Market Size of nmc battery pack Industry
| Icons | Lable | Value |
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Study Period | 2017 - 2029 |
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Market Size (2024) | USD 34.49 Billion |
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Market Size (2029) | USD 60.62 Billion |
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Largest Share by Propulsion Type | BEV |
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CAGR (2024 - 2029) | 11.94 % |
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Largest Share by Region | Asia-Pacific |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
NMC Battery Pack Market Analysis
The NMC Battery Pack Market size is estimated at 34.49 billion USD in 2024, and is expected to reach 60.62 billion USD by 2029, growing at a CAGR of 11.94% during the forecast period (2024-2029).
34.49 Billion
Market Size in 2024 (USD)
60.62 Billion
Market Size in 2029 (USD)
23.56 %
CAGR (2017-2023)
11.94 %
CAGR (2024-2029)
Largest Segment by Body Type
79.86 %
value share, Passenger Car, 2023
Affordable models, government rebates and subsidies, EV advantages over conventional automobiles, and regulatory requirements drove electric car sales globally.
Largest Segment by Propulsion Type
89.53 %
value share, BEV, 2023
BEVs have the strongest global electric vehicle sales growth due to their easy affordability, low maintenance cost, zero emissions, and no fuel costs.
Largest Segment by Battery Form
67.57 %
value share, Prismatic, 2023
Prismatic batteries dominate the worldwide NCM battery pack market due to cheap cost, easy construction due to less electrical joints, high energy density, and safety.
Leading Market Player
35.72 %
market share, Contemporary Amperex Technology Co. Ltd. (CATL), 2022
Contemporary Amperex Technology Co., Ltd. dominates global NMC battery pack market due to its strong manufacturing, well established sales channel, and large exports.
Largest Segment by Capacity
47.49 %
value share, 15 kWh to 40 kWh, 2023
The global NMC battery packs market is dominated by sales of cost-effective EVs, which account for the vast bulk of EV sales with battery capacity 15 kWh to 40 kWh.
NMC battery demand is rising with a shift toward battery electric passenger cars
- Electric mobility in various countries globally has grown significantly over the past few years, positively impacting the demand for various types of batteries. NMC battery type is being opted for by various auto manufacturers in BEV and PHEV. However, the battery type is growing gradually, and major demand is coming from European manufacturers. As a result of the government's stringent norms and banning of fossil fuel vehicles in the near future, people are shifting to opt for BEVs and PHEVs. Due to these factors, the NMC battery type registered a growth of 109.56% in 2021 over 2017 globally.
- The major demand for NMC batteries for PHEV and BEV comes from European countries such as Italy, one of the prominent users of NMC batteries, accounting for more than 25% of overall battery usage in BEV and PHEV, followed by France and Germany. Various regions, such as Asia-Pacific and North America, are also witnessing a significant growth in the demand for BEV and PHEV, contributing to the growth of NMC battery demand globally. As a result, NMC batteries used in electric vehicles grew by 115.66% in 2022 over 2021 globally.
- Various automakers are launching new products expected to enhance the battery industry. In November 2022, Audi launched its all-new battery electric SUV q8 e-tron for the European market. The car is equipped with a 114 kWh NMC battery, offering a range of 600 km on a single charge. Such launches in other countries are expected to accelerate the demand and sales of the NMC batteries in BEV and PHEV during the forecast period globally.
Understand The Key Trends Shaping This Market
There is growth in EVs and a shift in consumers toward performance-oriented vehicles
- The demand for several kinds of batteries, including NMC, was affected by the rapid increase in the electrification of vehicles in recent years across a wide range of countries. The tremendous growth of EVs during the historical period can be attributed to the introduction of stringent norms by the government for electric vehicles, the many advantages of EVs over conventional fuel vehicles, and government subsidies, tax offs, and rebates. The demand for NMC batteries has risen as more people choose vehicles with fast-charging and high-density batteries. This led to a global rise in the demand for NMC batteries of 109.56% over 2017-2023, with the demand mostly from the Americas and Europe.
