United States Electric Vehicle Battery Anode Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 0.23 Billion |
| Market Size (2029) | USD 0.61 Billion |
| CAGR (2024 - 2029) | 21.46 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
United States Electric Vehicle Battery Anode Market Analysis
The United States Electric Vehicle Battery Anode Market size is estimated at USD 0.23 billion in 2024, and is expected to reach USD 0.61 billion by 2029, at a CAGR of 21.46% during the forecast period (2024-2029).
- Over the medium period, supportive government policies and investments in battery manufacturing, and the decreasing price of lithium-ion batteries are expected to drive the market in the forecast period.
- On the other hand, insufficient domestic manufacturing of anode materials is expected to restrain market growth in the future.
- However, ongoing research and advancements in anode materials and efficient electrolytes present promising opportunities for market growth.
United States Electric Vehicle Battery Anode Market Trends
Lithium-ion Battery is Expected to Have a Major Share
- In the United States, all-electric vehicles and PHEVs predominantly utilize lithium-ion batteries, with chemistries that often differ from those in consumer electronics. The reason behind the drastic adoption of such batteries in electric vehicles is their high energy per unit mass and volume relative to other electrical energy storage systems. They also have a high power-to-weight ratio, high energy efficiency, high-temperature performance, long life, and low self-discharge.
- Additionally, falling material prices for lithium-ion batteries are proving advantageous for EV battery manufacturers. As production of EV lithium-ion batteries scales up, the demand for anodes in their manufacturing is set to increase. This trend not only signals a boost in innovation and efficiency within the sector but also strengthens the global competitiveness of EV battery manufacturers.
- For example, in 2023, lithium-ion battery pack prices dropped by 14% from the previous year, settling at USD139/kWh. This decline in battery prices translates to more affordable EVs, spurring adoption and expanding the electric vehicle market share. Such heightened demand will lead to increased consumption of battery components, notably the anode, and propel technological advancements for enhanced battery performance.
- Ongoing R&D initiatives are focused on developing more stable and efficient anode materials for lithium-ion batteries in electric vehicles, further underscoring the anticipated rise in demand for these anodes.
- For instance, in December 2023, Sila Nanotechnologies, Inc., a US-based battery materials firm, partnered with Panasonic to craft electric vehicle batteries featuring silicon anodes. Sila claims their nano-composite silicon anode material could offer a 20% range boost over the conventional graphite-based anodes in today's lithium-ion batteries.
- Looking ahead, with fresh investments pouring into EV lithium-ion battery manufacturing in the United States, the appetite for anode materials is set to surge. For instance, in June 2025, ExxonMobil entered a non-binding memorandum of understanding with SK On, an EV battery developer, to deliver 100,000 metric tons of Mobil Lithium from its inaugural project in Arkansas. ExxonMobil has ambitious plans, targeting lithium supply for approximately 1 million EV batteries annually by 2030, bolstering the U.S. EV supply chain.
- Given the rising adoption of lithium-ion batteries in electric vehicles and the declining prices, the segment for lithium-ion battery anodes is poised for significant growth in the coming years.
Government Policies and Investments Towards Battery Manufacturing is Expected to Drive the Market
- In recent years, the United States electric vehicle (EV) battery manufacturing has surged, due to supportive government policies. These policies, encompassing tax incentives, subsidies, grants, and loans, have played a pivotal role. Notably, federal initiatives like the Advanced Technology Vehicles Manufacturing (ATVM) loan program are channeling funds into the development of cutting-edge battery technologies and their manufacturing facilities.
- With electric vehicle sales on the rise, the government is likely to introduce more policies to further stimulate battery manufacturing. This, in turn, will heighten the demand for EV battery anodes domestically. Data from the International Energy Agency highlights this trend: in 2023, the United States EV car sales reached 1.39 million units, a notable increase from 0.99 million in 2022.
- Moreover, the government is actively pushing for new legislation to expand domestic battery manufacturing. This includes not just the batteries themselves but also crucial components like anodes, cathodes, and separators. Such moves aim to strengthen America's supply chains for EV batteries and facilitate the transition to clean energy.
- For example, in April 2024, Sicona Battery Technologies, hailing from Australia, revealed plans for its inaugural silicon-carbon anode materials production facility in the Southeastern U.S. Looking ahead, Sicona targets an annual output of 26,500 tons by the early 2030s, enough to power over 3.25 million electric vehicles each year.
