Global Lithium-Ion Battery Binder Market Outlook to 2028

The lithium ion battery binder market is being driven by the reliability and compatibility of lithium ion batteries in various applications, such as electric vehicles, electronic products, energy storage, technological advancements of lithium ion batteries in durability, energy density, efficiency, low charging time and leading to increase or fuel the demand for lithium ion battery binder market.

Drivers:

• Growing demand for stringent safety requirements from lithium ion battery cell producers is increasing the demand for the binders market.
• Growing demand for battery binders in battery cell producers to prevent electrodes from swelling.
• The growing consumer electronics industry owing to integration of advanced technologies such as IoT and AI.
• Silicon-based binders act as an active material to assist in improving the performance of lithium ion batteries.
• Growing battery materials investments in various countries to improve the battery value chain.
• Growing consumer expectations in automotive OEMs increased the demand for high-performance binder materials.
• Rising environmental concerns are increasing the demand for batteries.
• Growing demand for energy storage systems in renewables, telecom, data centres, and others is increasing the demand for lithium ion battery binder materials.

Batteries work through an electrochemical reaction involving electrolytes (lithium(Li) ions) that flow back and forth from the positive pole (+) to the negative pole (-) to generate electricity. They can be recharged and reused multiple times and used for sustainable power mobility, including EVs, IT devices, diverse home appliances, and other applications.

Binder materials are responsible for holding the active material particles within the electrode of a lithium ion battery (LIB) together to maintain a strong connection between the electrode and the contacts. These binding materials are normally inert and have an important role in the manufacturability of the battery.

Properties of Binder Materials: 

• Chemical Resistance
•  High Mechanical Strength
• Piezoelectric and Pyroelectric properties.
• Insolubility

Lithium ion Battery materials are the basic raw materials and compounds in the battery supply chain, mainly consisting of metals such as Lithium, Nickel, and Cobalt, among others. They are extracted from upstream mining operations that convert seawater brines or mineral ores into processed battery metals. The end products are battery packs used in various end-use industries such as energy storage, consumer electronics, and automotive. 

The growing adoption of electric vehicles among consumers has helped boost the market for these energy-saving, pollution-reducing vehicles. In addition to the advanced battery technologies, the number of electric vehicles is constantly increasing thanks to the advantages associated with them, such as the reduced need to maintain the vehicle's engine, the reduction of hazardous oil waste, and the reduction in pollution caused by fuel combustion engines.

Automotive lithium ion batteries provide power for electric vehicles. Lithium ion batteries are widely used in electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs), and their adoption is expected to increase even further in the future.

Lithium ion Battery Binder Market Opportunities:

• Rapid technological development in batteries to meet customer needs has increased the demand for customised products.
• The growing demand for lithium ion solid-state batteries is increasing the demand for anode materials in EVs.
• Growing usage of lithium ion batteries in power backups, mobile, laptops, electric mobility, energy storage systems, and consumer electronic goods.  
• Markets with great potential are China, Germany, America, and others.

Lithium ion Battery Materials Policies:

• In May 2018, under the European Green Deal policy the Commission adopted the strategic action plan on batteries as part of the third ‘Europe on the Move’ mobility package. The action plan sets out measures to support efforts to build a battery value chain in Europe, from raw material extraction, sourcing and processing, battery materials, cell production, battery systems, reuse to recycling.
• In November 2021, the United States introduced the Federal Consortium for Advanced Batteries (FCAB), which brings together Federal agencies that are interested in ensuring a domestic supply of lithium batteries and are committed to accelerating the development of a robust and secure domestic industrial base.
• In March 2022, India introduced the National Programme on Advanced Chemistry Cell (ACC) Battery Storage (NPACC) under the Production Linked Incentive (PLI) Scheme to support battery value chain in India, from raw material extraction, sourcing and processing, battery materials, cell production, battery systems, reuse to recycling.

Lithium ion Battery Binder Market Challenges:

•  Battery materials safety issues related to storage and transportation of batteries
• Low competency in high heat tolerance and environmental regulations is challenging the binders market 

Lithium ion Battery Binder Market Restraint:

• Growing demand from other batteries such as sodium-ion batteries and flow batteries in energy storage and mobility.
• Growing demand for solid state lithium ion batteries is decreasing the demand for the binder market.

Recent Developments :

• In June 2022, BASF introduced 2nd generation styrene-butadiene rubber (SBR) binder Licity that uses silicon contents exceeding 20%. In addition to the established properties, this binder enables higher capacity, increased number of charge/discharge cycles and reduced charging times.

Based on chemistry, the polyvinylidene fluoride (PVDF) segment dominated the global lithium ion battery binders market in 2021.PVDF (PVF2 or polyvinylidene fluoride or polyvinylidene difluoride) is a semi-crystalline, high purity thermoplastic fluoropolymer operates at a temperatures up to 150°C.

Polyvinylidene Fluoride (PVDF) is utilised in numerous electronic applications, especially as jacketing material for various cables that are used in voice and video devices and alarm systems. Low flame spread and smoke generation of PVDF resin play a key role in these applications. It is gaining acceptance as a binder for cathodes and anodes in lithium ion batteries. It is also being increasingly employed as a battery separator in lithium ion polymer systems.

Regional Market Analysis:

The global lithium ion battery binder market report is segmented based on geography into North America, including the United States, Canada, Mexico, and the Rest of North America; Europe, including Germany, France, United Kingdom (UK), Italy, Russia, and the Rest of Europe; Asia Pacific (APAC) including China, India, Japan, South Korea, Australia, Indonesia, and Rest of APAC; South America including Brazil and Rest of South America; and the Middle East and Africa including Saudi Arabia, Brazil, Nigeria, South Africa, and other countries.

Asia-Pacific is expected to be the leading region in the lithium ion battery binder market during the forecast period, followed by North America, Europe, the Middle East, and South America.

China, Australia, Japan, and South Korea are the major countries in Asia-Pacific with lithium ion battery binders that have a strong order book.

Asia Pacific:

The Asia Pacific region has countries that have both developing and established battery markets. For instance, countries such as China, India, South Korea, Japan, Australia, and others have an established large-scale battery binders market and others are increasing the demand for lithium ion battery Binders market.

The Asia Pacific is expected to be the largest region in the lithium ion battery binder market during the forecast period. With a target to reduce emissions, energy storage systems demand will rise in the power generation sector, and electric vehicles demand will rise in transportation, especially in China, Japan, India, and others.

Blackridge Research's Lithium Ion Battery Binder Market report provides insights into the current market demand environment and prognosis.

The study thoroughly examines the many factors that impact the development of Lithium Ion Battery Binders. The study also comprehensively analyses the Lithium ion battery Binders by segmenting it based on region (Asia Pacific, North America, Europe, South America, Middle East, Africa), based on chemistry (Polyvinylidene Fluoride (PVDF),  Poly Acrylic Acid (PAA) binder and Others).

The report also discusses current and future market possibilities, market trends, advancements, the effect of Covid-19 and the Ukraine and Russian War on the Lithium ion battery binders market, essential developments, regions, and segments poised for the fastest growing competitive landscape. Further, the lithium ion battery binders market size, and demand forecast, growth rates will also be provided in the report.