Powering the Future: Exploring the Hybrid and EV Battery Market
The hybrid and EV battery market will advance at a CAGR of 28%, to reach USD 436,112.7 million by 2030 as per a report by P&S Intelligence. This is credited to the technological advancement in lithium-ion batteries used in electric vehicles, and the rising popularity and deployment of electric and hybrid vehicles.
The Key vehicle manufacturers are entering into the industry due to the rising demand for electric vehicles. Toyota, Tata Motors, Mercedes-Benz, and Hyundai are developing electric vehicle models to strengthen their positions in the market.
The electric vehicle domain is thriving, and numerous companies are developing business models to meet customer demands, for example, battery swapping, this allows users to change the exhausted batteries, and thus enhancing customer satisfaction and saving the battery recharging time.
In recent years, APAC is the largest revenue contributor in the hybrid and EV battery market. This is credited to the rising adoption of battery-powered vehicles. The sales of electric vehicles are expected to grow in the years to come, due to the increasing concerns regarding environmental pollution, decreasing prices of batteries, and increasing need for fuel-alternative vehicles.
APAC offers lesser battery prices than in other regions, due to the existence of numerous battery manufacturers in South Korea, Japan, and China.
The North American industry is projected to grow because of the rising support from the government in the research and development of lithium-ion batteries, numerous tax benefits offered by governments, the affordability of electric passenger vehicles, and a greater emphasis on electric vehicles and hybrid vehicles.
Moreover, the rapid depletion of fossil fuels and the rising demand for energy security will create numerous opportunities for the regional industry for hybrid and electric batteries in the future.
Europe held a significant share in the industry. As a result of being one of the main regions for the production and sales of electric vehicles. Governments of several countries in Europe have heavily invested and supported in research and development in the electric vehicle industry.
Furthermore, the growing demand for lithium-ion batteries, significant investment, and the increasing number of EV users are boosting the growth of the industry in this region.
In recent years, lithium-ion batteries held the largest share, of over 90%. These batteries offer advantages such as a long-life, lower prices, excellent energy efficiency, and zero memory effects, thus these batteries are perfect for electric and hybrid vehicles.