Global Lithium-Ion Battery Market For Electric Vehicles - Growth, Trends, and Forecast (Outlook to 2028)

The market for Lithium ion battery cells in electric vehicles is forecast to be worth nearly $70 billion by 2026 and the report will break down forecasts for electric cars, buses, e-bikes. 

The growing environmental concerns regarding conventional vehicles, governments worldwide are encouraging the use of alternative fuels in vehicles. EVs are zero-emission vehicles and are gaining preference for clean public transport across countries.

Rising Investment in lithium ion battery (LIB) to meet the demand increase from subsidy driven EV sales
 

Drivers:

• Several national governments offer financial incentives, such as tax exemptions and rebates, subsidies, reduced parking/toll fees for EVs.
• Free charging facilities to encourage adoption of EV’s
• Launching of new electric vehicle models by major manufacturers
• Increasing demand from material handling equipment.
• The decreasing cost of Li-ion batteries and increasing energy density and its compact size.

A lithium-ion (Li-ion) battery is an advanced battery technology that uses lithium ions as a key component of its electrochemistry. During a discharge cycle, lithium atoms in the anode are ionized and separated from their electrons.The lithium ions move from the anode and pass through the electrolyte until they reach the cathode, where they recombine with their electrons and electrically neutralize.

Li-ion batteries can use a number of different combinations of materials as electrodes. The most common electric vehicle battery combination is that of lithium metal nickel hydride (cathode) and graphite (anode).

Lithium ion cells can use different types of cell designs for automotive use. The most common automotive cell design is Prismatic. Prismatic cell type packets provide easy assembling of battery packs and it also provides systematic components to recycle easily.

Some of the services that are in demand with Li-ion batteries:

• Thermal management of batteries for safety operation of batteries
• Operating temperature of a battery -30 to 40 degree centigrades
• IOT for EV batteries to measure battery conditions,life cycle, charging time,alerts.  

Some of the Challenges:

• Scarcity of resources and problematic environmental concern due to mining of resources.
• Decreasing subsidies on electric vehicles in various countries (China,Germany).

Localization of Lithium ion battery manufacturing:

• Lithium ion battery (LIB) packs account for 30%-40% of the price of a BEV, making them the costliest component.
• Lithium ion battery (LIB) cell production nearby auto and pack production helps minimize supply-chain risk and enables improved collaboration between battery and automakers, while reducing logistics costs and improving safety. 
• Battery and automakers are seeking to lower battery cost by taking a holistic approach to battery design, from cells to modules and packs.
• Governments in leading lithium-producing countries, including Chile and Australia, are encouraging greater value-add through developing a localized battery supply chain.

Some of the opportunities:

• Increasing demand from non-car segments such as buses,trains,e-bikes.
• Increasing market for 2nd life batteries.
• Introduction of Battery as a service
• Lithium ion battery recycling to avoid inappropriate disposal .
• Markets with growth potential are China,Australia,Chile,India.

Some of the Restraints:

• Competition from different types of Lithium ion batteries.

Some of the Recent Developments:

• In November 2020, Delhi-based battery maker Inverted Energy announced the opening of its lithium battery manufacturing facility in New Delhi, India. The commissioning of the plant, which currently has a production capacity of 100 MWh (megawatt hour) annually, is aimed at reducing dependence on China.
• In December 2020, LG Chem Ltd announced its plans to more than double the production capacity of battery cells it makes in China for Tesla Inc electric vehicles (EV) in 2021 to keep up with its US client's growth in the biggest car market. The firm, a supplier for Tesla's Shanghai-built Model 3, will also ship its increased output from China as well as Korea to Tesla's factories in Germany and the United States.

The passenger cars segment is expected to lead the lithium ion battery (LIB) for electric vehicle battery market in Asia Pacific due to the high adoption rate of EVs in China.

The study presents a detailed analysis of various factors that affect Global Lithium Ion Battery for Electric Vehicle Market revenue. The study also comprehensively analyses the lithium ion battery for electric vehicle market by segmenting it based on geography (Asia-Pacific, North America, Africa, Europe, ROW), based on Lithium-ion cell (lithium nickel metal hydride,lithium phosphate,lithium titanate,Solid state lithium),based on design (Cylindrical,Prismatic,Polymer),based on Automotive(car,bike,marine,material handling).

Blackridge Research's Global Lithium Ion Battery for Electric Vehicle Market report provides insights into the current global and regional market demand scenario and its outlook.

The report also addresses present and future market opportunities, market trends, developments, on the Global Lithium Ion Battery for Electric Vehicle Market, critical commercial developments, trends, regions, and segments poised for the fastest-growing, competitive landscape.

Further, the report will include the Global Lithium Ion Battery for  Electric Vehicle Market size (CAGR), demand forecast, growth rates.