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A09285 | Pages: 282 | Charts: 79 | Tables: 131 |
The global secondary battery market was valued at $96.7 billion in 2022, and is projected to reach $261.8 billion by 2032, growing at a CAGR of 9.8% from 2023 to 2032.
A secondary battery is a rechargeable battery which is also widely known as a storage battery. It is a kind of energy storage device which is majorly used to charge and discharge for multiple uses. These batteries are mainly designed so that they are reused for the purpose of providing a sustainable source of electrical energy. Since primary batteries or non-rechargeable batteries are designed for single use only and are discarded after being depleted it led to generation of large amounts of electronic waste (e-waste).
However, secondary batteries are largely preferred for their reusable property and help in reducing e-waste to a large extent. The main advantage of secondary batteries that drives the growth of the market is their rechargeability. Secondary batteries are plugged to a power source such as electrical outlets to provide power. In renewable energy system, it is used for connecting the power outlets which helps restore energy storage capacity. Secondary batteries are subject to numerous charge and discharge cycles. A battery's chemistry and design determine how many cycles it can withstand. The market offers a variety of secondary battery types with varied chemistries.
Common materials used in construction of secondary batteries are lead-acid, lithium-ion (Li-ion), nickel-cadmium (NiCd), nickel-metal hydride (NiMH), and nickel-cadmium (NiCd). The various battery chemistries used determine different benefits, such as energy density, voltage, and lifespan. Secondary batteries are used in a wide range of things, from laptops and smartphones to electric cars, backup power systems, and renewable energy storage. Secondary batteries are available in the market in different energy densities, that is depending on space available for storage, different variants are used as per requirement.
Lithium-ion batteries have high energy density and thus are very suitable for use in electric cars and other portable gadgets. Secondary batteries are cost-efficient for use in the long term. Although they have a higher investment and upfront cost, this acts as a market restraint for the secondary battery market growth. However, when compared to disposable primary batteries, secondary batteries can be recharged and reused which significantly reduces the total cost of ownership.
Because they may be reused numerous times, secondary batteries are more environmentally friendly than primary batteries. By doing this, less battery waste is dumped in landfills, reducing environmental damage. Secondary batteries are essential for advancing sustainability, particularly in uses like electric vehicles and the storage of renewable energy. They lessen reliance on fossil fuels and enable the effective utilization of renewable energy sources. Rechargeable batteries are practical and lessen the frequency of battery replacements. For several portable electronics like computers, smartphones, and digital cameras, secondary batteries are a significantly suitable choice owing to the above-mentioned benefits. For instance, lithium-ion batteries can store a lot of energy in a relatively tiny and light packaging due to their high energy density.
Small electronics to grid-scale energy storage systems are just a few of the many applications for secondary batteries that are flexible and suitable. They are available in many chemistry and size configurations. Many secondary batteries have a long cycle life, which means they can withstand hundreds or even thousands of charge-discharge cycles before suffering a substantial loss in capacity. This extends their useful lifespan. Despite having long cycle lives, secondary batteries do eventually degrade over time, leading to reduced capacity. This is a challenge, especially in applications where consistent performance is critical. The production of some secondary battery chemistries, such as lithium-ion batteries, involves the extraction and processing of raw materials that can have environmental impacts.
Recycling and responsible disposal of batteries are essential to mitigate these effects. Some secondary battery chemistries can pose safety risks if not handled properly. Overcharging, thermal runaway, and potential fire hazards are safety challenges that have been associated with certain types of batteries. The increasing demand for energy storage solutions, including grid-scale energy storage and residential energy storage systems, presents significant opportunities for secondary batteries. The growth of the electric vehicle market offers a vast opportunity for secondary batteries.
High-energy-density batteries with fast charging capabilities are in demand for EV applications. To save the extra energy created by sources like solar panels and wind turbines for later use, we need regular batteries. These batteries make renewable energy systems more reliable. Scientists are always working to make these batteries work better, be safer, and cost less. So, there's still a lot of room for new and better types of batteries. Increasing environmental awareness and regulations regarding battery disposal and recycling are driving the development of more sustainable secondary battery technologies.
Secondary batteries are vital for grid-scale energy storage and residential energy storage systems. These solutions enhance grid stability, support peak load management, and enable the efficient use of electricity. As a means of lowering carbon emissions and advancing clean energy, secondary batteries are becoming more and more in demand due to rising environmental consciousness and the need for sustainable energy solutions.
The mining and processing of raw materials that may have a negative environmental impact are necessary for the manufacture of secondary batteries, notably lithium-ion batteries. Responsible disposal and recycling are crucial to mitigate these effects. The initial cost of some advanced secondary batteries, such as those with high energy density, can be a barrier to adoption in certain applications. Reducing production costs is an ongoing challenge.
The expansion of the electric vehicle market offers substantial growth opportunities. Secondary batteries with high energy density and fast charging capabilities are in demand for EV applications. Opportunities for innovation in secondary battery technologies are created by ongoing research and development projects aimed at improving battery performance, safety, and cost-effectiveness. Manufacturers of secondary batteries have the opportunity to create cutting-edge, high-capacity battery solutions because there is a constant desire for new and better consumer electronics.
The secondary battery market scope is analyzed on the basis of type, application, industry vertical, and region.
[TYPEGRAPH]
By type, the secondary battery market is divided into lead acid, lithium-ion, nickel metal hydride, and others. The lead acid battery segment dominated the secondary battery market share in 2022. The lead acid battery is widely used in many electronic devices and housing appliances which led to the secondary battery market growth. In the coming years, the use of lithium-ion batteries is expected to grow the fastest in the secondary battery market. This is because they are being used more and more in things like cell phones, home gadgets, and electric cars.
[APPLICATIONGRAPH]
Based on the application, the market is divided into electronics, motor vehicles, industrial batteries, portable devices, and others. The motor vehicles segment dominated the secondary battery market share in 2022 and is further projected to continue to dominate the market during the projection years. This is owing to the large demand for the battery in electric vehicles boosted by the growing electrification of automotive industry.
[INDUSTRYVERTICALGRAPH]
As per industry vertical, the secondary battery market size is categorized into chemical & petrochemical, oil & gas, energy & power, automotive, and others. The automotive segment dominated the market for 2022 and is expected to maintain its dominance throughout the secondary battery market forecast period.
[REGIONGRAPH]
Region wise, the secondary battery market analysis is done across North America, Europe, Asia-Pacific, and LAMEA (Latin America, the Middle East, and Africa). Asia-Pacific is projected to grow at the highest CAGR during the analysis period and is also largest revenue contributor in 2022.
The major players operating in the secondary battery industry are Energizer Holdings Inc., LG Chem, BTI, Johnson Controls, Samsung SDI Co., Ltd., Aquion Energy, LLC, Panasonic Corporation, Amperex Technologies, BYD Company Ltd., and Hitachi High-Tech India Private Limited. The companies adopted key strategies such as collaboration to increase their market share.
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