Battery Raw Materials Market Analysis Report By Li-Ion Battery Material (Cathode, Anode, Separator), By Lead Acid Battery Material, By Application, By Region, And Segment Forecasts, 2018 - 2025

Industry Insights

The battery raw materials market size was estimated at USD 39.28 billion in 2017. Extensive usage of batteries in electric vehicles, coupled with high demand for consumer electronic products, is anticipated to drive growth. Industry growth is also accredited to supportive government policies and low barriers to the adoption of electric vehicles.

The industry is likely to benefit from increased usage of lightweight and rechargeable batteries in consumer electronics products such as laptops and smartphones. In addition, an expanding middle-income population group with an increased preference for mobile devices is likely to drive the market.

High investments in research and development for mining, processing, and manufacturing raw materials used in the manufacturing of batteries is expected to have a positive impact on market growth. Key industry players are engaged in patenting technologies on components that offer higher performance and efficiency in order to increase annual revenues.

Factors such as growing awareness about sustainable sourcing of battery materials, recycling, and efficient waste disposal are expected to drive demand. Producers are adopting various regulations and certifications such as U.S. DOT, PHMSA, and EU-Batteries Directive to ensure product quality and lure customers.

The industry is characterized by the usage of a number of technological processes such as solvent extraction method, Nano-filtration system, and rotary kiln electric furnace method. These technologies are used for improving the performance and efficiency of battery materials as per requirement.

Major challenges faced by the battery raw materials market include price fluctuation and upward penetration of lithium-ion products. The profitability of manufacturers is affected by unstable prices.

Material Insights

NCM is considered to be the most precious combination of metals with a continuous discharge of 20 A at 2000mWh. The material is observed to exhibit superior properties such as high specific energy and specific power. Generally, lithium-ion (Li-ion) batteries (LIB) with cathode materials such as NMC are used in power applications as well as in electric vehicles. In addition, its low self-heating rate makes it extremely useful in electric vehicles.

Valve-regulated batteries use gel-based electrolytes mixed with sulfuric acid, which aids in lower maintenance of batteries when used in security systems and emergency lighting systems. In addition, the growth of electrical grid networks as well as telecom towers across the globe is estimated to increase the demand for innovative gel-based lead-acid batteries used in electrical applications.

Key factors that augment the market for other batteries include low production cost, abundant raw material availability, and unique technology. Industry players are capitalizing on the limitations of LIB being expensive by offering products including zinc hybrid, sodium-sulfur, molten salt, and metal-air.

Vanadium flow technology is a key innovation in flow batteries and is used for energy storage applications in households. Demand for electrodes of lead-acid batteries is expected to reach USD 42.06 billion by 2025. In addition, these electrodes are made with nanomaterials, which offered doubled power density over traditional batteries.

Application Insights

While the maturity of the consumer electronics industry has resulted in a substantial slowdown, the industry is expected to find scope for growth with the inclusion of newer and smarter electronic devices. An increasing number of smart device users across the globe is also poised to offer growth opportunities.

Automotive forms the fastest-growing application segment on account of the emergence of electric vehicles (EVs). In addition, publicly accessible charging infrastructure offering high power alternating and direct current is estimated to drive segment growth.

In the energy grid storage segment, the market for LIB is characterized by alternative technologies to lead-acid, zinc-based, and flow batteries, offering low cost and strong technical capability. Increasing usage of LIB in automotive applications is expected to reduce its usage in energy storage applications over the forecast period.

With increased weightage on using renewable sources of energy, there has been an upsurge in the number of installations of rooftop solar panels around the globe. This is expected to increase product demand in the coming years.

Regional Insights

The resource-rich North American market is highly favorable for manufacturers to establish their base. The minerals and metal reserves in the U.S. amount to USD 6.2 trillion, which is used in consumer electronics, automotive, solar components, and other applications.

The European market is expected to witness high demand for lithium-ion storage batteries for luxury cars. The industry in the region is characterized by intense competition between major market players.

A major portion of battery raw materials is mined from the South American region, while a large number of processors and assemblers are located in Asia Pacific and North America. Processed metals in China are exported to North America for use in automotive applications.

Battery Raw Materials Market Share Insights

The vendor landscape is characterized by a large number of global as well as domestic players offering advanced products. Major players in the industry include Targray Technology International Inc.; Entek International LLC; BASF Catalysts LLC; 3M; Nichia Corporation; Valence Technology, Inc.; Celgard LLC; Umicore S.A.; and ITOCHU Corporation.

Companies in the industry position themselves as miners and processors of raw materials, used in grid storage, electric vehicles, and consumer electronics, among others. Companies in the domain resort to using green extraction technologies in order to expand their consumer base and protect the environment.

The market is characterized by a large number of products generating higher revenues, with the automotive industry accounting for the largest share. Companies compete on the basis of innovative techniques and patents acquired.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis on the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global battery raw materials market report on the basis of li-ion battery material, lead acid battery material, other batteries material, application, and region:

• Li-Ion Battery Material Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Anode

    • Natural Graphite

    • Artificial Graphite

    • Amorphous Carbon

    • LTO

    • Si Compounds

  • Cathode

    • LCO

    • NMC

    • LFP

    • LMO

    • NCA

  • Separator 

  • Others

    • Binder

    • Electrolyte

    • Packaging Material

• Li-Ion Battery Material Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Consumer Electronics

  • Automotive

  • Grid Storage

  • Others

• Lead Acid Battery Material Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Electrodes

  • Electrolyte

  • Separator

  • Packaging

• Lead Acid Battery Material Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Automotive

  • UPS

  • Telecom

  • Others

• Other Batteries Material Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Electrodes

  • Electrolyte

  • Separator

  • Packaging

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • North America

    • The U.S.

  • Europe

    • Germany

    • The U.K.

  • Asia Pacific

    • China

    • South Korea

    • Japan

  • Rest of the World

    • Brazil