North America Rechargeable Battery Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 27.07 Billion |
| Market Size (2029) | USD 50.66 Billion |
| CAGR (2024 - 2029) | 13.35 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
North America Rechargeable Battery Market Analysis
The North America Rechargeable Battery Market size is estimated at USD 27.07 billion in 2024, and is expected to reach USD 50.66 billion by 2029, at a CAGR of 13.35% during the forecast period (2024-2029).
- Over the medium term, declining lithium-ion battery prices, increasing adoption of electric vehicles, and the growing renewable energy sector are expected to drive the North American rechargeable battery market during the forecast period.
- On the other hand, the demand-supply mismatch of raw materials is expected to hinder the market's growth during the forecast period.
- Nevertheless, the growing progress in developing new battery technologies and advanced battery chemistries will likely create significant opportunities for the North America rechargeable battery market.
- The United States is expected to dominate the market in the upcoming years due to the expansion of the electric vehicle industry and the increasing adoption of batteries as energy storage systems in various renewable energy projects.
North America Rechargeable Battery Market Trends
Automotive Application to Witness Significant Growth
- In the coming years, automotive applications, especially electric vehicles (EVs), are poised to be a dominant segment for rechargeable batteries, predominantly lithium-ion batteries. North America's rechargeable battery industry is set to experience significant growth, largely driven by the rising adoption of electric vehicles.
- Additionally, lead-acid batteries play a crucial role in the automotive industry's starting, lighting, and ignition (SLI) accessories. These SLI batteries provide the essential initial power burst needed to start a vehicle's engine, and they are generally smaller and lighter than deep-cycle batteries.
- The United States stands out as a leading market for electric vehicles in the region. For instance, the International Energy Agency (IEA) reported that battery electric vehicle (BEV) sales in the United States reached approximately 1.1 million units in 2023, marking a 37% increase from 2022. In comparison, Canada and Mexico recorded BEV sales of about 130 thousand and 13 thousand units, respectively. This surge in EV adoption is set to boost the demand for rechargeable batteries across North America.
- Moreover, the Office of Energy Efficiency and Renewable Energy highlighted that in early 2023, the United States government announced plans for electric vehicle battery plants in North America. Manufacturing capacity in the region is projected to soar from 55 gigawatts per year (GWh/year) in 2021 to a staggering 1000 GWh/year by 2030. Most of the upcoming projects are slated to commence production between 2025 and 2030, underscoring the anticipated growth of the rechargeable battery market for automotive applications.
- In July 2023, the Canadian government partnered with car manufacturer Stellantis to establish an electric vehicle battery plant in Windsor, Ontario. Under the agreement, the Canadian government is set to provide Stellantis with approximately USD 11 billion in incentives, aimed at bolstering the clean energy supply chain. This move is expected to further solidify the rechargeable battery market for automotive applications in Canada.
- In early 2023, BMW, the German automaker, declared an investment of EUR 800 million in San Luis Potosi, Mexico. This investment is aimed at producing high-voltage batteries and the fully electric "Neue Klasse" models. BMW's expansion plans allocate over half of the investment to Mexico, with USD 539 million dedicated to the battery assembly center at the existing plant and the remaining USD 323 million for adapting the body shop and establishing a new assembly line for battery pack installation. Such initiatives are expected to bolster the rechargeable battery market growth in North America's automotive sector.
- Furthermore, as lithium-ion battery prices decline and battery technologies advance, the market is likely to see the emergence of price-competitive electric vehicles, further fueling the demand for rechargeable batteries.
The United States to Dominate the Market
- Driven by the surging demand for consumer electronics, electric vehicles (EVs), and battery-based energy storage projects, coupled with an expanding renewable power infrastructure and a robust industrial base, the United States has emerged as a global hotspot for rechargeable batteries. These dynamics solidify the United States' position as North America's leading market for rechargeable batteries.
