Global Lithium-Ion Battery Energy Storage System Market Report and Forecast 2024-2032
Market Outlook
According to the report by Expert Market Research (EMR), the global lithium-ion battery energy storage system market size reached a value of USD 5.50 billion in 2023. Aided by the increasing demand for renewable energy integration and the growing need for efficient energy storage solutions, the market is projected to further grow at a CAGR of 15.2% between 2024 and 2032 to reach a value of USD 19.65 billion by 2032.
Lithium-ion battery energy storage systems (BESS) are crucial technologies designed to store energy generated from renewable sources, such as solar and wind, ensuring energy supply stability even when the generation is intermittent. These systems are also vital in balancing supply and demand, improving grid resilience, and reducing dependency on traditional fossil fuels. As global initiatives towards reducing carbon emissions intensify, the demand for lithium-ion BESS is expected to rise, supporting a more sustainable energy future.
The increasing global focus on reducing greenhouse gas emissions and promoting clean energy is a primary driver of the lithium-ion battery energy storage system market growth. Governments worldwide are implementing policies and offering incentives to accelerate the adoption of renewable energy sources, making energy storage systems a critical component of energy infrastructure. For instance, in countries such as the United States, Germany, and China, large-scale solar and wind power plants increasingly rely on lithium-ion BESS to ensure energy efficiency and sustainability.
The growing popularity of electric vehicles (EVs) further propels the lithium-ion battery energy storage system demand. With automotive manufacturers increasingly adopting lithium-ion technology for EVs, the synergy between energy storage and electric transportation is expected to enhance the overall market. Additionally, the advancement of battery technology is leading to the development of more efficient, longer-lasting, and safer lithium-ion batteries, further contributing to market growth.
One of the key applications of lithium-ion BESS is in residential and commercial energy storage systems, which is fuelling the lithium-ion battery energy storage system market growth. With more individuals and businesses investing in solar energy systems, the integration of lithium-ion batteries allows for better energy management and cost savings. These systems enable users to store excess energy generated during the day for use during peak hours or at night, thereby reducing reliance on the grid and lowering electricity costs.
In addition to residential and commercial applications, the utility sector is a significant driver of market growth. Utilities are increasingly investing in large-scale lithium-ion battery energy storage projects to stabilise the grid, ensure energy security, and enhance the integration of renewable energy. These systems also provide valuable ancillary services, such as frequency regulation and peak shaving, ensuring the efficient operation of power systems. This is contributing to an increase in the lithium-ion battery energy storage system market revenue.
Continuous research and development efforts in lithium-ion battery technology are crucial to market growth. Innovations aimed at enhancing battery energy density, reducing costs, and improving safety standards are enabling wider adoption across industries. For example, the development of solid-state lithium-ion batteries, which offer improved safety and longer lifespans compared to conventional liquid electrolyte batteries, is anticipated to revolutionise the market in the coming years. This is one of the key lithium-ion battery energy storage system market trends.
Moreover, the declining cost of lithium-ion batteries has made them a more viable option for large-scale energy storage applications. As economies of scale and technological advancements continue to lower production costs, lithium-ion batteries are becoming more accessible, which will likely increase their penetration in various sectors, including transportation, residential energy storage, and grid applications.
The global market is poised for substantial growth, supported by the rising demand for renewable energy integration, the increasing popularity of electric vehicles, and ongoing advancements in battery technology. As the world transitions towards cleaner energy solutions, lithium-ion battery energy storage system market value is expected to increase in the coming years.
Market Segmentation
The market can be divided based on product type, application, and region.
Market Breakup by Product Type
- On-Grid
- Off-Grid
- Hybrid
- Others
- Residential
- Commercial
- Industrial
- Utility
- Others
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East and Africa
The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the global lithium-ion battery energy storage system market. Some of the major players explored in the report by Expert Market Research are as follows:
- Tesla Inc.
- LG Chem.
- Samsung SDI Co. Ltd.
- BYD Co. Ltd.
- Siemens AG
- Panasonic Corp.
- Others
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*We at Expert Market Research always strive to provide you with the latest information. The numbers in the article are only indicative and may be different from the actual report.
