EV Battery Reuse Market By Source (Battery Electric Vehicles (BEVs), Hybrid Electric Vehicle (HEV), Plug-in Hybrid Electric Vehicle (PHEV), Fuel Cell Electric Vehicle (FCEV)), By Battery Chemistry (Lithium-Iron Phosphate, Lithium-Manganese Oxide, Lithium-Nickel-Cobalt-Aluminum Oxide, Lithium-Nickel-Manganese Cobalt, Lithium-Titanate Oxide), By Vehicle Type (Passenger Cars, Commercial Vehicles), By Application (Low speed vehicles, Base Stations, EV charging, Energy Storage): Global Opportunity Analysis and Industry Forecast, 2021-2031
The global EV battery reuse market size was valued at $0.2 billion in 2021, and EV battery reuse industry is projected to reach $3.9 billion by 2031, growing at a CAGR of 34.3% from 2022 to 2031.
EV battery reuse has wide range of applications in the energy storage, as a power source for base station and EV charging stations. Most of the batteries used in this market are those that do not meet the standards for its application in the EVs. The increase in awareness among the people regarding the impact of battery waste on environment has led to recycling that provides second life for the battery in various other applications.
The battery and vehicle manufacturers have been pushing forward EV battery recycling and reuse in pursuit of more sustainable business models. This is being reinforced by progressive government regulations, such as the recent updates to battery reuse and recycling regulations in Europe. Ongoing trends reveal that recycling is ecpected to be favored over the next 2-3 years. However, in the long-term, second life use applications are anticipated to gain momentum due to technological advances, regulatory clarity, and proven business model.
The rise in sale of electric vehicles (EV) across the globe creates considerable opportunity for stationary storage powered by used EV batteries. In terms of battery type, the electric vehicle battery reuse market can be segmented into lithium-ion batteries, nickel-metal hydride batteries, and lead-acid batteries. Rise in demand for EV battery in the automotive industry is expected to create significant opportunities for the EV battery reuse market in the near future. The benefits of reusing end-of-first-life batteries are the cost development of new batteries to be manufactured is high compared to battery that are recycled. Therefore, the different paths of reusing those batteries need to be investigated in order to identify possible economic benefits as compared to that offered by new batteries. The comparison of both price trends is a key factor for the success of reusing batteries, since they would not only be ecologically attractive however also cost-effective.
Energy storage application accounted for over 28% of the market share in 2021. Escalating energy demand owing to the growth in population and shortage of power supply are projected to fuel the of EV battery reuse market statistics during the forecast period. The batteries failing to maintain 80% of total usable capacity are ejected from usage in EVs on account of unfulfillment of performance standards. The used Li-ion batteries can be utilized as a back-up system, where the power is stored during the normal grid supply and it discharges when there is power outage especially during extreme climatic conditions. The EV battery reuse market is anticipated to grow on account of its ability to power low energy demanding applications as a part of energy storage system.
North America accounted for a significant share of the global market revenue in 2021. The demand for battery reuse across North America is primarily driven by the U.S. and Canada. The North America region has great demand for electric vehicles. The recent surge in the sales of electric vehicles in this region has led to increase in demand for EV battery. The rise in the sales of batteries has led to the launch of various initiatives by the government to recycle and reuse the standard batteries in various sectors. However, the rapid development in the battery technology and decrease in the production cost of lithium batteries by 97% since 1997 have hampered the market growth. On the other hand, the market in Asia-Pacific is estimated to register the fastest growth rate during the forecast period.
The EV battery reuse market is segmented on the basis of source, battery chemistry, vehicle type, application, and region.
On the basis of source, it is fragmented into battery electric vehicles, hybrid electric vehicle, plug-in hybrid electric vehicle, and fuel cell electric vehicle. On the basis of battery chemistry, the market is categorized into Lithium-Iron Phosphate, Lithium-Manganese Oxide, Lithium-Nickel-Cobalt-Aluminum Oxide, Lithium-Nickel-Manganese Cobalt, and Lithium-Titanate Oxide. On the basis of vehicle type, the market is bifurcated into passenger cars and commercial vehicles. By application, the EV battery reuse market is classified into low speed vehicles, base stations, EV charging, and energy storage.
Region wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. At present, Asia-Pacific accounts for the largest share of the market, followed by Europe and North America.
The major companies profiled in this report include BYD Co, Ltd., Global Battery Solutions, Ltd., Daimler AG, Samsung SDI Co., Ltd,LG Chem Ltd., Groupe PSA, GS Yuasa Corporation, General Motors, Toshiba Corporation, Envision AESC, Nissan Motor Co., Ltd., Toyota Motor Corporation, BMW Group, Tesla Inc,, Johnson Controls, inc., Lithium Werks, and Mitsubishi Electric. Additional growth strategies such as expansion of storage capacities, acquisition, partnership, and research & innovation in the recycling technologies have led to attain key developments in the global EV battery reuse market trends.
Impact of Covid-19 on Global EV Battery Reuse Market
Demand for various input products in the industrial sector declined significantly, as very few industrial operations were allowed to operate. The factors mentioned above restrained the market, as very few reuses of new electric vehicle batteries are expected to be deployed by these industries during the pandemic crisis.
Post pandemic crisis, major electric vehicle manufacturers have launched electric vehicles of various types, as there is a huge demand for eco-friendly automotive after the pandemic outbreak due to increase in awareness among the people toward the environment. Furthermore, the breakthrough in various technologies which are used in the EVs is another factor boosting the growth of the EV industry.
Key Benefits For Stakeholders
This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the ev battery reuse market analysis from 2021 to 2031 to identify the prevailing ev battery reuse market opportunities.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the ev battery reuse market segmentation assists to determine the prevailing market opportunities.
Major countries in each region are mapped according to their revenue contribution to the global market.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
The report includes the analysis of the regional as well as global ev battery reuse market trends, key players, market segments, application areas, and market growth strategies.
Key Market Segments
By Source
Battery Electric Vehicles (BEVs)
Hybrid Electric Vehicle (HEV)
Plug-in Hybrid Electric Vehicle (PHEV)
Fuel Cell Electric Vehicle (FCEV)
By Battery Chemistry
Lithium-Iron Phosphate
Lithium-Manganese Oxide
Lithium-Nickel-Cobalt-Aluminum Oxide
Lithium-Nickel-Manganese Cobalt
Lithium-Titanate Oxide
By Vehicle Type
Passenger Cars
Commercial Vehicles
By Application
Low speed vehicles
Base Stations
EV charging
Energy Storage
By Region
North America
U.S.
Canada
Mexico
Europe
Germany
France
Italy
Spain
UK
Rest Of Europe
Asia-Pacific
China
Japan
India
South Korea
Australia
Rest Of Asia-Pacific
LAMEA
Brazil
Saudi Arabia
South Africa
Rest Of LAMEA
Key Market Players
BYD Co, Ltd.
Global Battery Solutions, Ltd.
Daimler AG
Samsung SDI Co., Ltd
LG Chem Ltd.
Groupe PSA
GS Yuasa Corporation
General Motors
Toshiba Corporation
Envision AESC
Nissan Motor Co., Ltd.
Toyota Motor Corporation
BMW Group
Tesla Inc
Johnson Controls, inc.
Lithium Wrecks
Mitsubishi Electric Corporation
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