EV Battery Reuse Market Research, 2031
The global EV battery reuse market size was valued at $0.2 billion in 2021, and EV battery reuse industry is projected to reach $3.9 billion by 2031, growing at a CAGR of 34.3% from 2022 to 2031.
Lithium based batteries are widely used in the EV industry. The presence of chemicals which are harmful to the environment led to the demand for recycling of already used batteries. These batteries are reused in various other applications such as energy storage, EV charging stations, and power source for base station. Most of the batteries reused in the above mentioned applications are those which do not meet the standards for the battery application in the EV industry.
A passenger car is a road motor vehicle, other than a moped or a motor cycle, intended for the carriage of passengers and designed to seat no more than nine people which includes driver. Mobility is gaining importance due to ever-increasing distances between home, work, educational institutions, shopping and leisure facilities. Cars have become number one source of mobility, taking the average European almost 12,000 kilometres a year. Over 70% of journeys are made by car – be it private car, taxi or carsharing. Rapid urbanization and industrialization lead to a surge in the utilization of passenger cars for various purposes. The increase in awareness among the people regarding the advantages of the electric passenger cars on environment has driven the demand for EVs. The presence of the gradual increase in demand has led the world top automotive manufacturers to launch various passenger cars which is projected to drive the demand for EV battery. The presence of this demand and decrease in the material resources in the world has led to the investment of the manufacturers toward battery reuse for sustainability.
EV charging involves supply of direct current to the battery pack. As electricity distribution systems supply alternate current power, a converter is required to provide DC power to the battery. The cost of charging EV at a proper charging station is projected to cost about $2-3, while charging at home would cost about $6. The rise in demand for electric vehicles across the globe has driven the demand for EV charging stations. Increase in investment of government and private companies toward EV charging station is anticipated to drive the demand for battery industry. Furthermore, the government policies and initiatives to move toward sustainable and more eco-friendly economy is anticipated to lead to utilization of recycled batteries in battery pack of EV charging stations.
The EV battery reuse market forecast is segmented on the basis of by source, battery chemistry, vehicle type, application and region. On the basis of source, it is segmented into battery electric vehicles, hybrid electric vehicle, plug-in hybrid electric vehicle, and fuel cell electric vehicle. On the basis of battery chemistry, the market is classified into Lithium-Iron Phosphate, Lithium-Manganese Oxide, Lithium-Nickel-Cobalt-Aluminum Oxide, Lithium-Nickel-Manganese Cobalt, and Lithium-Titanate Oxide. On the basis of vehicle type, the market is bifurcated into passenger cars, and commercial vehicles. On the basis of application, the market is categorized into low speed vehicles, base stations, EV charging, and Energy storage. Region wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. Presently, Asia-Pacific accounts for the largest EV battery reuse market share, followed by Europe and North America.
By Source
Battery Electric Vehicles (BEVs) segment to be the most lucrative segment till 2031
On the basis of source, the battery electric vehicles segment dominates the global EV battery reuse market growth. A battery electric vehicle is a type of electric vehicle that exclusively uses chemical energy stored in rechargeable battery packs with no secondary source of propulsion. BEVs use electric motor and motor controllers instead of internal combustion engines for propulsion. Rise in demand for eco-friendly mobility solutions to curb pollution levels and the availability of tax rebates drive the market growth. Supportive government initiatives and schemes to promote the adoption of sustainable mobility solutions to reduce the pollution level from vehicles is anticipated to propel the market expansion. Rapid investments in R&D activities by industry participants to develop advanced battery solutions for BEVs is anticipated to foster the market progression. Rapid development in the manufacturing facilities of above mentioned products is projected to provide ample opportunities for the development of the market.
By Battery Chemistry
Lithium-Manganese Oxide to possess highest market share till 2031
On the basis of battery chemistry, the lithium manganese oxide segment dominates the global EV battery reuse market. Lithium Manganese oxide battery is widely used in electricity, gas and water meters, fire and smoke alarms, security devices and so on. Furthermore, it is widely used for powering devices such as wristwatches and electronic calculators and can be used in all types of electronic devices mainly in memory and RTC backup. It has several advantages which attract the consumers such as long-term reliability, having life span of 10 years. Rise in demand for demand for stable battery for the electric vehicles and energy storage applications is expected to fuel the growth of the market during the forecast period. The above-mentioned factors will provide ample opportunities for the development of the market during the forecast period.
