"The global lithium-ion battery market is expected to grow at a compound annual growth rate of 14.3% over the 2018-2025 forecast period," said Adroit, a research institute for international Markets.
' Driven by growing demand for global electric vehicles, consumer electronics and energy storage solutions, the global market for lithium-ion batteries is estimated to exceed $100 billion by 2025.
Easy access, high energy density, low discharge rate and long life cycle are some of the key features that make lithium-ion batteries outperform similar products and are expected to boost global market revenue. At the same time, increasing investment in energy-saving technologies such as renewable energy is one of the key factors driving market growth.
In the Netherlands, for example, the energy investment Subsidy (EIA) program encourages such investments by providing investors with benefits such as tax breaks for investment. According to the International Renewable Energy Agency (IRENA), battery storage in fixed applications is expected to grow at least 17 times times by 2030.
Increased demand for stationary energy storage applications and the stimulation of electric vehicles (EV), particularly in developing countries, such as China, is expected to provide the main impetus for lithium-ion battery installations in the coming years. In 2017, consumer electronics accounted for more than 40% of the world's lithium-ion battery revenue market share. According to a recent survey, the global consumer penetration rate for consumers in 2018 is 26.4%, and is expected to grow to 34.1% by 2022.
The consumer electronics market continues to evolve due to the continuous technological advances of participants around the world. In addition, manufacturers are constantly inventing and introducing these categories of innovations to increase sales and increase profitability.
This has led to increased sales of sophisticated digital consumer products such as LCDs, televisions and laptops, thus becoming a key driver of growth in the consumer electronics sector. From the battery type, 2017 lithium-cobalt oxide battery sales dominate the global market, accounting for 34.4% of the total market revenue. Lithium-ion batteries are widely used in automotive, consumer electronics, power grid storage and other fields, including aerospace, medical, defense, and marine industries.
Consumption of lithium-ion batteries for consumer electronics has exceeded $15.5 billion in 2017 years, thus dominating the global market.
The growing interest in consumer electronics, such as smartphones, laptops and digital cameras, is one of the key factors in stimulating the global growth of lithium batteries, thanks to government support for raising awareness of digital benefits and improving lifestyles, particularly in developing regions. In addition, the advent of the Internet of Things (IoT) has led to groundbreaking innovations in wearable electronic devices such as fitness belts and smart watches. Changes in consumer preferences and the shift to smart wearable devices have added to the demand for lithium-ion batteries during the forecast period. And the growing focus on carbon emissions and deteriorating environmental standards has forced governments around the world to take the necessary action.
This has led to an increase in government subsidies, coupled with innovative tax policies in developed and developing countries. Increasing solar PV installations in the United States, China and Germany will surge overall product installations and boost overall market revenues. In August 2016, for example, Samsung SDI announced plans to establish a lithium-ion battery plant in Hungary. It is designed to produce batteries for 50,000 pure electric vehicles.
This will help the company have a competitive advantage over other players in the automotive battery industry. From a regional perspective, the Asia-Pacific region is the largest market for the lithium-ion battery market in 2017, accounting for about 48% of global industry. The growing popularity of electric vehicles and power grids, driven by falling prices and government-backed policies, is one of the growth factors.
