Asian Manufacturers Will Lead the $8 Billion Market for Electric Vehicle Batteries

June 1, 2010

The next five years will see rapid advances in advanced battery technology, as dozens of manufacturers position themselves to meet the anticipated demands of newly electrified vehicles being launched by nearly every major global automotive company.  Despite the support of the federal government, U.S. battery companies have struggled to gain market share while the Asian market for vehicle batteries has taken off.  Asian manufacturers, which have traditionally dominated the global market for lithium ion (Li-ion) batteries in various electronics categories, will continue to lead in both Li-ion production and consumption as the global market for electrified vehicles grows rapidly over the next several years, according to a recent report from Pike Research.

“The Obama administration is making a concerted effort to prevent the failure of the U.S. auto industry, and that will bolster development of the U.S. battery industry through 2012,” says senior analyst John Gartner. “But political shifts and market realities could remove that safety net.”

Pike Research anticipates that improved manufacturing efficiencies and expanded access to lithium will halve the installed cost of Li-ion vehicle batteries between 2010 and 2015, to $470 per kWh (kilowatt hour).  The Li-ion transportation battery industry will grow more than eight-fold in the next five years, the cleantech market intelligence firm forecasts, with nearly $8 billion in sales worldwide by 2015, up from $878 million in 2010.  Total electrified vehicle sales in the Asia Pacific region will reach almost 1.1 million in 2015, more than the U.S. and Western Europe combined.   And the Asian Li-ion battery market will surpass $4 billion, representing 53% of total worldwide sales, in the same timeframe.

Even though vehicles powered at least part-time by battery power only will make up less than 2.5% of the world’s fleet in 2015, Pike Research believes that the development of safe, reliable, and less costly Li-ion batteries will slowly reshape the automotive industry as it moves towards electrification and away from fossil fuels.

Pike Research’s report, “Electric Vehicle Batteries”, examines the key market dynamics for Lithium Ion batteries in hybrid, plug-in hybrid and battery electric vehicles.  Analysis includes industry and government drivers for the electrification of vehicles, and the role of advanced battery technologies in the development of this new sector.  The report includes profiles of key players and market forecasts through 2015.  An Executive Summary of the report is available for free download on the firm’s website.

Pike Research is a market research and consulting firm that provides in-depth analysis of global clean technology markets.  The company’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Clean Transportation, Clean Industry, Corporate Sustainability, and Building Efficiency sectors.  For more information, visit www.navigantresearch.com or call +1.303.953.9765. 

Register to Receive Updates

Sign up or login to receive free newsletters, research updates, access to webinars, and other analyst content from Navigant Research.

Research News

Rss
2015 Wind Power Capacity Installations Are Expected To Grow by 8.9%
With strong onshore and offshore turbine sales, Vestas remained the No. 1 supplier in 2014, report finds • A recent report from Navigant Research covers developments in the wind energy sector during…
Read More »
The Market for Smart Urban Mobility Infrastructure and Services Is Expected to Exceed $25 Billion in 2024
New forms of smart mobility are helping cities address congestion and reduce emissions, report finds …
Read More »
Revenue from Annual Microturbine Installations Expected to Surpass $1 billion by 2020
Reduced oil & gas development activity in the past year has led to reduced sales for leading microturbine manufacturers, report finds • A new report from Navigant Research analyzes the market for microturbines in terms of…
Read More »
Global Revenue from Shipments of Residential Internet of Things Devices Is Expected to Reach Nearly $70 Billion in 2025
Interoperability issues, created by a variety of standards and protocols, are challenging this market, report finds • A new report from Navigant Research analyzes the global market opportunity for residential Internet…
Read More »
View All News

{"userID":"","pageName":"Asian Manufacturers Will Lead the $8 Billion Market for Electric Vehicle Batteries","path":"\/newsroom\/asian-manufacturers-will-lead-the-8-billion-market-for-electric-vehicle-batteries","date":"7\/1\/2015"}