By Vehicle Type
Commercial Vehicles to possess highest market growth till 2031
On the basis of vehicle type, the commercial vehicle segment dominates the global EV battery reuse market. Electric commercial vehicles are powered by electricity instead of diesel or gasoline. They can be buses, vans, trucks, agricultural vehicles such as harvesters or tractors, and construction machinery such as excavator or wheel loaders. The growing demand for low emission commuting and governments supporting zero emission transportation for electric commercial vehicles including buses, trucks, pickups and vans through subsidies & tax rebates have compelled the manufacturers to develop ECVs for the world. Companies like Rivian, Ford, GM, and Tesla are expected to develop their electric pickup range in the coming years with a growing demand.
The surge in demand is anticipated to have certain impact on the raw materials required for the production of batteries and the increase in awareness among the people & government organization regarding the waste batteries. This is projected to lead to the launch of new initiatives to reuse the EV batteries. The above mentioned factors are projected to provide ample opportunities for the development of the market during the forecast period.
By Application
Base Stations to possess highest incremental $ opportunity till 2031
On the basis of application, the base stations segment dominates the global EV battery reuse market. Base station is a fixed transceiver that is the main communication point for one or more wireless mobile client devices. A base station serves as a central connection point for wireless device to communicate. These base stations depend on reliable, stable power supply. Hence, base stations are best served by lithium batteries that use newer technology in particular, lithium iron phosphate batteries. The base station in the era of Internet of Things technologies such as machine-to-machine communications is drastically changing landscape of various industries driving the need for fast and reliable communication solution.
In addition, the global EV battery reuse market has witnessed a rise as a result of increase in 5G network services across prime industries, allowing IoT devices to connect and share data quickly, which is expected to fuel the demand for battery industry in the future. The presence of above mentioned advantages is projected to drive the growth of the market.
By Region
Asia-Pacific region to be the most attractive region till 2031
Asia-Pacific dominated the global EV battery reuse market in 2021. There is huge demand for various batteries in different sectors in this region. There is an increase in the demand for battery recycling and reuse plants due to presence of huge population and increasing industrial opportunities in the region. The electric vehicles market, investment in charging infrastructure and reduction in EV prices is projected to increase sales over time. U.S. carmaker Tesla, in 2019, opened its manufacturing plant in Shanghai as part of its global push for electric vehicle. At present, it has the largest network of EV charging stations, consisting of 1.2 million charging points, and this number is projected to increase annually.
Domestic EV start-ups are exempted from a 10% sales tax along with providing subsidies for EV buyers, which boost the EV sales in China. The increase in the utilization of electric vehicles in this region especially in developing countries such as India, Japan, and China has created huge demand for EV batteries. India is one of the countries with low reserves of lithium; hence to make EVs sustainable battery recycling and reuse plants need to be invested. The above mentioned policies and investments are major factors driving the growth of the market in this region during the forecast period.
Impact of Covid-19 on Global EV Battery Reuse Market
Demand for various input products in the industrial sector declined significantly, as very few industrial operations were allowed to operate. The factors mentioned above restrained the market, as very few reuses of new electric vehicle batteries are expected to be deployed by these industries during the pandemic crisis.
Post pandemic crisis, major electric vehicle manufacturers have launched electric vehicles of various types, as there is a huge demand for eco-friendly automotive after the pandemic outbreak due to increase in awareness among the people toward the environment. Furthermore, the breakthrough in various technologies which are used in the EVs is another factor boosting the growth of the EV industry.