- Electric cars are one of the major contributors to the demand for NMC batteries in the overall battery pack sales, followed by light trucks and buses. The growth in the demand for EVs in 2022 in various countries globally increased the demand for batteries, majorly driven by China and the United States by around 70% in 2022. As a result, the global demand of NMC EV battery packs witnessed a growth of 115.78% in 2022 over the previous year. Various emerging markets, such as Italy and Thailand, are expected to increase the sales of EVs, which further will increase the demand for NMC batteries in the near future globally.
- Globally, many companies are setting various objectives to support the zero-emission goal. In April 2023, the American automaker Ford announced plans to produce 600,000 electric vehicles by the end of 2023 and 2 million vehicles by the end of 2026. Such objectives in various countries are expected to drive the demand for NMC batteries during 2024-2029.
NMC Battery Pack Industry Segmentation
Bus, LCV, M&HDT, Passenger Car are covered as segments by Body Type. BEV, PHEV are covered as segments by Propulsion Type. 15 kWh to 40 kWh, 40 kWh to 80 kWh, Above 80 kWh, Less than 15 kWh are covered as segments by Capacity. Cylindrical, Pouch, Prismatic are covered as segments by Battery Form. Laser, Wire are covered as segments by Method. Anode, Cathode, Electrolyte, Separator are covered as segments by Component. Cobalt, Lithium, Manganese, Natural Graphite, Nickel are covered as segments by Material Type. Asia-Pacific, Europe, Middle East & Africa, North America, South America are covered as segments by Region.
- Electric mobility in various countries globally has grown significantly over the past few years, positively impacting the demand for various types of batteries. NMC battery type is being opted for by various auto manufacturers in BEV and PHEV. However, the battery type is growing gradually, and major demand is coming from European manufacturers. As a result of the government's stringent norms and banning of fossil fuel vehicles in the near future, people are shifting to opt for BEVs and PHEVs. Due to these factors, the NMC battery type registered a growth of 109.56% in 2021 over 2017 globally.
- The major demand for NMC batteries for PHEV and BEV comes from European countries such as Italy, one of the prominent users of NMC batteries, accounting for more than 25% of overall battery usage in BEV and PHEV, followed by France and Germany. Various regions, such as Asia-Pacific and North America, are also witnessing a significant growth in the demand for BEV and PHEV, contributing to the growth of NMC battery demand globally. As a result, NMC batteries used in electric vehicles grew by 115.66% in 2022 over 2021 globally.
- Various automakers are launching new products expected to enhance the battery industry. In November 2022, Audi launched its all-new battery electric SUV q8 e-tron for the European market. The car is equipped with a 114 kWh NMC battery, offering a range of 600 km on a single charge. Such launches in other countries are expected to accelerate the demand and sales of the NMC batteries in BEV and PHEV during the forecast period globally.
| Body Type | |
| Bus | |
| LCV | |
| M&HDT | |
| Passenger Car |
| Propulsion Type | |
| BEV | |
| PHEV |
| Capacity | |
| 15 kWh to 40 kWh | |
| 40 kWh to 80 kWh | |
| Above 80 kWh | |
| Less than 15 kWh |
| Battery Form | |
| Cylindrical | |
| Pouch | |
| Prismatic |
| Method | |
| Laser | |
| Wire |
| Component | |
| Anode | |
| Cathode | |
| Electrolyte | |
| Separator |
| Material Type | |
| Cobalt | |
| Lithium | |
| Manganese | |
| Natural Graphite | |
| Nickel | |
| Other Materials |
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| Middle East & Africa | ||||||||||||
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| South America |
Need A Different Region Or Segment?
