- As per the report, Asia-Pacific (APAC) made the most use of automotive Li-ion batteries in 2018
- The automotive lithium-ion battery market is witnessing the increasing utilisation of nickel-manganese-cobalt (NMC) batteries in EVs globally
It is expected that the global automotive lithium-ion battery will generate revenue of $74.3 billion in 2024 advancing at a 15.9 per cent compounded annual growth rate (CAGR) during the forecast period of 2019-2024 as per a recent P&S Intelligence report. The report also added that in 2018 the global automotive lithium-ion battery market generated $24.2 billion.
The report added that different types of vehicles make use of lithium-ion batteries. These include two-wheelers, commercial vehicles, and passenger cars. In 2018, the largest demand for Li-ion batteries was created for passenger cars and it is expected to hold true in the future as well. this will be due to the rising sales and production of EVs in China and the U.S.
As per the report, Asia-Pacific (APAC) made the most use of automotive Li-ion batteries in 2018. this can be attributed to the heavy production and sales of EVs in China. There, the government authorities are providing extensive support for the development of infrastructure, including charging station spaces.
Demand for NMC batteries
Europe is projected to register the fastest growth in demand for Li-ion batteries during the forecast period. This is due to the targets set by the government for increasing the sales of EVs.
The report also said that the automotive lithium-ion battery market is witnessing the increasing utilisation of nickel-manganese-cobalt (NMC) batteries in EVs globally. This is due to the rising demand for electric vehicles, which have a higher range. As NMC batteries offer greater energy density, their requirement is rising as well. The cost of these batteries has come down to an average of $200 per kWh in 2018 too. NMC batteries are lighter and need less space than other batteries as well.