- In recent years, the battery energy storage system (BESS) in the United States has witnessed significant growth, bolstered by government initiatives and rising investments in renewable energy. The United States stands out as a global leader in renewable energy, with the International Renewable Energy Agency (IRENA) reporting that from 2014 to 2023, the nation's renewable energy capacity more than doubled, reaching over 385 GW by 2023.
- With the rapid growth in renewable power generation, the United States faces challenges in grid stability due to high renewable integration. Given the intermittent nature of solar and wind energy, it's crucial to store this energy during peak demand. This need bolsters the demand for BESS in the United States, subsequently driving the growth of rechargeable batteries.
- According to the United States Energy Information Administration (EIA), the nation's battery storage capacity, which has been on the rise since 2021, is projected to grow by 89% by the end of 2024, contingent on developers meeting their commercial operation dates. Developers aim to push the United States battery capacity beyond 30 GW by the end of 2024, surpassing capacities of petroleum liquids, geothermal sources, wood waste, and landfill gas.
- As of 2023, California leads with the highest installed battery storage capacity at 7.3 GW, followed by Texas at 3.2 GW, while other states collectively hold around 3.5 GW. The EIA notes that the combined United States utility-scale battery capacity reached about 16 GW at the end of 2023, with plans for an additional 15 GW in 2024 and 9 GW in 2025. This trajectory indicates a burgeoning demand for rechargeable battery technologies in the coming years.
- As electronic components shrink and processing power escalates, the popularity of consumer electronics is on the rise. These advanced devices demand lightweight, sophisticated battery packs. The surge in smartphone and laptop consumption, highlighted by the Consumer Technology Association's report of United States smartphone sales jumping from USD 33.7 billion in 2012 to approximately USD 74.7 billion in 2022, underscores the growing demand for lithium-ion batteries in portable devices.
- Given these factors, the United States is poised to lead North America's rechargeable battery market, buoyed by urbanization, rising consumer spending, and a shift towards advanced devices and vehicles.
North America Rechargeable Battery Industry Overview
The North America rechargeable battery market is fragmented. Some of the key players in the market (not in any particular order) include Panasonic Corporation, Contemporary Amperex Technology Co. Limited, Tesla Inc., EnerSys, and Samsung SDI Co. Ltd.
North America Rechargeable Battery Market Leaders
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Panasonic Corporation
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Contemporary Amperex Technology Co. Limited
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Tesla Inc.
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EnerSys
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Samsung SDI Co. Ltd.
*Disclaimer: Major Players sorted in no particular order
North America Rechargeable Battery Market News
- November 2023: The U.S. Department of Energy (DOE) unveiled plans to allocate up to USD 3.5 billion from the Infrastructure Law. This initiative aims to bolster the domestic production of advanced batteries and their materials across the nation. Aligned with President Biden’s "Investing in America" agenda, this funding is set to establish, retrofit, and expand domestic facilities. These facilities will focus on processing critical minerals for batteries, producing battery precursor materials, and manufacturing essential battery components, cells, and packs. Such advancements are pivotal for supporting the clean energy industries of the future, including renewable energy and electric vehicles.
- October 2023: Umicore is moving forward with the construction of a 35 GWh equivalent battery materials production plant in Loyalist, ON, targeting the North American market for electric vehicle (EV) batteries. Given the plant's pivotal role in bolstering the North American EV supply chain and enhancing the EV battery ecosystem, Umicore is poised to secure significant financial support from the Governments of Canada and Ontario. As per Umicore, the facility will be adept at producing cutting-edge high-nickel technologies and is also set to accommodate future battery chemistries, such as manganese-rich HLM and solid-state batteries. Furthermore, the plant is slated for commissioning by the end of 2025, with production set to commence in 2026.
