France Lithium-ion Battery for Electric Vehicle Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 3.71 Billion |
| Market Size (2029) | USD 9.71 Billion |
| CAGR (2024 - 2029) | 21.19 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
France Lithium-ion Battery for Electric Vehicle Market Analysis
The France Lithium-ion Battery For Electric Vehicle Market size is estimated at USD 3.71 billion in 2024, and is expected to reach USD 9.71 billion by 2029, growing at a CAGR of 21.19% during the forecast period (2024-2029).
- Over the medium term, increasing adoption of electric vehicles, declining lithium-ion battery prices, and supportive government policies and initiatives for electric vehicles across France are expected to drive the demand for lithium-ion batteries for electric vehicles during the forecast period.
- On the other hand, the lack of raw material reserves and emerging alternative battery technologies can significantly restrain the growth of the lithium-ion battery for electric vehicles market.
- Nevertheless, the adoption of solid-state lithium-ion batteries for electric vehicles is anticipated to create vast opportunities for the French lithium-ion battery in electric vehicles market.
France Lithium-ion Battery for Electric Vehicle Market Trends
Declining Lithium-ion Battery Prices Driving the Market
- The declining prices of lithium-ion batteries are significantly driving the growth of the lithium-ion battery market for electric vehicles (EVs) in France. As the production of lithium-ion batteries increases globally, manufacturers benefit from economies of scale, leading to lower production costs. This cost reduction is passed down to consumers and businesses, making EVs more affordable.
- The price of lithium-ion batteries is usually higher than that of other batteries. However, major players across the market have been investing to gain economies of scale and in R&D activities to enhance their performance, increasing the competition and, in turn, reducing lithium-ion battery prices.
- Owing to the increasing average battery pack prices of electric vehicles (EV) and battery energy storage systems (BESS), battery prices declined in 2023 to 139 USD/kWh, a decrease of over 13%. The trajectory of technological innovation and manufacturing enhancements is anticipated to decrease the battery pack prices further, with prices projected to reach USD 113/kWh in 2025 and USD 80/kWh in 2030.
- Furthermore, the price of lithium-ion batteries has been steadily decreasing due to technological advancements, increased production scale, and improved supply chain efficiencies. This trend is significantly impacting the global energy market, making electric vehicles (EVs) and renewable energy storage systems more affordable and accessible. Leading companies in the market have made significant technological advances in the past few years.
- In July 2024, Stellantis and CEA announced a new five-year collaboration to design next-generation battery cells, including lithium-ion batteries for electric vehicles, in-house. The joint research program aims to develop advanced technology cells with enhanced performance, longer lifespan, and lower carbon footprint at competitive costs. Such advancements are expected to boost the demand for advanced lithium-ion batteries in the coming years and positively reduce the battery price across France.
- Moreover, the decreasing price of lithium-ion batteries, rising demand, and the establishment of new lithium-ion production plants across France are interlinked phenomena driving significant shifts in the energy and automotive industries. Investments in enhancing lithium-ion battery production have increased exponentially across the country in recent years.
- For instance, in February 2024, the country announced a total investment of EUR 10 billion (USD 10.84 billion) from public and private funds to open four gigafactories of electric vehicle batteries, including lithium-ion batteries, around the national territory in the near future. Such investments and incentives are likely to accelerate battery production across the country over the coming years and boost the demand for lithium-ion batteries in the future.
- Hence, such advancements and initiatives are expected to reduce lithium-ion battery prices further, making them much more cost-competitive than other battery types and resulting in their increasing adoption for numerous applications across France.
Battery Electric Vehicle (BEV) Segment to Witness Significant Growth Over the Forecast Period
- The battery electric vehicle (BEV) segment has experienced significant growth in recent years, a trend closely tied to the advancements and increased adoption of lithium-ion batteries in electric vehicles (EVs).
- France is experiencing a significant surge in the adoption of electric vehicles (EVs), which is driving the expansion of the EV charging equipment market. The country is the leading EV producer worldwide. The country is shifting toward clean energy and transitioning to electric vehicles, which is an essential segment on which companies are currently focusing more.
- EV sales have been rising exponentially in the country over the last few years. For instance, according to the International Energy Agency (IEA), in 2023, the number of electric vehicles sold in France was 0.47 million, up by 38.2% from 2022. The number of electric vehicle sales is expected to increase significantly in the coming years, raising the demand for BEVs across France.
- The country has implemented several policies to promote electric vehicles (EVs) and support the transition to a low-carbon transportation industry. These policies aim to reduce consumers' overall cost of ownership and encourage the switch from internal combustion engine vehicles to BEVs.
- For instance, in May 2024, the government signed an agreement with leading car manufacturers to agree to an interim goal of 800,000 electric vehicle sales by 2027 under a new medium-term planning agreement with the government, up from 200,000 in 2022. The government also earmarked EUR 1.5 billion (USD 1.6 billion) to support the production and purchase of electric vehicles through various programs. Such initiatives and targets are likely to accelerate the production and demand for BEVs across the country in the coming years.
- Furthermore, the rising shift toward electric vehicles is a significant factor. Leading companies across the country have launched numerous projects and investments to raise the production of battery electric vehicles over the coming years.
- For instance, in June 2024, BYD, a Chinese electric vehicle giant, announced it would open an EV production factory in France. The facility is expected to be operational by the end of the next year. Such types of projects are expected to boost BEV production across the country during the forecast period.
- Hence, such initiatives and plans are likely to enhance BEV sales across the country and hike the demand for lithium-ion batteries during the forecast period.
