income. Advance battery
technology helps in achieving the zero carbon emission norms. Increasing
promotion of electric vehicles including subsidies by different countries
government is a significant growth driver in the market.
Segmentation
Battery
Raw Materials Market based on battery type:
·
Lead-acid battery
·
Lithium ion battery
Battery
Raw Materials Market based on material:
·
cathode
·
anode
·
electrolyte
Battery
Raw Materials Market based on application:
·
portable device
·
electric vehicle
·
industrial
·
automotive
·
others
Regional
Outlook
·
Asia Pacific
·
North America
·
Latin America
·
Middle East and Africa
·
Europe
Battery
Raw Materials Market based on Battery Type
On the basis of the battery type, the battery raw materials market is segmented into two types: lead-acid batteries and lithium-ion batteries. Lead-acid batteries currently hold the largest share. This dominance is attributed to their reliability, cost-effectiveness, and extensive use in automotive and industrial applications.
Due to their higher energy density, lighter weight, and suitability for applications like electric vehicles and portable electronics, contribute to this trend. In summary, while lead-acid batteries currently lead the market, lithium-ion batteries are quickly gaining ground and are expected to play a more significant role as demand for advanced energy storage increases.
Battery
Raw Materials Market based on Application
On the basis of the application, the battery raw materials market is segmented into portable devices, electric vehicles, industrial, automotive, and others. The electric vehicle segment is experiencing the most rapid growth. This surge is primarily due to an increase in global demand for electric vehicles, which has led to a heightened need for lithium-ion batteries.
These batteries are favored in the automotive industry for their
high energy density and efficacy. While the EV segment is the fastest growing,
the portable devices segment currently holds a significant share in the market.
Widespread use of lithium-ion batteries in consumer electronics such as
smartphones and laptops contributes to this market share significantly.
Battery
Raw Materials Market based on Material
On the basis of the material, the battery raw materials market is segmented into cathodes, anodes, and electrolytes. Due to their high demand in lithium-ion batteries, cathodes are the leading segment in the market. These are used in electric vehicles and portable electronic devices. The performance of lithium-ion batteries is the key factor behind the significant growth in the market.
Increasing adoption of electric vehicles and
rising usage of energy storage systems have further propelled the demand for
cathode materials. Anode materials are another leading segment in the market,
in which natural and synthetic materials are used significantly. Electrolytes
are also one of the leading segments, especially solid-state electrolytes like
polymers, ceramics, and sulfides, which are used significantly.
Regional
Outlook
On the basis of the regions, the battery raw materials
market is segmented into 5 parts: Asia Pacific, North America, Latin America,
Europe, and the Middle East and Africa. North America is the leading region in
the market and is expected to witness significant growth during the forecast
period. Region is blessed with tightly integrated markets of the U.S. and
Canada for manufacturing and distributing automotive, electronics, and other
supplies. The region is having abundant, rich, and varied resources, with a
substantial percentage of steel, copper, nickel, cobalt, and zinc.
Asia Pacific is one of the leading regions in the battery raw materials market due to the growing automotive sector. Increasing adoption of electric vehicles in the emerging economies like India, China, and South Korea is driving growth in the market. China stands out as a dominant player in the market with companies like Contemporary Amperex Technology Co. Ltd. leading in battery production. The Asia Pacific region is witnessing substantial investments in battery material productions. Increasing global demand for electric vehicles is driving growth in the market significantly. Electric Vehicles have changed the perception of people about automobiles sector significantly, and it is expected to grow significantly in coming years.
European battery raw materials market is experiencing
significant development aimed at bolstering the region’s supply chain
resilience and reducing dependency on external sources. Major European
automakers like Volkswagen, BMW, and Renault are investing heavily in EV
production driving heavily in EV production, driving the need for battery raw
materials like lithium, zinc, cobalt, nickel. A notable initiative is the
launch of the ‘EBA Strategic Battery Material funds by EIT InnoEnergy and
Demeter investment Managers. Middle East and Africa and Latin America Region
are witnessing moderate growth during the forecast period due to increasing
demand for lithium-ion batteries in electric vehicles in countries like Saudi
Arabia, United Arabia, Egypt, Argentina, and Brazil. Presence of key players in
specific regions are fueling the market growth.
Key
Players
·
Mitsubishi chemical holdings
·
Posco
·
Umicore
·
Targray
·
Nichia Corporation
·
Celgard LLC
·
DuPont
·
Hitachi Ltd.
·
BASF Catalyst LLC.
· Other Players