Global Automotive Battery Market Size, Share, Forecast Report, 2020-2027

The battery is a quick-change artist. It changes electrical current generated by the vehicle’s charging system into chemical energy. Its primary purpose is to feed the starter, which starts the vehicle engine. The global automotive battery market is estimated to reach around USD 75 billion by 2025, growing at ~5.5% CAGR during the forecast period.
The rising demand for hybrid, semi-hybrid, and fully electric vehicles is expected to drive the global battery market. Additionally, the adoption rate of these batteries in passenger vehicles is increasing, which is likely to drive this market during the forecast period. The safety issues related to battery uses, failure of battery due to excess heat, and underdeveloped infrastructure for electric vehicles are considered as the key factors restraining the growth of this market.
However, growing population, rapid expansion in the automotive industry in emerging economies such as China, India, Thailand, Mexico, Indonesia, and Vietnam, and the growing demand for electric vehicles, including battery and hybrid electric vehicles, are providing growth opportunities for the global market.

Segmentation: Global Automotive Battery Market

The global automotive battery market is segmented based on type, propulsion, vehicle type, sales channel, and region.
Based on type, the global market has been segmented into lead-acid, lithium-ion, nickel-metal hydride, and others. The lithium-ion segment is projected to witness rapid growth over the forecast period. Based on propulsion, the global market has been divided into internal combustion engine (ICE) and electric vehicle. The ICE segment is projected to be dominant throughout the forecast period. Based on vehicle type, the global market has been bifurcated into passenger car and commercial vehicle. The passenger car segment accounted for the largest share in the global automotive battery market over the forecast period. Based on sales channel, the global market has been divided into OEM and aftermarket. The aftermarket segment is projected to witness rapid growth over the forecast period.
Geographically, the global automotive battery market has been segmented into four major regions, namely, North America, Europe, Asia-Pacific, and the rest of the world. Among the regions, in 2018, the global market was led by Asia-Pacific, followed by Europe and North America. Asia-Pacific is estimated to hold the largest market share during the forecast period owing to the vast potential consumer base, developing infrastructure for electric vehicle charging stations, and growing demand for passenger car and commercial vehicles across the region.
North America is expected to grow at a significant rate over the forecast period. The factors contributing to the growth of this market in this region are stringent regulations, increasing demand for environment-friendly vehicles, and the presence of key market players such as Exide, Johnson Controls, and Odyssey. Furthermore, Europe is projected to hold the second-largest position in the global market over the forecast period. The presence of major automotive manufacturers such as BMW, Aston Martin, Jaguar, and Mercedes Benz are contributing to the growth of this market in Europe.
The prominent players operating in the global automotive battery market are A123 Systems, LLC (China), East Penn Manufacturing Company (US), Johnson Controls (US), EXIDE Technologies (US), GS Yuasa (Japan), BYD Co. Ltd (China), Robert Bosch GmbH (Germany), Saft Groupe SA (France), EnerSys (US), Delphi Automotive LLP (UK), LG Chem (South Korea), and Panasonic Corporation (Japan).