Out of battery market, lead storage batteries account for a larger market share owing to large consumption in traditional automobiles
High battery chemical consumption in lead acid batteries is anticipated to continue dominating the market, which is mainly attributed to its high adoption in the automotive industry.
Moreover, consumption of lithium-ion batteries grew at an impressive rate owing to the high inclination towards electric vehicles. Lithium-ion batteries have also accounted for a prominent market share due to extensive utilization in electric vehicles.
Besides this, global light vehicle battery demand has doubled and China’s automobile production has remained the prime electric car battery chemical demand generator. Due to a slowdown in the demand for conventional automobiles by a great extent, electric vehicle sales have experienced a boost.
Furthermore, low cost of internet data plants, demand for batteries is expected to rise. Moreover, as wealth rises, so will the use of consumer electronics, in turn, fuelling the market forward during the forecast period.
Rising EV sales and high consumption of consumer electronics pushing the growth of the market
Various factors such as rising electric vehicle market, greater adoption of consumer electronics such as tablets, laptops, gaming consoles are the key factors currently driving the sales of battery materials. Surge in demand for battery ingredients such as nickel, cobalt, lithium has been driven by the rise in EV production across the globe. Moreover, EV sales are enhanced by favourable governmental regulations and financial incentives. To extend their running life and accommodation, electronic devices such as tablets, laptops, smartphones require higher capacity batteries.
Lead-acid battery chemicals are major demand generator for battery chemical manufacturers
Lead acid battery chemicals have remained a major demand generator during last few years, owing to their substantial usage in traditional vehicles and conventional backup providers such as inventors. In recent years, usage of lithium-ion batteries has grown at impressive rate and is expected to surpass lead acid battery sales.
Rapid usage of consumer electronics such as tablets, smartphones, laptops, integrated development between miners and battery makers are some of the key factors contributing to the worldwide sales of battery materials.
EV battery manufacturers and top battery making companies have been collaborating to create revenue generating opportunities
Key market players are AlbeMarle, Gan feng Lithium Co. Ltd., Livent Corporation, China Molybdenum Co. Ltd., SQM, Teck Resources, Tianqi Lithium, Vale S.A., Hindustan Zinc Ltd., Palm Commodities International, Korea Zinc, Sheritt International Corporation, Nyrstar NV, Venator Materials PLC, Mody Chemi Pharma Ltd., and Mitsubishi Chemical Holdings. Various top key battery manufacturers and top battery making companies have been making many investments in the battery chemicals market, and these are profoundly looking forward to create various future revenue generating opportunities in target markets.
- In August 2020-21, China Molybdenum Company had invested US$ 2.5 Bn to boost copper and cobalt production at its Tenke Fungurume mine (one of the largest in DRC)
Other factors such as cost reduction and increased performance are gaining traction, both of which involve R&D. Moreover, lithium-ion batteries have also been used as a potential choice for various developing applications.