APAC Industrial Battery Market Size
| Study Period | 2021 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2021 - 2022 |
| CAGR | > 9.21 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
APAC Industrial Battery Market Analysis
The Asia-Pacific Industrial Battery Market is expected to grow at a CAGR of over 9.21% during the forecast period.
The market was negatively impacted by COVID-19 in 2020. Presently the market has now reached pre-pandemic levels.
- Over the long term, declining lithium-ion battery prices, increasing demand from data centers and telecom sectors, and rising renewable energy integration are some of the major factors driving the market.
- On the other note, factors such as uncertainty in raw material prices and availability of raw materials, such as cobalt, lead, and lithium, are likely to curtail the market growth rate during the forecast period.
- The rising focus on technologically advanced batteries and the use of artificial intelligence in the R&D phase of battery manufacturing is likely to create a massive opportunity for the battery companies to invest and redirect their resources to make a breakthrough battery technology.
- China is likely to witness significant demand in the Asia-Pacific industrial battery market, supported by the grid-side energy storage sector and the demand for data center and the telecom industry.
APAC Industrial Battery Market Trends
This section covers the major market trends shaping the APAC Industrial Battery Market according to our research experts:
Lithium-ion Battery (LIB) Technology to Witness Significant Demand
- Lithium-ion battery (LIB) is expected to witness significant growth in the industrial battery market over the forecast period, majorly due to its favourable capacity-to-weight ratio. Other factors boosting the LIB adoption include its properties, like better performance, higher energy density, and decreasing price.
- The price of LIB is usually higher compared to other batteries. However, leading players in the market have been investing in R&D activities to improve LIB's performance and price to gain economies of scale. The emergence of new and exciting markets, such as Energy Storage Systems (ESS), for both commercial and residential applications is driving the demand for LIB.
- Due to declining prices, lithium-ion batteries are witnessing massive demand in the battery energy storage market. Also, lithium-ion batteries are expected to hold the most significant share in the battery energy storage market soon, as they require little maintenance, are lightweight, have a reliable cycle life, have high energy density regarding volume, and have high charge/discharge efficiency.
- Throughout recent years the electric vehicle industry across the Asia-Pacific region has experienced huge developments. The region alone sold close to 2.96 million battery electric vehicles in 2021. The adoption of electric vehicles will, in turn, culminate in the market's growth.
- Lithium-ion forklift batteries provide an extra edge to material handling applications by reducing labor costs and improving productivity. Lithium-ion forklift batteries can be fast-charged in cold temperatures (even inside freezers) and can maintain their capacity in cold temperatures better than their lead-acid counterparts. The increasing demand for the fast delivery of products also has pushed for improvements in logistics and distribution in emerging regions like North America, Europe, and Asia-Pacific. This, in turn, is likely to boost the demand for industrial li-ion batteries in the material handling industry in the coming years.
- In December 2021, CATL announced that its largest factory in Ningde city, Fujian Province, started production on Wednesday. The manufacturing facility has an annual production capacity of 120 GWh. Along with the rapid growth of China's EV market, the company has boosted its planned battery capacity, including capacity under production and to be built, to over 300 GWh.
- Therefore, based on the above-mentioned factors, Lithium-ion battery technology is expected to witness significant demand in Industrial Battery Market during the forecast period.
China to Witness Significant Demand
- China has multiple growing economies with substantial natural and human resources. India is expected to become a major investment hotspot for battery companies in the coming years, based on the policy-level support from the government encouraging the manufacturing sector.
- As of 2021, Battery Electric Vehicles (BEVs) accounted for 10.9 per cent of the Chinese vehicle market. China is known as the biggest market for electric vehicles in the world. The growing number of Battery Electric Vehicles will, in turn, support the growth of industrial batteries within the country.
- Factors such as significant growth in renewable power generation capacity, and energy storage targets released by electric utilities in 2021, coupled with the declining battery costs, have driven the large-scale energy storage capacity additions in the country. Hence, the growth witnessed in the energy storage deployment in 2021 is expected to continue in the coming years, which, in turn, is expected to be one of the biggest drivers for the industrial battery market in the country, during the forecast period.
- China is among the forerunners using artificial intelligence (AI) and machine learning technologies. But, with the growth of the AI sector, demand for data collection and processing is rising rapidly. The data centers capacity in the country has not increased at the same pace. Hence, to meet the demand, the data center industry is expected to witness a surge in investments, which is expected to drive the demand for UPS in the country, in turn driving the market.
- In September 2022, the Sichuan provincial government issued a new plan for developing the province's manufacturing industry. A key focus of the plan is electric batteries and the transformation of Sichuan into a world-class New Energy Vehicle (NEV) research and manufacturing base by 2027.
