The hybrid and EV battery market will
advance at a CAGR of 28%, to reach USD
436,112.7 million by 2030 as per a report by P&S Intelligence. This
is credited to the technological advancement in lithium-ion batteries used in
electric vehicles, and the rising popularity and deployment of electric and
hybrid vehicles.
The
Key vehicle manufacturers are entering into the industry due to the rising
demand for electric vehicles. Toyota, Tata Motors, Mercedes-Benz, and Hyundai
are developing electric vehicle models to strengthen their positions in the
market.
The
electric vehicle domain is thriving, and numerous companies are developing
business models to meet customer demands, for example, battery swapping, this
allows users to change the exhausted batteries, and thus enhancing customer satisfaction
and saving the battery recharging time.
In
recent years, APAC is the largest revenue contributor in the hybrid and EV
battery market. This is credited to the rising adoption of
battery-powered vehicles. The sales of electric vehicles are expected to grow
in the years to come, due to the increasing concerns regarding environmental
pollution, decreasing prices of batteries, and increasing need for
fuel-alternative vehicles.
APAC
offers lesser battery prices than in other regions, due to the existence of
numerous battery manufacturers in South Korea, Japan, and China.
The
North American industry is projected to grow because of the rising support from
the government in the research and development of lithium-ion batteries, numerous
tax benefits offered by governments, the affordability of electric passenger vehicles,
and a greater emphasis on electric vehicles and hybrid vehicles.
Moreover,
the rapid depletion of fossil fuels and the rising demand for energy security
will create numerous opportunities for the regional industry for hybrid and
electric batteries in the future.
Europe
held a significant share in the industry. As a result of being one of the main
regions for the production and sales of electric vehicles. Governments of
several countries in Europe have heavily invested and supported in research and
development in the electric vehicle industry.
Furthermore,
the growing demand for lithium-ion batteries, significant investment, and the
increasing number of EV users are boosting the growth of the industry in this
region.
In
recent years, lithium-ion batteries held the largest share, of over 90%. These
batteries offer advantages such as a long-life, lower prices, excellent energy
efficiency, and zero memory effects, thus these batteries are perfect for
electric and hybrid vehicles.
Due
to the technological advancement in lithium-ion batteries, increasing
popularity and deployment of electric vehicles and hybrid vehicles, and growing
awareness regarding climate conditions, the hybrid and EV battery industry will
grow significantly in the coming years.
Source: P&S Intelligence
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