Electrochemical cells, also known as batteries, are electrochemical devices that convert stored chemical energy into electrical energy. They consist of positive and negative electrodes, an electrolyte, and two current collectors that provide external electrical connections through terminals to the outside. Lithium-ion batteries are widely used in consumer electronics such as smartphones, laptops, power tools, and electric vehicles (EVs) due to their high energy density and slow loss of charge when not in use. EVs rely on electrochemical cell batteries as they are a more viable alternative to gasoline vehicles in reducing emissions.
The global Electrochemical Cell Market is estimated to be valued at US$ 23.73 Bn in 2023 and is expected to exhibit a CAGR of 16% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increased adoption of renewable energy technologies such as solar panels and wind turbines has been a major trend spurring growth in the electrochemical cell market. Batteries play an integral role in energy storage, allowing excess electricity generated from renewable sources to be stored and used at a later time. They help address the intermittent nature of many renewable resources and promote a sustainable energy future. Advances in battery technologies have improved the efficiency and lifetime of storage solutions. Governments around the world are also providing various incentives and policies to encourage businesses and homeowners to adopt renewable technologies paired with batteries. This has significantly boosted demand for electrochemical cells to support large-scale renewable integration into national power grids.
The global electrochemical cell market is dominated by the lithium-ion battery segment. Lithium-ion batteries have high energy density and low self-discharge rates when compared to lead-acid and nickel-cadmium batteries. Hence, they are widely used in consumer electronics and electric vehicles. Within lithium-ion batteries, lithium cobalt oxide batteries capture the largest share due to their high power density and ability to provide high currents for shorter periods. However, with growing demand for safety and longer life, lithium iron phosphate batteries are emerging as a safe and longer lasting alternative in the market.
The global Electrochemical Cell Market is expected to witness high growth over the forecast period. The market size is projected to reach US$ 23.73 Billion in 2024. Rapid adoption of consumer electronics and electric vehicles will drive the demand for electrochemical cells. The global Electrochemical Cell Market is estimated to be valued at US$ 23.73 Bn in 2023 and is expected to exhibit a CAGR of 16% over the forecast period 2023 to 2030.
Regional analysis: Asia Pacific dominates the global electrochemical cell market and is expected to continue its lead position during the forecast period. Growing electronics and automotive industries in China and rapid infrastructure development are driving the demand in the region. Government initiatives to promote the adoption of electric vehicles in China, Japan, and South Korea are helping to grow the lithium-ion battery market in Asia Pacific.
Key players: Key players operating in the electrochemical cell market include Panasonic Corporation, Samsung SDI Co., Ltd., LG Chem Ltd., Tesla, Inc., BYD Co. Ltd., Johnson Controls International plc, Saft Groupe S.A., GS Yuasa Corporation, Duracell Inc., Enersys, A123 Systems LLC, Sony Corporation, Bloom Energy Corporation, Toshiba Corporation, and Siemens AG. Panasonic Corporation and Samsung SDI Co. lead the market owing to their strong product portfolio and global presence. BYD Co. Ltd. is a dominant player in China and is rapidly expanding in the global electric vehicle market.
- Source: Coherent Market Insights, Public sources, Desk research
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