- Therefore, based on the above-mentioned factors, China is expected to positively impact the industrial battery market during the forecast period.
APAC Industrial Battery Industry Overview
The Asia-Pacific Industrial Battery Market is moderately fragmented. Some of the major players (not in a particular order) include Exide Industries Ltd, GS Yuasa Corporation, East Penn Manufacturing Company Inc., Panasonic Corporation, and EnerSys.
APAC Industrial Battery Market Leaders
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Exide Industries Ltd
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GS Yuasa Corporation
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East Penn Manufacturing Company Inc.
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Panasonic Corporation
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EnerSys
*Disclaimer: Major Players sorted in no particular order
APAC Industrial Battery Market News
- January 2022: China Lithium Battery Technology signed two contracts with two cities in the southern Chinese province of Guangdong to build new production facilities with an annual capacity of 50 GWh. The factories will be located in Guangzhou and Jiangmen.
- January 2022: BYD and FAW are planning a production facility for electric car batteries with an annual capacity of 45 GWh in north-eastern China. A joint venture between BYD and FAW called FAW FinDreams New Energy Technology was established, with a registered capital of EUR 140 million. BYD holds 51% of the JV, and FAW Group owns the remaining.
APAC Industrial Battery Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Market Size and Demand Forecast in USD billion, till 2027
4.3 Battery Price Trends and Forecast in USD per kWh, by Major Technology Type
4.4 Recent Trends and Developments
4.5 Government Policies and Regulations
4.6 Market Dynamics
4.6.1 Drivers
4.6.2 Restraints
4.7 Supply Chain Analysis
4.8 Porter's Five Forces Analysis
4.8.1 Bargaining Power of Suppliers
4.8.2 Bargaining Power of Consumers
4.8.3 Threat of New Entrants
4.8.4 Threat of Substitutes Products and Services
4.8.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Technology
5.1.1 Lithium-ion Battery
5.1.2 Lead-acid Battery
5.1.3 Other Technologies (Nickel Cadmium Battery, Nickel Metal Hydride, Zinc Carbon, etc.)
5.2 Application
5.2.1 Forklift
5.2.2 Telecom
5.2.3 UPS
5.2.4 Others
5.3 Geography
5.3.1 China
5.3.2 India
5.3.3 Japan
5.3.4 Rest of Asia-Pacific
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 C&D Technologies Pvt. Ltd
6.3.2 East Penn Manufacturing Company Inc.
6.3.3 EnerSys
6.3.4 Exide Industries Ltd
6.3.5 GS Yuasa Corporation
6.3.6 Amara Raja Batteries Ltd
6.3.7 Panasonic Corporation
6.3.8 Saft Groupe SA
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
APAC Industrial Battery Industry Segmentation
Industrial batteries are electrochemical devices that convert higher-level active materials into an alternate state during discharge. They are designed to last far longer than consumer batteries and are used in more challenging environments. These batteries are for two general applications: float (or standby) duty and deep cycling (especially traction batteries for forklift trucks, etc.).
The Asia-Pacific Industrial Battery Market report is segmented by technology, application, and geography. By technology, the market is segmented into lithium-ion battery, lead-acid battery, and other technologies (nickel-cadmium battery, nickel metal hydride, zinc-carbon, etc. By application, the market is segmented into forklift, telecom, UPS, and others). The report also covers the market size and forecasts for the Asia-Pacific Industrial Battery market across the major countries in the region. For each segment, the market size and forecasts have been done based on revenue (USD billion).
| Technology | |
| Lithium-ion Battery | |
| Lead-acid Battery | |
| Other Technologies (Nickel Cadmium Battery, Nickel Metal Hydride, Zinc Carbon, etc.) |
| Application | |
| Forklift | |
| Telecom | |
| UPS | |
| Others |
| Geography | |
| China | |
| India | |
| Japan | |
| Rest of Asia-Pacific |
APAC Industrial Battery Market Research FAQs
What is the current Asia-Pacific Industrial Battery Market size?
The Asia-Pacific Industrial Battery Market is projected to register a CAGR of greater than 9.21% during the forecast period (2024-2029)
Who are the key players in Asia-Pacific Industrial Battery Market?
Exide Industries Ltd, GS Yuasa Corporation, East Penn Manufacturing Company Inc., Panasonic Corporation and EnerSys are the major companies operating in the Asia-Pacific Industrial Battery Market.
What years does this Asia-Pacific Industrial Battery Market cover?
The report covers the Asia-Pacific Industrial Battery Market historical market size for years: 2021, 2022 and 2023. The report also forecasts the Asia-Pacific Industrial Battery Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Asia-Pacific Industrial Battery Industry Report
Statistics for the 2024 Asia-Pacific Industrial Battery market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Asia-Pacific Industrial Battery analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
