Secondary Battery Market Research Report By Application (Electric Vehicles, Portable Electronics, Energy Storage Systems, Power Tools, Uninterruptible Power Supplies), By Chemistry (Lithium-ion Batteries, Lead-Acid Batteries, Nickel-Cadmium Batteries, Nickel-Metal Hydride Batteries, Zinc-Air Batteries), By Form Factor (Cylindrical Batteries, Prismatic Batteries, Pouch Batteries, Button Batteries), By Voltage (Low Voltage (3.7V and below), Medium Voltage (3.8-4.2V), High Voltage (4.3V and above)), By Capacity (Less than 1 kWh, 1-5 kWh, 5-10

Global Secondary Battery Market Overview

As per MRFR analysis, the Secondary Battery Market Size was estimated at 43.49 (USD Billion) in 2022. The Secondary Battery Market Industry is expected to grow from 49.23 (USD Billion) in 2023 to 150.01 (USD Billion) by 2032. The Secondary Battery Market CAGR (growth rate) is expected to be around 13.18% during the forecast period (2024 - 2032).

Key Secondary Battery Market Trends Highlighted

The emergence of electric vehicles and portable electronics is driving the demand for secondary batteries, with the market expected to grow significantly in the coming years. The increasing adoption of renewable energy sources, such as solar and wind power, is also contributing to the growth of the market, as these systems require energy storage solutions. Additionally, government regulations supporting the adoption of electric vehicles and the development of renewable energy infrastructure are further fueling market expansion. Trends in recent times include the development of new battery technologies with higher energy density, longer lifespan, and faster charging times. These advances are expected to further enhance the performance and usability of secondary batteries, leading to increased adoption across various applications.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Secondary Battery Market Drivers

Rising Demand for Electric Vehicles

The rapid penetration of electric vehicles is the major driver of Secondary Battery Market growth. The growth of the adoption of electric vehicles leads to a rapid increase in the demand for secondary batteries since secondary batteries are used to power EVs. The fact that EVs are a major solution to fuel-powered vehicles and are environmentally friendly is still associated with the increase in the growth of the secondary battery market. The globally increasing demand for EVs in regions such as Europe, China, and North America is likely to drive the growth of the secondary battery market further through the years to come.

Advancements in Battery Technology

The secondary battery market is one of the most technologically driven markets. Numerous research and developments have been carried out to produce better performance, higher efficiency, and longer battery life spans. People have successfully developed new electrode materials, which in turn increased the energy density, power output, and cycle life of the battery. Besides that, they also produced new electrolytes, which raise the Voltage and power levels and allow for the wide operation of the cell. They have even invented newer cell designs that have enhanced the energy density and power output. These advanced batteries allow for more convenient carriers and a more extensive range of applications. Because of this, we can see that the advancements are heavily impacting this market, influencing the development and contributing to the growth of the Secondary Battery Market Industry.

Government Initiatives and Regulations

Government support and regulatory strategies stimulate the development of the secondary battery market. Governments are imposing restrictions and promoting incentives worldwide aiming to reduce the reliance on traditional internal combustion-driven vehicles and fossil fuels and encourage the use of electric batteries and advanced grid storage systems. Consequently, governments implement tax credits, subsidies, and major investments in sufficient infrastructures and charging points for the electric vehicle industry. Such policy makes Electric vehicles more accessible and affordable to the general public. Additionally, governments impose regulations stimulating efficient carbon reduction emission strategies and improving waste disposal and recycling technologies, encouraging the use of secondary batteries in the automotive and other industries. The presence of government support and regulatory frameworks encourage the development of the Secondary Battery Market Industry.