- Additionally, the government has rolled out multiple initiatives and policies, signaling a bullish outlook on electric vehicle demand. A case in point: in March 2024, the U.S. introduced new regulations on car tailpipe emissions, a move aimed at amplifying EV sales and curbing greenhouse gas emissions. The U.S. Environmental Protection Agency (EPA) projects these regulations could lead to 30 to 56 percent of new cars being electric between 2030 and 2032. This is a shift from the EPA's previous forecast, which anticipated EVs would make up 60 percent of new car sales by 2030, climbing to 67 percent by 2032. Such policies are poised to bolster the demand for electric vehicle battery manufacturing in the coming years.
- In conclusion, with the backing of government policies and investments, the trajectory for battery manufacturing looks promising.
United States Electric Vehicle Battery Anode Industry Overview
The United States electric vehicle battery anode market is semi-consolidated. Some of the major players in the market (in no particular order) include NEI Corporation, Ltd., Group14 Technologies, Sionic Energy, Mitsubishi Chemical Group., and LG Chemical Group.
United States Electric Vehicle Battery Anode Market Leaders
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NEI Corporation, Ltd.
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Group14 Technologies
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Sionic Energy
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Mitsubishi Chemical Group
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LG Chemical Group
*Disclaimer: Major Players sorted in no particular order
United States Electric Vehicle Battery Anode Market News
- July 2024: Group14 Technologies, a United States based manufacturer of silicon anode materials, has entered into a multi-year supply agreement with CustomCells, a German battery producer. The agreement centers around the supply of SCC55, a silicon-carbon anode material. Valued at over 300 million U.S. dollars, the contract extends its reach beyond 2030.
- April 2024: Green Li-ion, a leader in lithium-ion battery recycling technology, has launched its first commercial-scale facility in the United States. Located within an existing recycling center, this plant aims to produce high-quality battery-grade cathode and anode materials, bolstering the sustainability efforts of the electric vehicle sector.
United States Electric Vehicle Battery Anode 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 Insufficient Domestic Manufacturing of Anode Materials
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
5.1.2 Lead-Acid
5.1.3 Other Battery Types
5.2 Material
5.2.1 Lithium
5.2.2 Graphite
5.2.3 Silicon
5.2.4 Others
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 NEI Corporation, Ltd.
6.3.2 Group14 Technologies
6.3.3 Sionic Energy
6.3.4 Mitsubishi Chemical Group.
6.3.5 Sicona Battery Technologies
6.3.6 Targray Industries Inc.
6.3.7 Sila Nanotechnologies
6.3.8 LG Chemical Group
6.3.9 Nexeon ltd
6.3.10 Amprius Technologies
- *List Not Exhaustive
6.4 List of Other Prominent Companies
6.5 Market Ranking Analysis
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 The Increasing Research and Development of Other Anode Materials
United States Electric Vehicle Battery Anode Industry Segmentation
An electric vehicle (EV) battery anode is one of the two main electrodes in a battery, the other being the cathode. In the context of EV batteries, which are typically lithium-ion batteries, the anode is usually made of graphite.
The United States electric vehicle battery anode market is segmented by battery type and material. By battery type, the market is segmented into lithium-ion batteries, lead-acid batteries, and others. By material, the market is segmented into lithium, graphite, silicon, and others.
For each segment, the market sizing and forecasts have been done on the basis of revenue (USD).
| Battery Type | |
| Lithium-ion | |
| Lead-Acid | |
| Other Battery Types |
| Material | |
| Lithium | |
| Graphite | |
| Silicon | |
| Others |
United States Electric Vehicle Battery Anode Market Research Faqs
How big is the United States Electric Vehicle Battery Anode Market?
The United States Electric Vehicle Battery Anode Market size is expected to reach USD 0.23 billion in 2024 and grow at a CAGR of 21.46% to reach USD 0.61 billion by 2029.
What is the current United States Electric Vehicle Battery Anode Market size?
In 2024, the United States Electric Vehicle Battery Anode Market size is expected to reach USD 0.23 billion.
Who are the key players in United States Electric Vehicle Battery Anode Market?
NEI Corporation, Ltd., Group14 Technologies, Sionic Energy, Mitsubishi Chemical Group and LG Chemical Group are the major companies operating in the United States Electric Vehicle Battery Anode Market.
What years does this United States Electric Vehicle Battery Anode Market cover, and what was the market size in 2023?
In 2023, the United States Electric Vehicle Battery Anode Market size was estimated at USD 0.18 billion. The report covers the United States Electric Vehicle Battery Anode Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the United States Electric Vehicle Battery Anode Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
United States Electric Vehicle Battery Anode Industry Report
Statistics for the 2024 United States Electric Vehicle Battery Anode market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United States Electric Vehicle Battery Anode 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.
