Electric Vehicle Battery Pack Market By Product Type (Lithium-Ion Battery, NI-MH Battery) By application (PHEVs, BEVs) and By Region - Global Forecast To 2026

The global electric vehicle battery pack market was valued at US$ 61,720.2 million in 2017, and is expected to register a CAGR of over 13%. The report offers in-depth insights, revenue details, and other vital information regarding the global electric vehicle battery pack market and the various trends, drivers, restraints, opportunities, and threats in the target market till 2026. The report also offers insightful and detailed information regarding the various key players operating in the global electric vehicle battery pack market, and their financials, apart from strategies, acquisitions & mergers, and market footprint. The global electric vehicle battery pack market is segmented on the basis of type, application, and region.

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Electric vehicle battery pack is used in electric vehicles to generate and provide energy in the form of electric current to power the motor and run the vehicle. There are various types of battery pack used in electric vehicles such as lithium-ion battery, Ni-MH battery and lead-acid, nickel-cadmium (NiCd), zinc–air and molten-salt batteries.

Global Electric Vehicle Battery Pack Market Dynamics:

Limited natural assets source such as oil and gas and increasing level of environmental pollution across the globe are major factors driving growth of the global electric vehicle battery pack market. In addition, increasing government support for use of electric vehicle and technological developments and advancements in features of the electric vehicles are supporting growth of the global electric vehicle battery pack market.

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• Market forecasts
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• Latest trends & dynamics

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However, issues related with battery power and efficiency are primary factors expected to hamper growth of the global electric vehicle battery pack market. In addition, lack of infrastructure such as charging stations and service stations, is another factor expected to hamper growth of the global electric vehicle battery pack market up to a certain extent.

Market penetration in emerging economies and development of battery packs with longer lifespan and high efficiency is expected to create high potential revenue opportunities for existing as well as new entrants in the target market.

Market analysis by type:

On the basis of type segmentation, lithium ion battery segment is expected to contribute major revenue share and expected to maintain its dominance over the forecast period. Also, lithium ion battery segment expected to witness highest CAGR of over 16%, owing to factors such as ability to handle hundreds of charge/discharge cycles, ability to output high energy and power per unit of battery mass, and also due to being lighter and smaller than other rechargeable batteries.

Market analysis by application:

Among the application segments, plug-in hybrid electric vehicle (PHEVs) segment contributed highest market share in terms of value and is expected to register highest CAGR of over 17% owing to its capability to function on two or more sources of power, which allows electric vehicle to run on alternative fuel engine such as petrol or diesel engine.

Recent development in PHEVs such as development of plug in hybrids with capacity of over 100 miles per gallon and better batter life, and ability of PHEVs to reduce fuel consumption by up to 45%, relative to that of a comparable combustion engine vehicle are other factors supporting growth of PHEVs segment.

Market analysis by region:

Asia Pacific market is expected to dominate the global electric vehicle battery pack market, and it accounts for largest market revenue over US$ 28,000 million in 2017 as compared to that of markets in other regions. Dominance by Asia Pacific market is expected to continue over the forecast period with comparatively moderate CAGR than that of other regions, owing to higher demand among consumers and high market penetration activity in countries in the region. Other factors include, government initiative and supportive policies such as road–tax exemption, and economic subsidies in countries in this region.

Furthermore, increasing research and development for product advancement and availability of labors, technology and required infrastructure in the leading countries such as China, Japan, and South Korea are other factors fueling growth to the Asia Pacific electric vehicle battery pack market and this trend is expected to continue in the forecast period.

In 2017, Europe accounted for the second largest revenue share contribution to the global electric vehicle battery pack market, owing to increasing awareness about the environmental pollution and limited availability of natural resources. Furthermore, increasing government support for electric vehicles penetration is expected to boost growth of the Europe electric vehicle battery pack market.

Furthermore, rising demand for electric vehicles from prominent countries in Europe is a major factor contributing towards growth of the Europe electric vehicle battery pack market. According to a study published by the European Federation for Transport and Environment on 13 October 2016, over 500,000 electric vehicles were estimated to be running on roads in countries in Europe by the end of that year (145,000 electric vehicles were sold in Europe in 2015 alone).

Moreover, new product launches in electric vehicles and increasing demand for technologically advanced electric vehicles are another factors anticipated to aid the growth of the electric vehicle battery pack market in developed countries over the forecast period. For example, Tesla Inc. has received over 400,000 preorders for its Model 3 electric vehicle as of August 2017.

Market players are focusing on development and expansion of manufacturing facilities in various region in order to cater the demand for electric vehicle battery pack. For instance, gigafactory set-up by Tesla Inc. in Nevada, which is a joint venture with Panasonic, opened in January 2017, and is entirely dedicated to producing lithium-ion batteries for electric vehicles manufactured by Tesla. The gigafactory is expected to be the largest producer of electric vehicle battery packs in the US, which is another major factor expected to fuel growth of the electric vehicle battery pack market over the forecast period. Also, in August 2017, LG Chem – a prominent electric vehicle battery pack manufacturer – expanded its manufacturing facility in Michigan in terms of size and production capacity.

Global Electric Vehicle Battery Pack Market Segmentation:

Global electric vehicle battery pack segmentation, by type:

• Lithium-Ion Battery
• NI-MH Battery
• Other

Global electric vehicle battery pack segmentation, by application:

• PHEVs
• BEVs

Global electric vehicle battery pack segmentation, by region:

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