Global Electric Vehicle Battery Market Size, Share, Opportunities And Trends By Battery Type (Lithium-Ion, Aluminium-Ion, Hybrid Nickel Metal, Others), By Vehicle Type (Battery Electric Vehicle, Plug-in Hybrid Electric Vehicle, Hybrid Electric Vehicle), And By Geography - Forecasts From 2023 To 2028

The debut of EVs is expected to be the focus of significant automakers including Ford Motors, General Motors, and BMW AG, which will likely fuel market expansion. Also, a number of key drivers that are propelling this market include the rising demand for electric vehicles, customer interest in reducing vehicle carbon footprint, favorable government regulations, and better electric vehicle battery technology. The advancement of EV batteries is the primary factor in lowering the price of EVs and extending the driving range between recharges. In order to make EV batteries lighter, smaller, and able to store more energy, new cell chemistries are being investigated. This will enable electric cars to compete with traditional fuel-based vehicles.

The falling price of lithium-ion batteries will boost the electric vehicle battery market growth.

Lithium-ion batteries are the primary power source for electric cars at the moment. Li-ion batteries make up more than 70% of the market for rechargeable batteries, according to 2018 research by the U.S. International Trade Commission. Moreover, battery costs per kilowatt-hour (kWh) have decreased from approximately 1000 USD in 2010 to less than 200 USD in 2019. Battery prices are also predicted to fall below 100 USD/kWh in the upcoming years due to improvements in cell chemistry and battery pack production methods. As a result, it is anticipated that a decrease in the price of battery packs, which represent between 35% and 45% of the costs involved with producing electric cars, will drive the growth of the market for electric vehicle batteries.

The Salal-Haimana region in the Reasi district of Jammu & Kashmir has 5.9 million tonnes of inferred lithium resources (G3) for the first time, according to a press release from the Geological Survey of India (GSI) in February 2023. Senior government authorities claim that the finding of lithium is the best available. This shows that the prices for lithium will decrease and will be able to export as well which will increase in market growth for the global electric vehicle battery market.

The increase in demand for electric vehicles will boost the global market for electric vehicle battery market

As concerns about conventional cars' impact on the environment continue to grow, governments all over the world are encouraging the use of alternative fuel vehicles. EVs, or electric cars, are zero-emission vehicles that are gaining popularity for eco-friendly public transit all around the world. Some national governments offer financial incentives including tax exemptions and refunds, subsidies, and other forms of support to encourage the usage of EVS with reduced parking/toll costs and no-charge usage for EVS.

GM announced intentions to invest USD 35 billion in October 2021 to develop and commercialize more than a million EVs and other technologies by 2025. The company's goal is to be completely electric by 2035. Ford stated in November 2021 that it will boost its annual capacity for EV manufacture to 600,000 by 2023. By 2030, It intends to supply 40% of electric vehicles. Volkswagen also announced intentions to invest USD 86.3 billion in EV development through 2030. This brings the investment in EVs huge which will propel the market for Global Electric Vehicle Battery

During the forecast period, Asia-Pacific tends to grow in Electric Vehicle Battery Market

In 2020, the Asia-Pacific region held the largest market share worldwide. The use of lithium-ion batteries is predicted to increase significantly in the area due to the rising use of electric cars in nations like China, Japan, and India, as well as the strong demand for automobiles brought on by urbanization and rising power purchase parity. One of the biggest markets for electric vehicles in China, where their adoption is rising in accordance with the country's clean energy policies. In addition, the Chinese government has been offering both monetary and non-monetary incentives to encourage the use of electric vehicles.

In January 2021 China's Ministry of Finance announced that it would reduce EV subsidies by 20% for the following year as the market for so-called new energy vehicles (NEVs), which include hybrid, plug-in, and hydrogen-powered cars began to rebound after the pandemic-related decline in sales the previous year.

In India, lithium-ion batteries are largely used in electric vehicles. India's major trading partners are China, Japan, and South Korea. In the Asia-Pacific area, India is a significant importer of lithium-ion batteries. According to the IEA, the country imported over 450 million units of lithium batteries used in a variety of electrical devices, equipment, and electric vehicles during the 2019-20 fiscal year (EVs). These batteries were expected to be worth INR 6,600 crore (roughly USD 929.26 million). This indicates that the government's investment will enhance demand for lithium-ion electric batteries, hence expanding the market.

Market Key Developments.

• In July 2022, the construction of Samsung SDI's second battery manufacturing facility in Seremban, Malaysia.  In 2024, this facility will begin making cylindrical PRIMX 21700 batteries. The corporation will make 1.4 billion USD in investments up until 2025. The majority of the applications for the batteries made at the factory will be electric cars (EVs), micro-mobility, and numerous other uses.
• In March 2021, Solid Energy Systems, a lithium metal battery firm, and General Motors joined forces. This cooperation intends to develop the US automaker's battery technology, providing a lengthy EV driving range in a more compact form.
• In February 2021, Amara Raja Batteries, India's second-largest automotive battery producer, would open its first technology center in Tirupati, Andhra Pradesh, to make lithium-ion batteries for electric cars.

Global Electric Vehicle Battery Market Scope:

Segmentation

• By Battery Type
  • Lithium-Ion
  • Aluminium-Ion
  • Hybrid Nickel Metal
  • Others
• By Vehicle Type
  • Battery Electric Vehicle
  • Plug-in Hybrid Electric Vehicle
  • Hybrid Electric Vehicle
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    •  Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • UK
    • France
    • Spain
    • Others
  • Middle East and Africa
    • Suadi Arabia
    • UAE
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • India
    • Australia
    • Others