China Electric Vehicle Battery Separator Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 1.13 Billion |
| Market Size (2029) | USD 1.73 Billion |
| CAGR (2024 - 2029) | 8.90 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
China Electric Vehicle Battery Separator Market Analysis
The China Electric Vehicle Battery Separator Market size is estimated at USD 1.13 billion in 2024, and is expected to reach USD 1.73 billion by 2029, at a CAGR of 8.90% during the forecast period (2024-2029).
- Over the medium term, factors such as the increasing demand for electric vehicles and suppotive government initiatives are expected to drive the market during the forecast period.
- On the other hand, supply chain challanges are likely to hinder the market growth during the forecast period.
- Nevertheless, technological innovations and development of sustainable materials are expected to provide significant opportunities for the market in the coming years.
China Electric Vehicle Battery Separator Market Trends
Increasing Demand for Electric Vehicles
- China stands as the world's largest electric vehicle (EV) market, with the surging demand for EV batteries propelling the growth of the battery separator market. The International Energy Agency reported that in 2023, China sold 8.1 million electric vehicles, encompassing both Battery Electric Vehicles (BEV) and Plug-in Hybrid Electric Vehicles (PHEV).
- With the rising demand for EVs comes an increased need for sophisticated separators that enhance battery performance. These separators play a crucial role in preventing short circuits and ensuring battery stability, especially as automakers focus on improving vehicle range, efficiency, and safety.
- China dominates the global EV landscape, boasting over half of the world's electric automobiles and surpassing its 2025 sales target for new energy vehicles (NEVs). This surge is bolstered by government incentives and supportive policies.
- For example, in June 2023, aiming to further stimulate domestic EV sales, a coalition of the Ministry of Finance (MOF), State Taxation Administration (STA), and Ministry of Industry and Information Technology (MIIT) announced an extension of the "Vehicle Purchase Tax Reduction and Exemption Policy for New Energy Vehicles." This tax exemption, effective from January 1, 2024, is set to continue until December 31, 2027.
- Furthermore, China's ambitious EV adoption targets, underpinned by robust government backing, have catalyzed the growth of its battery manufacturing sector. This surge is evident in substantial investments directed towards expanding production capacities, pioneering research & development, and pushing the boundaries of battery technologies.
- In a notable move, in August 2024, Xiaomi, the renowned Chinese tech titan, broke ground on its second EV plant in Beijing. Documents from the Beijing city authorities reveal that Xiaomi, already a dominant player in the smartphone arena, secured the land on July 25 and promptly initiated construction the very next day. Strategically, this new facility is rising right next to Xiaomi's inaugural EV plant. As manufacturers ramp up to cater to the escalating EV demand, the significance of battery separators becomes increasingly evident.
- Thus, as the EV industry evolves with a keen focus on innovation and performance, battery separators emerge as pivotal players, fueling market growth in China. With the EV market on an upward trajectory, the demand for these critical battery components is set to soar.
Lithium-Ion Batteries Segment to Dominate the Market
- In China, the lithium-ion battery segment plays a crucial role in the burgeoning electric vehicle (EV) ecosystem. In 2023, China accounted for 60% of all new electric car registrations. As a leading global producer and consumer of electric vehicles, China's influence is paramount in the evolution and acceptance of lithium-ion batteries, which are indispensable for energizing these vehicles.
- Lithium-ion batteries, known for their energy density and efficiency, depend on high-performance separators for safety and reliability. These separators not only prevent short circuits between the anode and cathode but also facilitate efficient ion transfer during charging and discharging.
- In China, advancements in separator materials like polyethylene (PE) and polypropylene (PP) have enhanced the performance, durability, and thermal stability of lithium-ion batteries.
- For example, in January 2024, a team from the Institute of Modern Physics (IMP) at the Chinese Academy of Sciences (CAS) and the Advanced Energy Science and Technology Guangdong Laboratory unveiled new polyethylene terephthalate (PET) separators. These separators, designed for lithium-ion batteries, can endure high temperatures, directly boosting electric vehicle performance and consumer appeal.
- Notably, the average price of lithium-ion batteries has consistently fallen, hitting approximately USD 139 per kWh in 2023. This marks an over 82% drop since 2013. Projections suggest this trend will persist, with prices potentially dipping below USD 113/kWh by 2025 and reaching USD 80/kWh by 2030. As lithium-ion battery prices decline, making electric vehicles more accessible, there's a corresponding surge in demand for battery separators. Manufacturers, keen on optimizing costs and boosting performance, are driving this demand.
- Moreover, China's ambition to have 40% of all vehicle sales be electric further underscores the rising demand for EV batteries and their components, including separators.
- Thus, with technological strides, a burgeoning EV market, and plummeting battery prices, China's battery separator landscape is set for significant expansion.
