India Electric Vehicle Battery Manufacturing Equipment Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 11.67 Million |
| Market Size (2029) | USD 33.96 Million |
| CAGR (2024 - 2029) | 23.81 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
India Electric Vehicle Battery Manufacturing Equipment Market Analysis
The India Electric Vehicle Battery Manufacturing Equipment Market size is estimated at USD 11.67 million in 2024, and is expected to reach USD 33.96 million by 2029, at a CAGR of 23.81% during the forecast period (2024-2029).
- Over the medium term, rising government policies and investments towards battery manufacturing and a decline in the cost of battery raw materials are expected to drive the demand for electric vehicle battery manufacturing equipment during the forecast period.
- On the other hand, the shortage of technological know-how in developing economies can significantly restrain the growth of the electric vehicle battery manufacturing equipment market.
- Nevertheless, the long-term ambitious targets for electric vehicles like scaling up production capacity, enhancing technological advancements, and reducing costs are expected to create significant opportunities for electric vehicle battery manufacturing equipment market players in the near future.
India Electric Vehicle Battery Manufacturing Equipment Market Trends
Decline in the Cost of Battery Raw Materials Drives the Market
- India's electric vehicle (EV) battery manufacturing industry is undergoing a transformation, driven by falling raw material costs. Key materials such as lithium, cobalt, nickel, and graphite have seen price reductions. This decline is not only lowering overall production costs but also making EV batteries more affordable, thus fueling the growth of the EV market.
- Lithium-ion (Li-ion) batteries have been at the forefront of the electric vehicle (EV) market revolution, spurring innovations in battery production. In recent years, global prices for lithium-ion batteries have dropped significantly, a trend that's set to continue. This price dip has played a crucial role in enhancing the affordability and accessibility of electric vehicles for a wider consumer base.
- For instance, Bloomberg NEF highlighted that, lithium-ion battery prices in 2023 marked a notable decline. Prices fell to USD 139/kWh, reflecting a 13% drop. Looking ahead, projections indicate this downward trend will continue, with prices expected to hit USD 113/kWh by 2025 and dive to USD 80/kWh by 2030, driven by relentless technological and manufacturing advancements.
- Moreover, India is making concerted efforts to ensure a stable and ethical supply of vital materials like lithium, cobalt, and nickel. However, this pursuit is fraught with challenges. To address the raw material conundrum, India is exploring its domestic reserves and establishing international collaborations. The country's focus is on harnessing its mineral wealth to meet the burgeoning demand for EV battery materials.
- For instance, in February 2023, the Geological Survey of India (GSI) discovered lithium reserves estimated at 5.9 million tonnes in the Salal-Haimana region of Jammu and Kashmir's Reasi district. Lithium, a non-ferrous metal, is crucial for battery energy storage systems and electric vehicle (EV) batteries. This find is set to cater to the rising lithium demand for EVs, subsequently amplifying the need for equipment in electric vehicle battery manufacturing.
- Additionally, the exploration of alternative materials and battery chemistries is diminishing the dependence on costly raw materials. This shift not only curtails expenses but also enhances the sustainability and efficiency of battery production. Companies are also investing in research and development to discover new materials that can further boost battery performance and longevity.
- For instance, in November 2023, SK On Co., a prominent player in the electric vehicle battery arena, teamed up with BASF SE, a leading battery materials producer. Their joint mission is to pioneer advanced materials for lithium-ion batteries, targeting markets in North America and the Asia-Pacific, with a keen focus on India. This partnership not only strengthens their market position but also comes at a time when the green automobile sector is witnessing a slowdown. Such advancements are poised to drive down battery prices and elevate the demand for EV battery manufacturing equipment in the foreseeable future.
- Such type of projects and inovations are likely to decline the cost of raw materials across the region and rising demand of EV battery manufacturing equipment during the forecast period.
Lithium-Ion Battery Type Dominate the Market
- In India, the rise of lithium-ion batteries has significantly shaped the electric vehicle (EV) battery manufacturing equipment industry. As the demand for lithium-ion batteries in EVs grows, so does the need for specialized manufacturing equipment. This includes machinery for producing electrodes, assembling cells, conducting formation and aging processes, and putting together battery packs. With a notable increase in EV sales in India, the parallel surge in battery demand highlights the urgent need for advanced manufacturing equipment to ensure efficient and scalable production.
- For instance, in 2023, the International Energy Agency (IEA) reported electric vehicle sales in India reached 82,000 units, marking a 70.8% increase from 2022 and an astonishing 119-fold jump from 2019. Projections indicate a continued surge in EV sales, further driving the demand for battery manufacturing equipment in the region.
- Moreover, there's a concerted effort to establish cutting-edge manufacturing facilities, backed by both local investments and partnerships with global technology providers. The focus is on producing high-quality lithium-ion batteries, a move set to drive innovation, enhance production capacity, and meet the growing appetite for advanced energy storage solutions.
- For instance, in July 2024, Ola Electric unveiled plans to invest USD 100 million in its Tamil Nadu gigafactory, aiming to produce indigenous lithium-ion batteries. The company intends to transition to its battery cells by early next year, moving away from current imports from Korea and China. Such strides are anticipated to boost the country's battery production and, in turn, elevate the demand for manufacturing equipment.
- In a bid to strengthen domestic EV battery production, the Indian government has introduced a suite of policies and incentives. These include subsidies for manufacturing equipment, tax incentives, and support for battery technology research and development.
- For instance, in 2023, the government set ambitious EV sales targets: by 2030, they aim for 30% of private cars, 70% of commercial vehicles, and a remarkable 80% of two and three-wheelers to be electric. Additionally, subsidy incentives have been introduced, ranging from INR 10,000 per kWh (USD 120) to INR 15,000 per kWh (USD 180). These initiatives are poised to not only boost EV production and sales but also significantly heighten the demand for battery manufacturing equipment in the coming years.
