East Europe Battery Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

East Europe Battery Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The East Europe battery market is expected to rise at a CAGR of more than 2% during the forecast period of 2020-2025. Factors such as increasing the adoption of electronic devices that use batteries, growing industry of electric vehicles, and electronic devices such as mobile phones in the region will likely drive the East Europe battery market. However, the variation in the prices of battery raw materials makes it harder to sell at a low cost, which is expected to restrain the market during the forecast period.

• The lithium-ion battery segment, due to its reducing cost, lightweight, and easy to dispose of without harming the environment, is preferred over other batteries by the most manufacturers and the consumers and is likely going to be the fastest-growing segment in the East Europe battery market.
• The concept of developing a nuclear battery and using it to supply power to a device for more than 50 to 100 years without replacing it by the country such as Russia, is expected to create lots of opportunities for the East Europe battery market in the future.
• Russia, due to its increasing use of batteries in the renewable and automotive industry, is expectedly going to be the largest battery market inthe East Europe region during the forecast period.

• Lithium-ion batteries are a rechargeable type of cell that is usually used in electronic devices and energy vehicles. These batteries are also being used for the storage of energy from renewable energy sources such as solar and wind.
• The energy densities of these batteries are quite high and have a round trip efficiency of 85% to 95%, which means the ratio of energy output/released to energy input/stored. The lithium-ion battery is a low maintenance battery, and the cells of the battery cause little harm to the environment when disposed of.
• The Russian industry of electric cars is steadily developing, and this is because of the ever-growing demand for electric vehicles among the local population and the current state efforts to popularize their use in the country. As part of these plans, the Russian government has planned to allocate funding for the conduction of R&D activities in electric cars and the establishment of their production within Russia's territory.
• In 2020, Czech energy giant ČEZ Group considered looking into an opportunity of constructing a facility for the production of lithium-ion batteries, which are mostly used to power electric cars in the northern region of North Bohemia. ČEZ Group, which is about 70% state-owned, is expected to build the plant with the help of other investors from the automotive industry. The company intends to use lithium mined in the country's Ore Mountains near the town of Cínovec.
• In 2019, the European Bank of Reconstruction and Development (EBRD) approved a loan of EUR 250 million to LG Chem Wroclaw Energy sp.z, a wholly-owned subsidiary of LG Chem Ltd of South Korea, for the construction of a Lithium-Ion battery factory for Electric Vehicles in Wroclaw, Poland.
• Hence, owing to the above points, the lithium-ion segment is likely going to dominate the East Europe battery market during the forecast period.

• Russia is the largest country in Eastern Europe, and it has been attracting investments from other countries and running various R&D programs in battery sectors to develop the batteries, which can turn out to be more efficient than the existing ones.

• Moreover, the government has targeted increasing the installed renewable energy capacity and has planned to generate 5% of the total energy consumption from renewable energy by 2030. This is likely going to drive the battery market as batteries can be used to store extra power generated from renewable. In 2019, Russia’s total installed renewable energy capacity was 55190 megawatts (MW), which was higher than that in 2018 at 54611 megawatts (MW).

• Russian researchers in 2018 developed a new nuclear battery design based on nickel-63, which has higher specific energy than regular, commercially-available batteries.The researchers suggested using the nuclear battery in the Arctic region of the country for its trial run, where the population is low and in case of an accident is likely to cause less harm to the human.

• As of 2019, Researchers of Peter the Great St.Petersburg Polytechnic University were developing new materials for solid-state thin-film Li-ion batteries for micro and nano-device. The first stage of the project was successful at the laboratory of the Institute of Metallurgy, Mechanical Engineering, and Transport. The Russian Science Foundation supported the project.

• In 2019, RUSNANO and KAMAZ PJSC signed a strategic partnership agreement connected with the planned development and production of batteries for electric vehicles and stationary appliances using rechargeable lithium-ion cells. The document also establishes a basis for the implementation of joint projects to build up the manufacture of electric cars in Russia and develop power storage systems based on rechargeable lithium-ion cells. This step takes the partnership between the two companies to a new, global level.

• Hence, owing to the above points, Russia is expected to dominate the East Europe battery market during the forecast period.

The East Europe battery market is moderately fragmented. Some of the key players in this market include VARTA Microbattery GmbH, AKTEX Inc, Duracell Inc, RUSNANO Group, and EAS Batteries GmbH.

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