The brainy Insights estimates that the lithium-ion battery market, valued at USD 45.67 billion in 2022 will reach USD 200.73 billion by 2030 according to The Brainy Insights, partly as a consequence of Government policies changing to become more sustainable and environment-friendly in response to growing concerns about climate change.

The report said that the need for energy is growing in line with worries about climate change. It is projected that global energy consumption will increase as developing nations industrialise. Smart power networks are being built along with the growing adoption of renewable energy sources for electricity production to combat climate change and satisfy growing energy demands.

The growing adoption of renewable energy sources to combat climate change will augment the lithium-ion battery market as it is used as an energy storage system in these energy sources.

Growth in the Asia Pacific

The report said that Asia Pacific is expected to have the largest market share in the lithium-ion battery market. China will dominate the Asia Pacific lithium-ion battery market as China is the world’s largest manufacturer and consumer of electric vehicles, explaining the area’s dominance in the market. 

Governments in both China and India are to meet consumer demand with manufacturing of electric vehicles through subsidies and incentives are doing well for the local market. The regional lithium-ion battery market will be driven by the increased push toward constructing renewable energy infrastructure.

A potential consumer market for electronics and electric cars exists due to the region’s large population and expanding economy. Technology advancements in the Chinese and Japanese sectors will drive the regional lithium-ion battery industry.

Overheating

Lithium-ion batteries are increasingly known for their fire risk, which may limit growth of the market. Batteries must be stored in dry, shaded areas because they cannot withstand high temperatures. These safety precautions are occasionally disregarded because of carelessness, which results in fires.

As negative media coverage damages the product’s reputation and reduces its adoption rate the market’s expansion will be constrained by the rising number of lithium-ion battery fires.

About the report

All the segments have been analysed worldwide, regional, and country basis. The study includes the analysis of more than 30 countries for each part. The report analysed driving factors, opportunities, restraints, and challenges for gaining critical insight into the market.