Lithium-ion Battery Market to Reach US$ 483.4 Billion By 2032 | Astute Analytica

Lithium-ion Battery Market Growth is Propelled by the Rise of Electric Vehicles (EVs).

New Delhi, Feb. 06, 2025 (GLOBE NEWSWIRE) — The global lithium-ion battery market valuation is poised to reach US$ 483.4 billion by 2032, with a CAGR of 21.40% during the forecast period from 2025 to 2032.

The lithium-ion battery market is hurtling towards a future of explosive growth and tricky challenges. Powered by the growth of electric vehicles (EVs), it has been witnessing a stronger demand than ever, 550 GWh in 2022 to be exact, and that number is projected to explode to 4,500 GWh by 2030. That surge highlights the potential for a 10-fold revenue growth industry-wide, shooting past US$ 410 billion within the decade.

Download Fee PDF Report @ https://www.astuteanalytica.com/request-sample/lithium-ion-battery-market

China is anticipated to lead the market with its insatiable thirst for electricity, which will account for 40% of all demand by 2030. This leadership position is underpinned by China’s strong supply chain for lithium-ion batteries, which includes access to critical raw materials, advanced manufacturing abilities, and significant government support. The country has heavily invested in the development of new energy vehicles (NEVs) and renewable energy storage solutions, further driving the demand for lithium-ion batteries.

Also, China’s dominance in the production of electric vehicles (EVs) and its role as a global hub for battery manufacturing have solidified its position as a key player in the market. The global lithium-ion battery market itself is encountering rapid growth, with projections showing a compound annual growth rate (CAGR) of more than 20% from 2024 to 2030.

By 2030, the market is predicted to reach a capacity of 6.5 terawatt-hours (TWh), propelled by the growing adoption of EVs and renewable energy systems worldwide. While the United States and Europe are also growing their market shares, China’s scale and infrastructure give it a significant competitive edge in meeting the surging global demand.

However, supply chain vulnerabilities threaten this trajectory. Demand for critical materials like cobalt, lithium, and nickel is set to grow exponentially – lithium requires an 18-20x boost in supply while cobalt needs a 17-19x fill and nickel will require a mammoth uptick of between 28-31x by 2050. A crippling shortage of lithium –a material found in batteries – could slow down EV production within this decade if not addressed soon. Battery recycling presents a solution but only if manufacturers can find consistent supplies that are ethically sourced.

Sustainability Takes Center Stage in the Lithium-Ion Battery Market

The lithium-ion battery industry is changing, and it is changing fast. There is a real push in the sector to become more sustainable — environmentally and socially. People are starting to look closer at what they are buying, governments are passing stricter regulations, and producers are eager to ensure that their businesses have long-term potential. There are many different ways to make batteries more bearable, but one key area of focus for companies is minimizing the damage caused by lithium mining. Producers want to decrease water usage, find ways to use less land and employ renewable energy sources. For instance: Controlled Thermal Resources has revealed plans to utilize a closed-loop geothermal process to mine lithium in California.

Recycling procedures require attention too in the global lithium-ion battery market. Currently, only a small percentage of lithium-ion batteries get recycled — that requires to change quickly if people all want the world to be cleaner. If companies can come up with efficient processes for recycling at scale then it will mean less waste and more valuable materials returned into circulation. It won’t just be good for Mother Earth; it will be profitable too. Some estimates suggest that by 2040 the recycling industry could create a US$ 6 billion profit pool, with revenue potentially exceeding US$ 40 billion.

Designing new, better batteries will also help solve this increasing problem — maybe one day people will eliminate their need for new resources. In the meantime though there’s still value in trying out alternative chemistries or materials that decrease reliance on resources critical to supply chains or difficult to ethically source. 

Li-NMC Batteries Dominate Lithium-Ion Market, Driving Growth in Electric Vehicles and Industrial Applications

Li-NMC batteries hold a major position in the global lithium-ion battery market with a 36% revenue share, especially in automotive applications. According to Astute Analytica predictions, by 2030, more than 28 million electric four-wheelers equipped with lithium-ion batteries will be sold worldwide, many of which may utilize NMC chemistry. Leading EV manufacturers such as Tesla prefer to utilize NMC batteries, and they are installed in their best-selling models and funded for further development.