- 1 Executive Summary
- 1.1 Market Size 224-225
- 1.2 Market Growth 225(F)-234(F)
- 1.3 Key Demand Drivers
- 1.4 Key Players and Competitive Structure
- 1.5 Industry Best Practices
- 1.6 Recent Trends and Developments
- 1.7 Industry Outlook
- 2 Market Overview and Stakeholder Insights
- 2.1 Market Trends
- 2.2 Key Verticals
- 2.3 Key Regions
- 2.4 Supplier Power
- 2.5 Buyer Power
- 2.6 Key Market Opportunities and Risks
- 2.7 Key Initiatives by Stakeholders
- 3 Economic Summary
- 3.1 GDP Outlook
- 3.2 GDP Per Capita Growth
- 3.3 Inflation Trends
- 3.4 Democracy Index
- 3.5 Gross Public Debt Ratios
- 3.6 Balance of Payment (BoP) Position
- 3.7 Population Outlook
- 3.8 Urbanisation Trends
- 4 Country Risk Profiles
- 4.1 Country Risk
- 4.2 Business Climate
- 5 Global Lithium-Ion Battery Energy Storage System Market Analysis
- 5.1 Key Industry Highlights
- 5.2 Global Lithium-Ion Battery Energy Storage System Historical Market (218-223)
- 5.3 Global Lithium-Ion Battery Energy Storage System Market Forecast (224-232)
- 5.4 Global Lithium-Ion Battery Energy Storage System Market by Product Type
- 5.4.1 On-Grid
- 5.4.1.1 Historical Trend (218-223)
- 5.4.1.2 Forecast Trend (224-232)
- 5.4.2 Off-Grid
- 5.4.2.1 Historical Trend (218-223)
- 5.4.2.2 Forecast Trend (224-232)
- 5.4.3 Hybrid
- 5.4.3.1 Historical Trend (218-223)
- 5.4.3.2 Forecast Trend (224-232)
- 5.4.4 Others
- 5.5 Global Lithium-Ion Battery Energy Storage System Market by Application
- 5.5.1 Residential
- 5.5.1.1 Historical Trend (218-223)
- 5.5.1.2 Forecast Trend (224-232)
- 5.5.2 Commercial
- 5.5.2.1 Historical Trend (218-223)
- 5.5.2.2 Forecast Trend (224-232)
- 5.5.3 Industrial
- 5.5.3.1 Historical Trend (218-223)
- 5.5.3.2 Forecast Trend (224-232)
- 5.5.4 Utility
- 5.5.4.1 Historical Trend (218-223)
- 5.5.4.2 Forecast Trend (224-232)
- 5.5.5 Others
- 5.6 Global Lithium-Ion Battery Energy Storage System Market by Region
- 5.6.1 North America
- 5.6.1.1 Historical Trend (218-223)
- 5.6.1.2 Forecast Trend (224-232)
- 5.6.2 Europe
- 5.6.2.1 Historical Trend (218-223)
- 5.6.2.2 Forecast Trend (224-232)
- 5.6.3 Asia Pacific
- 5.6.3.1 Historical Trend (218-223)
- 5.6.3.2 Forecast Trend (224-232)
- 5.6.4 Latin America
- 5.6.4.1 Historical Trend (218-223)
- 5.6.4.2 Forecast Trend (224-232)
- 5.6.5 Middle East and Africa
- 5.6.5.1 Historical Trend (218-223)
- 5.6.5.2 Forecast Trend (224-232)
- 6 North America Lithium-Ion Battery Energy Storage System Market Analysis
- 6.1 Market by Product Type
- 6.2 Market by Application
- 6.3 Market by Country
- 6.3.1 United States of America
- 6.3.1.1 Market by Product Type
- 6.3.1.2 Market by Application
- 6.3.1.3 Historical Trend (218-223)
- 6.3.1.4 Forecast Trend (224-232)
- 6.3.2 Canada
- 6.3.2.1 Market by Product Type
- 6.3.2.2 Market by Application
- 6.3.2.3 Historical Trend (218-223)
- 6.3.2.4 Forecast Trend (224-232)
- 7 Europe Lithium-Ion Battery Energy Storage System Market Analysis
- 7.1 Market by Product Type
- 7.2 Market by Application
- 7.3 Market by Country
- 7.3.1 United Kingdom
- 7.3.1.1 Market by Product Type
- 7.3.1.2 Market by Application
- 7.3.1.3 Historical Trend (218-223)
- 7.3.1.4 Forecast Trend (224-232)
- 7.3.2 Germany
- 7.3.2.1 Market by Product Type
- 7.3.2.2 Market by Application
- 7.3.2.3 Historical Trend (218-223)
- 7.3.2.4 Forecast Trend (224-232)
- 7.3.3 France
- 7.3.3.1 Market by Product Type
- 7.3.3.2 Market by Application
- 7.3.3.3 Historical Trend (218-223)
- 7.3.3.4 Forecast Trend (224-232)
- 7.3.4 Italy
- 7.3.4.1 Market by Product Type
- 7.3.4.2 Market by Application
- 7.3.4.3 Historical Trend (218-223)
- 7.3.4.4 Forecast Trend (224-232)
- 7.3.5 Others
- 8 Asia Pacific Lithium-Ion Battery Energy Storage System Market Analysis
- 8.1 Market by Product Type
