Lithium-ion batteries have become one of the leading battery types across the world as they can be used in portable electronics, automotive and energy storage system.
Major battery manufacturers and new battery producers are investing significantly to secure future energy storage system, including important features such as safety and reliability.
The demand for lithium-ion batteries is growing worldwide, which result in leaving behind other battery technologies such as lead-acid batteries and nickel-metal hydride (NiMH).
Which factors influencing demand for global lithium-ion batteries?
MetalGuru
The global lithium-ion battery market is projected to grow over US$ 100 billion by 2025, compared to the market size of US$ 33 billion in 2018.
The rise in global demand for lithium-ion batteries is due to the increasing demand for electric vehicles (EVs) around the world. In addition to the rise in demand for EVs, the market for Li-ion batteries is also expected to increase considerably due to the rising use of portable electronics such as smartphones, tablets/ PCs, digital cameras and power tools. It is considered an ideal solution for consumer products due to their various advantages, i.e. smaller size and lighter weight.
The rising electric vehicles sales, the increasing demand for smart devices and the rapid technological developments are some of the key factors driving the global market growth of lithium-ion batteries. The Internet of Things (IoT) aims to connect virtually all the electrical devices to the internet. Most of the devices would be powered by lithium-ion batteries and can also nudge the market growth.
In recent years, the lithium-ion batteries have grown in popularity due to their advantages over more traditional types of batteries. Lithium-ion batteries can also carry power load better than other batteries and can accommodate hundreds of cycles of charging and discharging. Therefore, they are also an ideal source of energy storage in the renewable sector.
The usage of solar electric systems is also on the rise with governments incentives and subsidies which underpinned demand for solar photovoltaic rooftop systems. It is thus boosting demand for lithium-ion batteries in the solar energy market.
Furthermore, another development in the lithium-ion battery market is the falling costs. Manufacturers are also constantly improving the design and construction of customised storage system to improve battery-based power storage system.