- The market is driven by the growing demand for smartphones and electronic devices globally along with the growing market of electric vehicles
- The ‘3,000–10,000 mAH’ category in power capacity segmentation is anticipated to grow at the highest rate in the forecast period
The global lithium-ion battery market will reach $80 billion by 2026 as per a report by Facts and Factors. It stood at $30 billion in 2019 as per the report and will grow at a compound annual growth rate (CAGR) of 15 per cent from 2020 to 2027.
Lithium-ion battery is a rechargeable battery with advanced technology that uses lithium ions as a key component in electrochemistry. They are used in portable electronics applications and electric vehicles and noe being used in aerospace and military applications more and more.
Right mix of cost, weight, performance, and size
The report adds, “No scheduled cycling is required for a lithium-ion battery to prolong its life and as compared to nickel-cadmium, the self-discharge of lithium-ion battery is less than half which makes it suitable for modern fuel gauge application. However, the lithium-ion battery is fragile and to maintain the operation of the battery it requires protection to the circuit as it virtually eliminates the possibility of occurring metallic lithium plating.”
Lithium-ion batteries are used in consumer electronics and are being increasingly used in portable consumer electronics due to its safety levels and high energy density. They hold major application in automotive sector. Lithium-ion batteries have the right mix of cost, weight, performance, and size which makes them the right choice for electric vehicles.
Lithium cobalt oxide (LCO) batteries
The report said that the market is driven by the growing demand for smartphones and electronic devices globally along with the growing market of electric vehicles. Strict government regulations due to the growing pollution levels are anticipated to boost the electric vehicles market. This will have a significant demand for lithium-ion batteries. The high price of lithium-ion batteries is anticipated to restrain market growth. The increasing demand for other kind s of batteries such as flow battery, lead-acid, lithium-air, and sodium nickel chloride batteries in consumer electronics, energy storage systems, and electric vehicles is anticipated to hamper the market growth in the upcoming years.
The ‘3,000–10,000 mAH’ category in power capacity segmentation is anticipated to grow at the highest rate in the forecast period. Lithium cobalt oxide (LCO) batteries are usually equipped in mobile phones, digital cameras, laptops, and other similar electronic gadgets. Due to the high sales of smartphones and gadgets in the past few years with a significant drop in the market price of these gadgets, the LCO battery segment held the leading position in the global industry. The lithium nickel manganese cobalt (Li-NMC) battery segment is projected to grow at a good rate during the study timeframe owing to the high energy density of the batteries.