The global lithium ion cell battery and battery pack market is prognosticated to exhibit a highly positive growth trajectory in the forthcoming years, as stated by Transparency Market Research (TMR). The report mentions that the worldwide market is fairly fragmented, with the top players holding a substantial portion of the market revenue. The market participants are expected to invest in strategic growth strategies such as investing in research and development and pursue the expansion of its product portfolio. Some of the key participants of the global lithium ion cell and battery pack market are GS Yuasa Corporation, BYD Co. Ltd., Toshiba Corporation, Samsung SDI and Panasonic Corporation.
The worldwide lithium ion cell and battery pack market is anticipated to exhibit a vigorous 12.0% CAGR, between the forecast period of 2017 to 2025. Between this duration, the market is expected to surge in value from US$32.17 bn to US$88.92 bn.
Higher Power Capacity Batteries to Experience Demand due to Increasing Applications
In terms the power density, the lithium ion cell and battery pack market has been classified into 5-25 Wh, 48-95 Wh, 18-28 KWh, 100-250 KWh, and over 300 KWh. Among these, 100-250 KWh remained as the most appealing market segment in the year 2016 on the basis of power capacities. The rise of this segment is essentially determined the growing demand for for high limit batteries for particular applications, for instance, in high stacking electric vehicles. The 18-28 KWh and more than 300 KWh market segments are additionally anticipated that to showcase significant development because of their applications in energy production.
In 2016, Asia Pacific contributed a substantial market share of about 72.3% to the global lithium ion cell and battery pack market in 2016. The growing number of consumer gadgets, smart cars, and grid energy generate a considerable demand for lithium-ion batteries and is pulling in investments form prominent market participants.
Government Funding to Provide Impetus to Market Growth
The progress of lithium ion cell and battery pack market is contrarily affected because of the high costs of lithium ion batteries for electric vehicles. Lithium ion batteries are extravagant when contrasted with conventional batteries which is representing a test to the market’s development. In addition, the functional limitations of lithium ion batteries such as its need for high energy and it showcasing lower thermal stability are posing a challenge to the development of the market.
However, governments in various countries are taking more and more initiatives to promote ecological sustenance via hybrid electric vehicles and plug-in hybrid vehicles to lower the pollution level. As the hybrid and electric vehicles substantially operate on rechargeable batteries, the authorities in various countries are taking initiatives to encourage adoption of the hybrid vehicles. Moreover, increasing adoption of the hybrid and plug-in hybrid vehicles as public transportation is expected to impact growth of the global automotive lithium ion battery packs market positively.