Asia-pacific Battery Market Forecast 2024-2032

Asia-pacific Battery Market Forecast 2024-2032

The Asia-Pacific battery market is evaluated to develop with a CAGR of 17.36% over the forecasted years. The base year regarded for the market studied is 2023, and the forecasting period is from 2024 to 2032.

MARKET INSIGHTS

The market growth in the Asia-Pacific region is driven by the rising adoption of electric vehicles, advancements in renewable energy, and the introduction of high-quality energy and power storage technologies. However, the market faces challenges due to ineffective battery recycling and reuse practices, as well as inadequate charging infrastructure.

REGIONAL INSIGHTS

The Asia-Pacific battery market growth assessment covers the study of Australia & New Zealand, Thailand, Malaysia, South Korea, India, Japan, China, and Rest of Asia-Pacific. The battery market is being significantly bolstered by the rapidly developing renewable energy sector, the expanding automotive industry, and the increasing sales of consumer electronics, particularly in emerging nations such as China. As one of the largest automotive sectors worldwide, the country’s passenger cars market unit sales are projected to reach approximately 22.39 million vehicles by the year 2028. This impressive manufacturing volume is set to position China as the leader in global passenger car production. Besides, one in every four passenger vehicles manufactured globally originates from China.

Furthermore, in April 2024, Banpu NEXT, a prominent Smart Energy Solutions provider in the Asia-Pacific, and Durapower, a global leader in high-performance lithium battery storage solutions, announced the successful delivery of the first battery pack to Thailand’s largest bus operator, Cherdchai Motors Sales. This marks a significant advancement in promoting the e-bus market and heavy-duty vehicle industry across Thailand and the broader Asia-Pacific region.

Japan has also made substantial strides in battery technologies and battery electric vehicles. Aligning with this, in 2022, Toyota launched the bZ4X sport utility vehicle (SUV), its first mass-produced battery-electric car. That same year, Nissan introduced its second battery-electric vehicle model, the Ariya SUV. Ongoing research and development, along with advancements in battery chemistries, are expected to create significant growth opportunities, particularly in terms of battery adoption and application.

On the other hand, the growth of India’s battery market is being bolstered by several key drivers, including the increased adoption of electric vehicles and the overall expansion of the automotive industry. The Indian government is actively promoting the use of electric vehicles, recognizing their crucial role in achieving the UN Sustainable Development Goals. As the demand for clean energy sources rises, the adoption of electric vehicles is expected to increase significantly. The government aims to achieve a 30% electric vehicle adoption rate by 2030, focusing primarily on the electrification of two-wheelers, three-wheelers, and commercial vehicles. This shift will necessitate advanced batteries, thereby stimulating market growth in the Asia-Pacific.

SEGMENTATION ANALYSIS

The Asia-Pacific battery market is segmented into type, technology, and application. The application category is further classified into automotive batteries, portable batteries, SLI batteries, industrial batteries, power tools batteries, and other applications. Automotive batteries are utilized for powering the electrical systems of vehicles when the engine is turned off. It is also used to start the engine, delivering current for the ignition system as well as the electric starter motor.

On the other hand, the industrial applications of batteries entail telecommunication, road signs, forklifts with extra material handling equipment, energy storage, security, emergency lighting, uninterrupted power supplies, medical, and control and switchgear.

COMPETITIVE INSIGHTS

Some of the prominent companies operating in the Asia-Pacific battery market are GS Yuasa International Ltd, LG Chem Ltd, Panasonic Corporation, etc.

LG Chem Ltd, headquartered in Seoul, South Korea, is one of the largest Korean chemical companies. The company’s three major business areas include basic materials and chemicals, energy solutions, and information technology and electronics materials.

Its specialties include NCC, PO, PVC & plasticizer, ABS, advanced materials, petrochemicals, acrylates & SAP, semiconductor materials, display materials, rubbers & specialty polymers, automotive materials, life sciences, pharmaceuticals, vaccines, diagnostics, battery materials, water treatment materials, aesthetics, and fine chemicals.