NMC batteries are selected for their high energy density and long life. The energy density or power of NMC batteries can be adjusted based on the ratio of nickel and manganese, making them adaptable across applications.

Such customization potential along with advancements in energy density and lifespan have resulted in substantial investments being made into the development of NMC batteries. The Li-NMC battery segment is expected to grow in the global market significantly over the forecast period. High-capacity batteries above 60,000 mAh utilized primarily for heavy electric vehicles (EVs) and industrial applications are anticipated to gain an increasing market share in the lithium-ion battery market. Also, the Asia-Pacific region is anticipated to witness the highest CAGR from 2023 to 2032 due to China’s dominance in both production and consumption of lithium-ion batteries including NMC type.

The Li-NMC battery market exists within a dynamic competitive terrain. While Li-NMC holds a significant share, other chemistries like lithium cobalt oxide (LCO), lithium titanium oxide (LTO), and lithium iron phosphate (LFP) offer their own advantages thus competing for market dominance.

Key Companies:

• BYD Company
• LG Chem
• Panasonic Corporation
• Samsung SDI
• BAK Group
• Hitachi Corporation
• Johnson Controls
• Toshiba Corporation
• Raja Groups
• Tata Chemicals
• TDK Electronics AG
• Sony Corporation
• Murata Manufacturing Co., Ltd.
• Amperex Technology Limited
• LITEC Co., Ltd.
• GS Yuasa International Ltd.
• Automotive Energy Supply Corporation
• Other Major Players

Key Segmentation:

By Type:

• Lithium Nickel Magnesium Cobalt (LI-NMC)
• Lithium Ferro Phosphate (LFP)
• Lithium Cobalt Oxide (LCO)
• Lithium Titanate Oxide (LTO)
• Lithium Manganese Oxide (LMO)
• Lithium Nickel Cobalt Aluminum Oxide (NCA)

By Power Capacity:

• 0-300 mAH
• 3,000-10,000 mAH
• 10,000-60,000 mAH
• More than 60,000 mAH

By Application:

• Consumer Electronics OEMs

• • Smartphones

• • Laptops

• • UPS Systems

• • Smart Cameras

• • Smart Watches

• • Smart Glasses

• • Smart Textiles

• • Others

• Automotive OEMs

• • Hybrid Electric Vehicles (HEVs)

• • Battery Electric Vehicles (BEVs)

• • Others (Service Stations/Dealers)

• Energy Storage

• • Commercial

• • Industrial

• • Residential

• • Utilities

• Industrial OEMs

• • Military

• • Industrial Equipment

• • Medical

• • Marine

• • Telecommunication

• • Mining

• • Forklifts

• • Others

• Other OEMs
• Aftermarket

By Form/Design:

• Pouch
• Cylindrical
• Elliptical
• Prismatic
• Custom Design

By Region

• North America
• Europe
• Asia Pacific
• Middle East & Africa (MEA)
• South America

For more information about this report visit: https://www.astuteanalytica.com/industry-report/lithium-ion-battery-market

About Astute Analytica

Astute Analytica is a global analytics and advisory company which has built a solid reputation in a short period, thanks to the tangible outcomes we have delivered to our clients. We pride ourselves in generating unparalleled, in depth and uncannily accurate estimates and projections for our very demanding clients spread across different verticals. We have a long list of satisfied and repeat clients from a wide spectrum including technology, healthcare, chemicals, semiconductors, FMCG, and many more. These happy customers come to us from all across the Globe. They are able to make well calibrated decisions and leverage highly lucrative opportunities while surmounting the fierce challenges all because we analyze for them the complex business environment, segment wise existing and emerging possibilities, technology formations, growth estimates, and even the strategic choices available. In short, a complete package. All this is possible because we have a highly qualified, competent, and experienced team of professionals comprising of business analysts, economists, consultants, and technology experts. In our list of priorities, you-our patron-come at the top. You can be sure of best cost-effective, value-added package from us, should you decide to engage with us.

Contact Us:
Astute Analytica
Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World)
For Sales Enquiries: [email protected]
Website: https://www.astuteanalytica.com/
LinkedIn | Twitter | YouTube

CONTACT: Contact Us:
Astute Analytica
Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World)
For Sales Enquiries: [email protected]
Website: https://www.astuteanalytica.com/