France Lithium-ion Battery for Electric Vehicle Industry Overview
The French lithium-ion battery for electric vehicles market is semi-fragmented. Some of the key players (not in any particular order) are LG Energy Solution Ltd, Toshiba Corporation, Panasonic Holdings Corporation, BYD Company Limited, and Contemporary Amperex Technology Co. Limited.
France Lithium-ion Battery for Electric Vehicle Market Leaders
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LG Energy Solution Ltd
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Toshiba Corporation
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Panasonic Holdings Corporation
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Contemporary Amperex Technology Co. Limited
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BYD Company Limited
*Disclaimer: Major Players sorted in no particular order
France Lithium-ion Battery for Electric Vehicle Market News
- May 2024: Verkor, a French startup, announced plans to build a gigafactory in Dunkirk to mass-produce battery cells for 300,000 electric cars each year, including lithium-ion batteries. The company has already signed a long-term partnership with Renault to supply 12 gigawatt-hours of batteries annually, starting in 2025.
- September 2023: Eramet and Suez collaborated to open an electric vehicle (EV) battery recycling facility, including lithium-ion batteries, to boost battery production in the northern French port of Dunkirk. Under their joint venture, the companies aim to build a plant to dismantle lithium-ion batteries, followed by a second unit to separate and refine metal.
France Lithium-ion Battery For Electric Vehicle Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Market Size and Demand Forecast in USD, 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 Adoption of Electric Vehicles (EV)
4.5.1.2 Declining Lithium-ion Battery Prices
4.5.1.3 Supportive Government Policies and Initiatives
4.5.2 Restraints
4.5.2.1 Lack of Raw Material Reserves
4.5.2.2 Emerging Alternative Battery Technologies
4.6 Supply Chain Analysis
4.7 PESTLE Analysis
4.8 Investment Analysis
5. MARKET SEGMENTATION
5.1 Vehicle Type
5.1.1 Passenger Vehicles
5.1.2 Commercial Vehicles
5.1.3 Other Vehicles (Bikes, Scooters, etc.)
5.2 Propulsion Type
5.2.1 Battery Electric Vehicle (BEV)
5.2.2 Plug-in Hybrid Electric Vehicle (PHEV)
5.2.3 Hybrid Electric Vehicles (HEV)
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted & SWOT Analysis for Leading Players
6.3 Company Profiles
6.3.1 LG Energy Solution Ltd
6.3.2 BYD Company Limited
6.3.3 Toshiba Corporation
6.3.4 Panasonic Holdings Corporation
6.3.5 Contemporary Amperex Technology Co. Limited
6.3.6 Automotive Cells Company
6.3.7 Automotive Energy Supply Corporation (AESC)
6.3.8 Verkor
6.3.9 Saft Groupe SA
6.3.10 EnerSys
- *List Not Exhaustive
6.4 List of Other Prominent Companies (Company Name, Headquarter, Relevant Products & Services, Contact Details, etc.)
6.5 Market Ranking/Share Analysis
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Adoption of Solid-state Lithium-ion Batteries for Electric Vehicles
France Lithium-ion Battery for Electric Vehicle Industry Segmentation
A lithium-ion battery for electric vehicles (EVs) is a rechargeable battery commonly used to power electric cars and other electric transportation. This battery technology is known for its high energy density, long cycle life, and lightweight design. It enables efficient storage and delivery of electrical energy. Lithium-ion batteries have cells containing an anode, cathode, separator, and electrolyte. These batteries offer a high power-to-weight ratio, excellent energy efficiency, and reduced self-discharge compared to other rechargeable batteries, making them a preferred choice for modern electric vehicles.
The French lithium-ion battery for electric vehicles market is segmented by vehicle type and propulsion type. By vehicle type, the market is segmented into passenger vehicles, commercial vehicles, and other vehicles (bikes, scooters, etc.). By propulsion type, the market is segmented into battery electric vehicles (BEVs), hybrid electric vehicles (HEVs), and plug-in hybrid electric vehicles (PHEVs). The report offers the market sizes and forecasts in value (USD) for all the above segments.
| Vehicle Type | |
| Passenger Vehicles | |
| Commercial Vehicles | |
| Other Vehicles (Bikes, Scooters, etc.) |
| Propulsion Type | |
| Battery Electric Vehicle (BEV) | |
| Plug-in Hybrid Electric Vehicle (PHEV) | |
| Hybrid Electric Vehicles (HEV) |
France Lithium-ion Battery For Electric Vehicle Market Research FAQs
How big is the France Lithium-ion Battery For Electric Vehicle Market?
The France Lithium-ion Battery For Electric Vehicle Market size is expected to reach USD 3.71 billion in 2024 and grow at a CAGR of 21.19% to reach USD 9.71 billion by 2029.
What is the current France Lithium-ion Battery For Electric Vehicle Market size?
In 2024, the France Lithium-ion Battery For Electric Vehicle Market size is expected to reach USD 3.71 billion.
Who are the key players in France Lithium-ion Battery For Electric Vehicle Market?
LG Energy Solution Ltd, Toshiba Corporation, Panasonic Holdings Corporation, Contemporary Amperex Technology Co. Limited and BYD Company Limited are the major companies operating in the France Lithium-ion Battery For Electric Vehicle Market.
What years does this France Lithium-ion Battery For Electric Vehicle Market cover, and what was the market size in 2023?
In 2023, the France Lithium-ion Battery For Electric Vehicle Market size was estimated at USD 2.92 billion. The report covers the France Lithium-ion Battery For Electric Vehicle Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the France Lithium-ion Battery For Electric Vehicle Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
France Lithium-ion Battery For Electric Vehicle Industry Report
Statistics for the 2024 France Lithium-ion Battery For Electric Vehicle market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. France Lithium-ion Battery For Electric Vehicle 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.