Secondary Battery Market Segment Insights

Secondary Battery Market Application Insights

The Secondary Battery Market is divided by applications, such as Electric Vehicles, Portable Electronics, Energy Storage Systems, Power Tools, and Uninterruptible Power Supplies. Electric vehicles are expected to occupy an over 35% share in the market in 2023 since environmental concerns, as well as government incentives, result in the growing adoption of such cars. Portable Electronics is projected to be the second largest application segment, being an over 25% share of the Secondary Battery Market revenue in two years as the general demand is increasing for smartphones, laptops, efficient UPS, and PS; such applications as Energy Storage Systems is going to be the most prominent one with a CAGR rate of over 15% since the demand for performing all-hours access to energy is increasing and the need for this energy to be renewable and environmentally friendly is gaining popularity as well. As for such applications as Power Tools and UPS, they are also expected to contribute a certain amount since their need is growing along with the overall pace of construction, and cheat backup sources are always in need.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Secondary Battery Market Chemistry Insights

The Secondary Battery Market is segmented as chemistry sodium-ion batteries, lithium-ion batteries, lead-acid batteries, nickel-cadmium batteries, nickel-metal hydride batteries, and zinc-hir batteries. For the next several years, and particularly in the next 5 years, lithium-ion batteries are expected to establish dominance. The reason for this is that it is highly dense in energy, its life span is long, and it has a low rate of self-discharge. It is expected that the demand for cheap lead-acid batteries will continue to be high in favor of applications that require costly batteries. Similarly, the demand for nickel-cadmium batteries is expected to shrink due to the fact that they are quite hazardous to human health and the environment. The demand for nickel-metal hydride batteries is highly expected to increase because of the high density of energy and long-life span. Also, since it is cheaper, the zinc-air battery is expected to be highly demanded in portable applications.

Secondary Battery Market Form Factor Insights

The Secondary Battery Market is segmented by Form Factor into Cylindrical Batteries, Prismatic Batteries, Pouch Batteries, and Button Batteries. Cylindrical Batteries held the largest market share in 2023 and are expected to continue to dominate the market throughout the forecast period. This is due to their high energy density, long cycle life, and low cost. Prismatic Batteries are expected to witness the fastest growth rate during the forecast period due to their thin and flexible design, which makes them ideal for use in portable devices. Pouch Batteries are also expected to experience strong growth due to their low cost and lightweight design. This growth is attributed to the increasing demand for secondary batteries in various applications such as electric vehicles, consumer electronics, and energy storage systems.

Secondary Battery Market Voltage Insights

The voltage segment plays a crucial role in shaping the Secondary Battery Market landscape. Low Voltage batteries (3.7V and below) dominate the market, catering to a wide range of portable electronic devices such as smartphones, laptops, and tablets. In 2023, the Low Voltage segment held a significant market share of 45% and is projected to maintain its dominance throughout the forecast period. Medium Voltage batteries (3.8-4.2V) find application in power tools, electric vehicles, and uninterruptible power supply systems. This segment is expected to witness steady growth, driven by the increasing adoption of cordless power tools and the electrification of transportation.High Voltage batteries (4.3V and above) are gaining traction in electric vehicles and grid energy storage systems. The growing demand for electric vehicles is expected to propel the growth of the High Voltage segment, which is anticipated to reach a market size of USD 12.5 billion by 2032.

Secondary Battery Market Capacity Insights

The Secondary Battery Market is segmented by capacity into various sub-sectors, including 'Less than 1 kWh', '1-5 kWh', '5-10 kWh', '10-50 kWh', and 'Over 50 kWh'. Among these sub-segments, 'Less than 1 kWh' and '1-5 kWh' categories captured a significant share of the market in 2023, owing to their extensive usage in portable electronics, such as smartphones, laptops, and tablets. The '5-10 kWh' and '10-50 kWh' sub-segments are expected to witness substantial growth in the coming years due to the increasing demand for electric vehicles and energy storage systems.The 'Over 50 kWh' sub-segment is projected to gain traction in the long term, driven by the growing adoption of large-scale energy storage projects. Overall, the Secondary Battery Market is anticipated to grow significantly over the forecast period, primarily driven by the increasing demand for energy storage solutions across various industries.

Secondary Battery Market Regional Insights

The Secondary Battery Market is segmented into North America, Europe, APAC, South America, and MEA. Among these regions, APAC is expected to hold the largest market share in 2023 and is projected to continue its dominance throughout the forecast period. The growth in this region can be attributed to the increasing demand for electric vehicles and the growing adoption of renewable energy sources. North America and Europe are also expected to witness significant growth in the Secondary Battery Market due to the presence of major automotive manufacturers and government initiatives promoting the adoption of electric vehicles. South America and MEA are expected to experience moderate growth in the Secondary Battery Market due to the increasing demand for energy storage solutions.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Secondary Battery Market Key Players And Competitive Insights

Key participants in the secondary battery market are continually developing advanced technologies to meet the growing demands of customers for efficient and eco-friendly energy storage. Currently, leading market players are investing large amounts of money in research and development to improve their batteries’ performance, lower prices, and prolong cycle life. Partnerships and collaborations are reshaping the Secondary Battery Market landscape as well. Companies are capitalizing on the synergy of their competencies to better reach the customers in the existing markets and expand to new ones. Moreover, leading market players are consolidating their positions and leveraging mergers and acquisitions to obtain new technologies and capture new markets.