NMC Battery Pack Market Size Summary
The NMC Battery Pack Market is experiencing significant growth, driven by the increasing adoption of electric vehicles (EVs) worldwide. This growth is largely attributed to the rising demand for battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs), particularly in Europe, where stringent government regulations and a shift away from fossil fuels are encouraging consumers to opt for electric mobility solutions. The market is witnessing a surge in demand from major automotive manufacturers, with European countries like Italy, France, and Germany leading the charge. The Asia-Pacific and North American regions are also contributing to the global demand for NMC batteries, as the electrification of vehicles continues to gain momentum. The introduction of new electric vehicle models, such as Audi's q8 e-tron, equipped with advanced NMC batteries, is expected to further accelerate market growth during the forecast period.
The NMC Battery Pack Market is characterized by a high level of consolidation, with leading companies such as BYD Company Ltd., China Aviation Battery Co. Ltd. (CALB), Contemporary Amperex Technology Co. Ltd. (CATL), Guoxuan High-tech Co. Ltd., and LG Energy Solution Ltd. dominating the landscape. These companies are actively expanding their operations and investing in research and development to enhance their market positions. The demand for NMC batteries is primarily driven by the growing sales of electric vehicles, with significant contributions from China and the United States. The market's expansion is supported by the increasing consumer preference for fast-charging and high-density batteries, as well as government incentives and subsidies promoting electric mobility. As the market continues to evolve, the focus on zero-emission goals and the development of innovative electric vehicle models are expected to sustain the upward trajectory of the NMC Battery Pack Market.
NMC Battery Pack Market Size - Table of Contents
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1. MARKET SEGMENTATION (includes market size in Value in USD and Volume, Forecasts up to 2029 and analysis of growth prospects)
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1.1 Body Type
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1.1.1 Bus
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1.1.2 LCV
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1.1.3 M&HDT
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1.1.4 Passenger Car
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1.2 Propulsion Type
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1.2.1 BEV
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1.2.2 PHEV
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1.3 Capacity
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1.3.1 15 kWh to 40 kWh
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1.3.2 40 kWh to 80 kWh
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1.3.3 Above 80 kWh
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1.3.4 Less than 15 kWh
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1.4 Battery Form
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1.4.1 Cylindrical
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1.4.2 Pouch
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1.4.3 Prismatic
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1.5 Method
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1.5.1 Laser
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1.5.2 Wire
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1.6 Component
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1.6.1 Anode
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1.6.2 Cathode
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1.6.3 Electrolyte
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1.6.4 Separator
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1.7 Material Type
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1.7.1 Cobalt
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1.7.2 Lithium
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1.7.3 Manganese
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1.7.4 Natural Graphite
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1.7.5 Nickel
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1.7.6 Other Materials
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1.8 Region
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1.8.1 Asia-Pacific
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1.8.1.1 By Country
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1.8.1.1.1 China
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1.8.1.1.2 India
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1.8.1.1.3 Japan
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1.8.1.1.4 South Korea
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1.8.1.1.5 Thailand
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1.8.1.1.6 Rest-of-Asia-Pacific
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1.8.2 Europe
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1.8.2.1 By Country
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1.8.2.1.1 France
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1.8.2.1.2 Germany
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1.8.2.1.3 Hungary
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1.8.2.1.4 Italy
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1.8.2.1.5 Poland
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1.8.2.1.6 Sweden
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1.8.2.1.7 UK
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1.8.2.1.8 Rest-of-Europe
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1.8.3 Middle East & Africa
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1.8.4 North America
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1.8.4.1 By Country
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1.8.4.1.1 Canada
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1.8.4.1.2 US
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1.8.5 South America
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NMC Battery Pack Market Size FAQs
How big is the NMC Battery Pack Market?
The NMC Battery Pack Market size is expected to reach USD 34.49 billion in 2024 and grow at a CAGR of 11.94% to reach USD 60.62 billion by 2029.
What is the current NMC Battery Pack Market size?
In 2024, the NMC Battery Pack Market size is expected to reach USD 34.49 billion.