China Electric Vehicle Battery Separator Industry Overview
The Chinese electric vehicle battery separator market is semi-fragmented. Some of the major players (not in particular order) include Shanghai Energy New Materials Technology Co., Ltd. (SEMCORP), Teijin Limited, Sumitomo Chemical Co., Ltd., Mitsubishi Chemical Group Corporation, and Asahi Kasei Corporation, among others.
China Electric Vehicle Battery Separator Market Leaders
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Shanghai Energy New Materials Technology Co., Ltd. (SEMCORP)
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Teijin Limited
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Sumitomo Chemical Co., Ltd.
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Mitsubishi Chemical Group Corporation
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Asahi Kasei Corporation
*Disclaimer: Major Players sorted in no particular order
China Electric Vehicle Battery Separator Market News
- January 2024: 24M introduced a battery separator, the 24M ImpervioTM, set to revolutionize battery safety across electric vehicles. This innovative technology marked a significant leap in safety for both lithium-ion and lithium-metal batteries, offering a crucial solution to combat catastrophic fires and the need for extensive recalls, often triggered by metallic dendrites.
- May 2023: SKIET announced a strategic move, signing a memorandum of understanding with Sunwoda. The agreement aimed to strengthen the supply of battery separators. Specifically, SKIET intends to provide Sunwoda with separators manufactured at its Changzhou facility in China.
China Electric Vehicle Battery Separator Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of 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 2029
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.1.1 Increasing Demand of Electric Vehicles
4.5.1.2 Supportive Government Initiatives
4.5.2 Restraints
4.5.2.1 Supply Chain Challanges
4.6 Supply Chain Analysis
4.7 PESTLE Analysis
4.8 Investment Analysis
5. MARKET SEGMENTATION
5.1 Battery Type
5.1.1 Lithium-Ion Batteries
5.1.2 Lead-Acid Batteries
5.1.3 Others
5.2 Material Type
5.2.1 Polypropylene
5.2.2 Polyethylene
5.2.3 Other Material Types
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 Shanghai Energy New Materials Technology Co., Ltd. (SEMCORP)
6.3.2 Teijin Limited
6.3.3 Sumitomo Chemical Co., Ltd.
6.3.4 Mitsubishi Chemical Group Corporation
6.3.5 Asahi Kasei Corporation
6.3.6 Entek International
6.3.7 Shanghai PTL New Energy Technology Co., Ltd.
6.3.8 Toray Industries Inc.
6.3.9 UBE Corp
6.3.10 SK Innovation Co. Ltd
- *List Not Exhaustive
6.4 Market Ranking/Share Analysis
6.5 List of Other Prominent Companies
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Expansion in Emerging Battery Materials
China Electric Vehicle Battery Separator Industry Segmentation
An electric vehicle (EV) battery separator is a critical component in a battery cell that physically separates the positive (cathode) and negative (anode) electrodes, preventing them from coming into direct contact while allowing the flow of ions between them.
The Chinese electric vehicle battery separator market is segmented by battery type and material type. By battery type, the market is segmented into lithium-ion batteries, lead-acid batteries, and others. By material type, the market is segmented into polypropylene, polyethylene, and other material types.
For each segment, the market sizing and forecasts have been done based on market size in USD.
| Battery Type | |
| Lithium-Ion Batteries | |
| Lead-Acid Batteries | |
| Others |
| Material Type | |
| Polypropylene | |
| Polyethylene | |
| Other Material Types |
China Electric Vehicle Battery Separator Market Research Faqs
How big is the China Electric Vehicle Battery Separator Market?
The China Electric Vehicle Battery Separator Market size is expected to reach USD 1.13 billion in 2024 and grow at a CAGR of 8.90% to reach USD 1.73 billion by 2029.
What is the current China Electric Vehicle Battery Separator Market size?
In 2024, the China Electric Vehicle Battery Separator Market size is expected to reach USD 1.13 billion.
Who are the key players in China Electric Vehicle Battery Separator Market?
Shanghai Energy New Materials Technology Co., Ltd. (SEMCORP), Teijin Limited, Sumitomo Chemical Co., Ltd., Mitsubishi Chemical Group Corporation and Asahi Kasei Corporation are the major companies operating in the China Electric Vehicle Battery Separator Market.
What years does this China Electric Vehicle Battery Separator Market cover, and what was the market size in 2023?
In 2023, the China Electric Vehicle Battery Separator Market size was estimated at USD 1.03 billion. The report covers the China Electric Vehicle Battery Separator Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the China Electric Vehicle Battery Separator Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
China Electric Vehicle Battery Separator Industry Report
Statistics for the 2024 China Electric Vehicle Battery Separator market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. China Electric Vehicle Battery Separator analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
