Global Lithium-Ion Battery Market Is Projected To Exceed $129 Billion By 2027
Source：FinancialNewsMedia.com
From：Taiwan Trade Center, San Francisco
Update Time：2021/04/04
Today, with the increasing concerns raised over the environmental impact of conventional vehicles, governments around the world are encouraging the adoption of vehicles using alternative sources of fuel. EVs are zero-emission vehicles and are gaining preference for clean public transport across countries. Several national governments offer financial incentives, such as tax exemptions and rebates, subsidies, reduced parking/toll fees for EVs, and free charging, to encourage the adoption of EVs. Thus, globally the requirement of EV battery is gaining fast pace. Lithium has been essential for this growth.
An article by Trading Economics recently said that the price for Lithium Carbonate, which is a critical ingredient in lithium-ion batteries surged after government incentives boosted demand for the metal while supplies remain tight. European governments offer subsidies to electric-car buyers and sales of alternatively powered cars account now for a third of new passenger cars. In China, electric vehicles sales more than tripled in January from a year earlier and in the US, President Biden pledged to build half a million of charging stations. A report from Statista added: "The market for lithium-ion battery recycling is expected to grow tenfold over the next decade (due to high demand). It is estimated that, by 2030, it will be possible to recover over 120,000 metric tons of lithium carbonate equivalent worldwide from used Li-ion batteries… the global lithium-ion battery market between 2020 and 2025. By 2025, global revenues in the lithium-ion market are expected to exceed 70 billion U.S. dollars."
A report from Valuates projected that the global lithium-ion battery market was valued at USD 36.7 billion in 2019 and is projected to hit USD 129.3 billion by 2027, at a CAGR of 18% from 2020 to 2027. Another report from Grand View also added: "The global lithium-ion battery market size was valued at USD 32.9 billion in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 13.0% from 2020 to 2027. The growth of the market is attributed to the growing demand for the lithium-ion battery in Electric Vehicles (EVs) and grid storage as it offers high-energy density solutions and lightweight. The subsequent increase in the registration of EVs and a decrease in the price of the lithium-ion battery is estimated to expand market size over the forecast period. Also, a surge in sales of EVs and change in user preferences is likely to drive the market. The mounting number of photovoltaic installations and nuclear power plants, along with the beginning of the wind energy projects, is projected to propel market growth over the estimated period. Expanding off-grid installations in the U.S., India, China, and Germany, along with the growing acceptance of Li-ion batteries in equipment used in the medical sector, is expected to encourage the market for lithium-ion battery over the forecast period."
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