- In conclusion, with the government's backing and the industry's momentum, the demand for EV battery manufacturing equipment in India is set to witness a substantial rise in the foreseeable future.
India Electric Vehicle Battery Manufacturing Equipment Industry Overview
India's electric vehicle battery manufacturing equipment is moderately consolidated. Some key players (not in particular order) are Manz AG, Wirtz Manufacturing, Buhler AG, Sovema Group S.p.A, Hitachi Ltd., among others.
India Electric Vehicle Battery Manufacturing Equipment Market Leaders
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Wirtz Manufacturing India Pvt. Ltd.
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Manz AG
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Sovema Group S.p.A
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Hitachi Ltd.
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Buhler AG
*Disclaimer: Major Players sorted in no particular order
India Electric Vehicle Battery Manufacturing Equipment Market News
- August 2024: Neuron Energy secured INR 20 crore (USD 23.83 million) in Series A funding to advance its electric vehicle (EV) battery manufacturing initiatives. The capital boost will enhance Neuron Energy's research and development (R&D) capabilities, with plans to establish a cutting-edge R&D laboratory in Pune. This facility will focus on prolonging battery life, reducing charging durations, and developing advanced cooling packs.
- April 2024: Panasonic, a prominent Japanese conglomerate specializing in electronics, white goods, and tech solutions, has partnered with IndianOil (IOC), a public sector unit in India, to establish a joint venture. This collaboration is set to manufacture lithium-ion (Li-ion) batteries for electric vehicles, catering to the rising demand as India hastens its energy transition.
India Electric Vehicle Battery Manufacturing Equipment 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 Government Policies and Investments towards battery manufacturing
4.5.1.2 Decline in cost of battery raw materials
4.5.2 Restraints
4.5.2.1 Dearth of technological know-how in developing economies
4.6 Supply Chain Analysis
4.7 PESTLE ANALYSIS
4.8 Investment Analysis
5. MARKET SEGMENTATION
5.1 Process
5.1.1 Mixing
5.1.2 Coating
5.1.3 Calendering
5.1.4 Slitting and Electrode Making
5.1.5 Other Process
5.2 Battery
5.2.1 Lithium-ion
5.2.2 Lead-Acid
5.2.3 Nickel Metal Hydride Battery
5.2.4 Other Batteries
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 Manz AG
6.3.2 Hitachi Ltd.
6.3.3 Wirtz Manufacturing India Pvt. Ltd.
6.3.4 Buhler AG
6.3.5 Sovema Group S.p.A
6.3.6 Tata Chemicals
6.3.7 Luminous Power Technologies
6.3.8 kaya Power Group
6.3.9 ACME Cleantech Solutions
6.3.10 Inobat
- *List Not Exhaustive
6.4 List of Other Prominent Companies
6.5 Market Ranking Analysis
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Long-term ambitious targets for electric vehicles
India Electric Vehicle Battery Manufacturing Equipment Industry Segmentation
Electric vehicle battery manufacturing equipment encompasses the machinery, tools, and systems tailored for producing batteries specifically for electric vehicles (EVs). This equipment plays a pivotal role in multiple stages of the battery production process. These stages include Material Preparation and Processing, Electrode Manufacturing, Cell Assembly, Formation and Testing, Module and Pack Assembly, Quality Control and Inspection, as well as Automation and Handling.
India's electric vehicle battery manufacturing equipment market is Segmented by Process, Battery Type, and Geography. By process, the market is segmented into Mixing, Coating, Calendering, Slitting and Electrode Making, and Other Processes. By battery type, the market is segmented into Lithium-Ion Battery, Lead-Acid Battery, Nickel Metal Hydride Battery, and Others. The Report Offers the Market Size and Forecasts in Revenue (USD) for all the Above.
| Process | |
| Mixing | |
| Coating | |
| Calendering | |
| Slitting and Electrode Making | |
| Other Process |
| Battery | |
| Lithium-ion | |
| Lead-Acid | |
| Nickel Metal Hydride Battery | |
| Other Batteries |
India Electric Vehicle Battery Manufacturing Equipment Market Research Faqs
How big is the India Electric Vehicle Battery Manufacturing Equipment Market?
The India Electric Vehicle Battery Manufacturing Equipment Market size is expected to reach USD 11.67 million in 2024 and grow at a CAGR of 23.81% to reach USD 33.96 million by 2029.
What is the current India Electric Vehicle Battery Manufacturing Equipment Market size?
In 2024, the India Electric Vehicle Battery Manufacturing Equipment Market size is expected to reach USD 11.67 million.
Who are the key players in India Electric Vehicle Battery Manufacturing Equipment Market?
Wirtz Manufacturing India Pvt. Ltd., Manz AG, Sovema Group S.p.A, Hitachi Ltd. and Buhler AG are the major companies operating in the India Electric Vehicle Battery Manufacturing Equipment Market.
What years does this India Electric Vehicle Battery Manufacturing Equipment Market cover, and what was the market size in 2023?
In 2023, the India Electric Vehicle Battery Manufacturing Equipment Market size was estimated at USD 8.89 million. The report covers the India Electric Vehicle Battery Manufacturing Equipment Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the India Electric Vehicle Battery Manufacturing Equipment Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
India Electric Vehicle Battery Manufacturing Equipment Industry Report
Statistics for the 2024 India Electric Vehicle Battery Manufacturing Equipment market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. India Electric Vehicle Battery Manufacturing Equipment 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.
