- The lithium-ion battery market in APAC will see the highest growth rate in the coming years
- The sales are being driven by sustained demand from developed nations in North America and Europe and expanding Asian markets
The global lithium-ion battery market is expected to grow at a compound annual growth rate (CAGR) of 16.4 per cent from 2020 to 2025 as per a report by ResearchAndMarkets. The report titled “Lithium-Ion Battery Market by Type, Power Capacity, Industry, Voltage, Region – Global Forecast to 2025” also said that the global lithium-ion battery market will reach $94.4 billion by 2025 from $44.2 billion in 2020.
The report said that the increasing usage of consumer electronics has enhanced the growth of the lithium-ion battery market. Consumer electronics require power sources that have high energy and power density to run the devices smoothly. this leads to the requirement of lithium-ion batteries as the primary source of power.
Expanding Asian markets driving sales
The report said that the sales are being driven by sustained demand from developed nations in North America and Europe and expanding Asian markets such as China, India, and South Korea. Safety concerns related to lithium-ion batteries like explosion and fire are making manufacturers develop safer batteries with high energy density. As per the report, high-energy-density will boost the demand for lithium nickel manganese oxide (Li-NMC) and it will see the highest CAGR during the forecast period. EVs require high capacity and high power that can only be provided by the use of the NMC battery type.
As per the report, the use of new electrolytes and additives support the charging of cell up to 4.4 V/cell. The NMC cell is growing in its range as the three components required are easy to blend and be made useful for a wide range of applications like the automotive industry and energy storage system (ESS).
APAC to lead
According to the report, the lithium-ion battery market in APAC will see the highest growth rate in the coming years. The automotive, consumer electronics, and power industry applications are expected to drive the demand for advanced batteries in the region.