Still, the Secondary Battery Market Competitive Landscape is defined by stiff competition between the incumbent participants and the entrance of new ones. On the one hand, established firms with their established brands and distributors dictate the market. On the other hand, a number of emerging players respond quickly to market needs with novel products and prices that challenge the leaders. Contemporary Amperex Technology Co. Limited is a Chinese technology corporation that engages in the research, development, manufacture, and sale of energy storage systems, lithium-ion batteries, and new energy vehicle batteries. Founded and headquartered in Ningde, Fujian, the company rapidly grew to become China’s largest and the world's third-largest maker of these batteries.

As of 2023, CATL is also the world’s largest new energy vehicle battery supplier by market share. In the first place, the company delivers high-performance, long-life batteries for electric vehicles, as well as utility and residential capacity. Princeton, NJ-based Samsung SDI Co., Ltd. is a leading worldwide producer of lithium-ion batteries for mobile devices, electric cars, and ESS. Supplementary departments of the organization are situated in China, Hungary, South Korea, and the United States, where the main department is located in Yongin-si, Gyeonggi-do. Noteworthy, Samsung SDI boasts a significant presence in the Secondary Battery Market.

Key Companies in the Secondary Battery Market Include

• CATL


• Panasonic


• Johnson Controls


• EnerSys


• SK On


• Clarios


• ATL


• Hitachi Chemical


• Samsung SDI


• Exide Technologies


• Shenzhen BAK Battery


• Enersys


• Contemporary Amperex Technology


• BYD


• LG Chem

Secondary Battery Market Industry Developments

 The Secondary Battery Market is expected to grow from USD 49.23 billion in 2023 to USD 150.01 billion by 2032, at a CAGR of 13.18%. Rising demand for electric vehicles and energy storage systems is driving the growth of the market. Key players in the market include Panasonic, LG Chem, Samsung SDI, and BYD. Recent developments in the market include the launch of new battery technologies, such as solid-state batteries and lithium-air batteries. The market is expected to be driven by the increasing adoption of electric vehicles and the growing demand for energy storage systems.

Secondary Battery Market Segmentation Insights

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  Secondary Battery Market Application Outlook

  
  
  
  
  • Electric Vehicles
  
  
  • Portable Electronics
  
  
  • Energy Storage Systems
  
  
  • Power Tools
  
  
  • Uninterruptible Power Supplies
  
  
  
  

• 
  

  Secondary Battery Market Chemistry Outlook

  
  
  
  
  • Lithium-ion Batteries
  
  
  • Lead-Acid Batteries
  
  
  • Nickel-Cadmium Batteries
  
  
  • Nickel-Metal Hydride Batteries
  
  
  • Zinc-Air Batteries
  
  
  
  

• 
  

  Secondary Battery Market Form Factor Outlook

  
  
  
  
  • Cylindrical Batteries
  
  
  • Prismatic Batteries
  
  
  • Pouch Batteries
  
  
  • Button Batteries
  
  
  
  

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  Secondary Battery Market Voltage Outlook

  
  
  
  
  • Low Voltage (3.7V and below)
  
  
  • Medium Voltage (3.8-4.2V)
  
  
  • High Voltage (4.3V and above)
  
  
  
  

• 
  

  Secondary Battery Market Capacity Outlook

  
  
  
  
  • Less than 1 kWh
  
  
  • 1-5 kWh
  
  
  • 5-10 kWh
  
  
  • 10-50 kWh
  
  
  • Over 50 kWh
  
  
  
  

• 
  

  Secondary Battery Market Regional Outlook

  
  
  
  
  • North America
  
  
  • Europe
  
  
  • South America
  
  
  • Asia Pacific
  
  
  • Middle East and Africa