- 8.2 Market by Application
- 8.3 Market by Country
- 8.3.1 China
- 8.3.1.1 Market by Product Type
- 8.3.1.2 Market by Application
- 8.3.1.3 Historical Trend (218-223)
- 8.3.1.4 Forecast Trend (224-232)
- 8.3.2 Japan
- 8.3.2.1 Market by Product Type
- 8.3.2.2 Market by Application
- 8.3.2.3 Historical Trend (218-223)
- 8.3.2.4 Forecast Trend (224-232)
- 8.3.3 India
- 8.3.3.1 Market by Product Type
- 8.3.3.2 Market by Application
- 8.3.3.3 Historical Trend (218-223)
- 8.3.3.4 Forecast Trend (224-232)
- 8.3.4 ASEAN
- 8.3.4.1 Market by Product Type
- 8.3.4.2 Market by Application
- 8.3.4.3 Historical Trend (218-223)
- 8.3.4.4 Forecast Trend (224-232)
- 8.3.5 Australia
- 8.3.5.1 Market by Product Type
- 8.3.5.2 Market by Application
- 8.3.5.3 Historical Trend (218-223)
- 8.3.5.4 Forecast Trend (224-232)
- 8.3.6 Others
- 9 Latin America Lithium-Ion Battery Energy Storage System Market Analysis
- 9.1 Market by Product Type
- 9.2 Market by Application
- 9.3 Market by Country
- 9.3.1 Brazil
- 9.3.1.1 Market by Product Type
- 9.3.1.2 Market by Application
- 9.3.1.3 Historical Trend (218-223)
- 9.3.1.4 Forecast Trend (224-232)
- 9.3.2 Argentina
- 9.3.2.1 Market by Product Type
- 9.3.2.2 Market by Application
- 9.3.2.3 Historical Trend (218-223)
- 9.3.2.4 Forecast Trend (224-232)
- 9.3.3 Mexico
- 9.3.3.1 Market by Product Type
- 9.3.3.2 Market by Application
- 9.3.3.3 Historical Trend (218-223)
- 9.3.3.4 Forecast Trend (224-232)
- 9.3.4 Others
- 1 Middle East and Africa Lithium-Ion Battery Energy Storage System Market Analysis
- 1.1 Market by Product Type
- 1.2 Market by Application
- 1.3 Market by Country
- 1.3.1 Saudi Arabia
- 1.3.1.1 Market by Product Type
- 1.3.1.2 Market by Application
- 1.3.1.3 Historical Trend (218-2023)
- 1.3.1.4 Forecast Trend (224-2032)
- 1.3.2 United Arab Emirates
- 1.3.2.1 Market by Product Type
- 1.3.2.2 Market by Application
- 1.3.2.3 Historical Trend (218-2023)
- 1.3.2.4 Forecast Trend (224-2032)
- 1.3.3 Nigeria
- 1.3.3.1 Market by Product Type
- 1.3.3.2 Market by Application
- 1.3.3.3 Historical Trend (218-2023)
- 1.3.3.4 Forecast Trend (224-2032)
- 1.3.4 South Africa
- 1.3.4.1 Market by Product Type
- 1.3.4.2 Market by Application
- 1.3.4.3 Historical Trend (218-2023)
- 1.3.4.4 Forecast Trend (224-2032)
- 1.3.5 Others
- 11 Market Dynamics
- 11.1 SWOT Analysis
- 11.1.1 Strengths
- 11.1.2 Weaknesses
- 11.1.3 Opportunities
- 11.1.4 Threats
- 11.2 Porter’s Five Forces Analysis
- 11.2.1 Supplier’s Power
- 11.2.2 Buyer’s Power
- 11.2.3 Threat of New Entrants
- 11.2.4 Degree of Rivalry
- 11.2.5 Threat of Substitutes
- 11.3 Key Indicators for Demand
- 11.4 Key Indicators for Price
- 12 Competitive Landscape
- 12.1 Market Structure
- 12.2 Company Profiles
- 12.2.1 Tesla Inc.
- 12.2.1.1 Company Overview
- 12.2.1.2 Product Portfolio
- 12.2.1.3 Demographic Reach and Achievements
- 12.2.1.4 Certifications
- 12.2.2 LG Chem.
- 12.2.2.1 Company Overview
- 12.2.2.2 Product Portfolio
- 12.2.2.3 Demographic Reach and Achievements
- 12.2.2.4 Certifications
- 12.2.3 Samsung SDI Co. Ltd.
- 12.2.3.1 Company Overview
- 12.2.3.2 Product Portfolio
- 12.2.3.3 Demographic Reach and Achievements
- 12.2.3.4 Certifications
- 12.2.4 BYD Co. Ltd.
- 12.2.4.1 Company Overview
- 12.2.4.2 Product Portfolio
- 12.2.4.3 Demographic Reach and Achievements
- 12.2.4.4 Certifications
- 12.2.5 Siemens AG
- 12.2.5.1 Company Overview
- 12.2.5.2 Product Portfolio
- 12.2.5.3 Demographic Reach and Achievements
- 12.2.5.4 Certifications
- 12.2.6 Panasonic Corp.
- 12.2.6.1 Company Overview
- 12.2.6.2 Product Portfolio
- 12.2.6.3 Demographic Reach and Achievements
- 12.2.6.4 Certifications
- 12.2.7 Others
- 13 Key Trends and Developments in the Market
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