North America Rechargeable Battery 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
4.5.1.2 Declining Lithium-ion Battery Cost
4.5.2 Restraints
4.5.2.1 Demand-Supply Mismatch of Raw Materials
4.6 Supply Chain Analysis
4.7 Industry Attractiveness - Porter's Five Forces Analysis
4.7.1 Bargaining Power of Suppliers
4.7.2 Bargaining Power of Consumers
4.7.3 Threat of New Entrants
4.7.4 Threat of Substitutes Products and Services
4.7.5 Intensity of Competitive Rivalry
4.8 Investment Analysis
5. MARKET SEGMENTATION
5.1 Technology
5.1.1 Lead-Acid
5.1.2 Lithium-Ion
5.1.3 Other Technologies (NiMh, Nicd, etc.)
5.2 Application
5.2.1 Automotive Batteries
5.2.2 Industrial Batteries (Motive, Stationary (Telecom, UPS, Energy Storage Systems (ESS), etc.)
5.2.3 Portable Batteries (Consumer Electronics, etc.)
5.2.4 Other Applications
5.3 Geography
5.3.1 United States
5.3.2 Canada
5.3.3 Rest of North America
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 Panasonic Corporation
6.3.2 Contemporary Amperex Technology Co. Limited
6.3.3 Tesla Inc.
6.3.4 EnerSys
6.3.5 Samsung SDI Co. Ltd
6.3.6 Duracell Inc.
6.3.7 Exide Technologies
6.3.8 Clarios, LLC.
6.3.9 LG Chem Ltd.
6.3.10 Johnson Controls International PLC
6.3.11 BYD Co.Ltd.
- *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 Progress in Developing New Battery Technologies and Advanced Battery Chemistries
North America Rechargeable Battery Industry Segmentation
Rechargeable batteries are energy storage devices designed to be refill with electrical power after use, enabling multiple cycles of discharge and recharge. Unlike disposable batteries, which are single-use and must be replaced once depleted, rechargeable batteries can be reused numerous times, making them more cost-effective and environmentally friendly. These batteries come in various chemistries such as lithium-ion, nickel-metal hydride, and lead-acid, each offering different performance characteristics suited for various applications ranging from small electronic devices to electric vehicles.
The North America rechargeable battery charging equipment market is segmented into Technology, Application, and Geography. By technology, the market is segmented into lead-acid, lithium-ion, and other technologies (NiMh, NiCd, etc). By application, the market is segmented into automotive batteries, industrial batteries (motive, stationary (telecom, UPS, energy storage systems (ESS), etc.), portable batteries (consumer electronics, etc.), and other applications. The report also covers the market size and forecasts for the North America rechargeable battery market across major countries. The report offers the market size and forecasts for the market in revenue (USD) for all the above segments.
| Technology | |
| Lead-Acid | |
| Lithium-Ion | |
| Other Technologies (NiMh, Nicd, etc.) |
| Application | |
| Automotive Batteries | |
| Industrial Batteries (Motive, Stationary (Telecom, UPS, Energy Storage Systems (ESS), etc.) | |
| Portable Batteries (Consumer Electronics, etc.) | |
| Other Applications |
| Geography | |
| United States | |
| Canada | |
| Rest of North America |
North America Rechargeable Battery Market Research Faqs
How big is the North America Rechargeable Battery Market?
The North America Rechargeable Battery Market size is expected to reach USD 27.07 billion in 2024 and grow at a CAGR of 13.35% to reach USD 50.66 billion by 2029.
What is the current North America Rechargeable Battery Market size?
In 2024, the North America Rechargeable Battery Market size is expected to reach USD 27.07 billion.
Who are the key players in North America Rechargeable Battery Market?
Panasonic Corporation, Contemporary Amperex Technology Co. Limited, Tesla Inc., EnerSys and Samsung SDI Co. Ltd. are the major companies operating in the North America Rechargeable Battery Market.
What years does this North America Rechargeable Battery Market cover, and what was the market size in 2023?
In 2023, the North America Rechargeable Battery Market size was estimated at USD 23.46 billion. The report covers the North America Rechargeable Battery Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the North America Rechargeable Battery Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
North America Rechargeable Battery Industry Report
Statistics for the 2024 North America Rechargeable Battery market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. North America Rechargeable Battery 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.