Competitive Landscape
The major companies profiled in this report include BYD Co, Ltd., Global Battery Solutions, Ltd., Daimler AG, Samsung SDI Co., Ltd,LG Chem Ltd., Groupe PSA, GS Yuasa Corporation, General Motors, Toshiba Corporation, Envision AESC, Nissan Motor Co., Ltd., Toyota Motor Corporation, BMW Group, Tesla Inc,, Johnson Controls, Inc., Lithium Werks, and Mitsubishi Electric. Additional growth strategies such as expansion of storage capacities, acquisition, partnership and research & innovation in the recycling technologies have led to attain key developments in the global EV battery reuse market trends.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the EV battery reuse market analysis from 2021 to 2031 to identify the prevailing ev battery reuse market opportunities.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the EV battery reuse market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global EV battery reuse market trends, key players, market segments, application areas, and market growth strategies.
EV Battery Reuse Market Report Highlights
| Aspects | Details |
 Market Size By 2031 | USD 3.9 billion |
 Growth Rate | CAGR of 34.3% |
 Forecast period | 2021 - 2031 |
 Report Pages | 389 |
 By Source |
|
 By Battery Chemistry |
|
 By Vehicle Type |
|
 By Application |
|
 By Region |
|
 Key Market Players | Toshiba Corporation, Toyota Motor Corporation, BMW Group, Daimler AG, Johnson Controls, inc., Groupe PSA, Nissan Motor Co., Ltd., LG Chem Ltd., Global Battery Solutions, Ltd., GS Yuasa Corporation, General Motors, Envision AESC, Mitsubishi Electric Corporation, BYD Co, Ltd., Samsung SDI Co., Ltd, Tesla Inc., LITHIUMWERKS |
Analyst Review
According to CXO Perspective, the global EV battery reuse market is expected to witness increased demand during the forecast period, due to surge in the demand for sustainable batteries for electric automotive vehicles.
The EV battery reuse market is expected to witness growth on account of rise in energy demand across the globe. The technology finds its application across energy storage, base stations, low speed vehicles and EV charging stations. In addition, surge in concern toward energy security and the presence of reduction in cost are projected to boost the adoption of EV battery reuse during the forecast period.
Increase in emphasis on gradual shift from traditional vehicles to electric vehicles on account of escalating carbon footprint is projected to propel the market growth. Increase in penetration of battery electric vehicles across the globe is anticipated to foster the market growth. The EV battery reuse market is predicted to grow on account of its ability to power low energy demanding applications as a part of energy storage systems. The above-mentioned application of battery in various applications is anticipated to drive the demand for EV battery reuse market.
Rise in sales of electric vehicles and rise in demand for EV battery are the key factors boosting the EV battery reuse market growth.
The market value of EV battery reuse in 2031 is expected to be $3.9 billion
BYD Co, Ltd., Global Battery Solutions, Ltd., Daimler AG, Samsung SDI Co., Ltd,LG Chem Ltd., Groupe PSA, GS Yuasa Corporation, General Motors, Toshiba Corporation, Envision AESC, Nissan Motor Co., Ltd., Toyota Motor Corporation, BMW Group, Tesla Inc,, Johnson Controls, Inc., Lithium Werks, and Mitsubishi Electric.
Automotive industry is projected to increase the demand for EV battery reuse Market
The EV battery reuse market is segmented on the basis of by source, battery chemistry, vehicle type, application and region. On the basis of source, it is segmented into battery electric vehicles, hybrid electric vehicle, plug-in hybrid electric vehicle, and fuel cell electric vehicle. On the basis of battery chemistry, the market is classified into Lithium-Iron Phosphate, Lithium-Manganese Oxide, Lithium-Nickel-Cobalt-Aluminum Oxide, Lithium-Nickel-Manganese Cobalt, and Lithium-Titanate Oxide. On the basis of vehicle type, the market is bifurcated into passenger cars, and commercial vehicles. On the basis of application, the market is categorized into low speed vehicles, base stations, EV charging, and Energy storage. Region wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.
Growing demand for energy storage systems is the Main Driver of EV battery reuse Market.
Post pandemic crisis, major electric vehicle manufacturers have launched electric vehicles of various types, as there is a huge demand for eco-friendly automotive after the pandemic outbreak due to increase in awareness among the people toward the environment. Furthermore, the breakthrough in various technologies which are used in the EVs is another factor boosting the growth of the EV industry.
Loading Table Of Content...
Loading Research Methodology...
