The global lead-acid battery market is expected to grow significantly from US$62.6 billion in 2024 to US$106.8 billion in 2034, at a compound annual growth rate (CAGR) of 5.6% over the next decade.
This growth is driven by rising demand from various industries such as telecommunications, manufacturing, automotive, mining, oil and gas and chemicals. Lead-acid batteries remain a popular choice among end users due to their affordability, overcharging protection, wide range of sizes and characteristics, and ability to handle high currents.
Manufacturers are also emphasizing the recyclability of lead-acid batteries to promote their adoption. In many regions, recycling rates exceed 90%, which not only helps reduce battery costs, but also saves resources and minimizes environmental impact, making lead-acid batteries a more attractive option. Additionally, the growing popularity of electric vehicles (EVs) is expected to further increase the demand for lead-acid batteries in the coming years.
“Major players should integrate advanced technologies into their production processes to ensure efficient production of lead-acid batteries,” FMI analysts said.
Key factors driving demand for lead-acid batteries include initiatives to introduce clean energy solutions in the automotive industry. A leading lead-acid battery company is working to expand its manufacturing and distribution capabilities in various countries. To improve their industrial research activities, some companies work directly with regional manufacturers.
Additionally, advances in transportation technologies such as hybrid vehicles, battery-powered vehicles, or electric vehicles will be a stronger driver of market growth.
Lead-acid batteries are widely used in various end-use industries such as automotive, uninterruptible power supply (UPS) and telecommunications. Demand for lead-acid batteries in the transportation industry is growing rapidly as governments in emerging economies support clean energy and environmentally friendly transportation methods.
The transportation sector is one of the main end users of lead-acid batteries. Regionally, China has become a lucrative market for the production and export of lead-acid batteries. This can be attributed to the growing demand from the country’s automobile industry coupled with the introduction of advanced technologies and higher production capabilities.
The growing demand for e-bikes from the transportation sector in both developed and developing countries is expected to provide significant growth opportunities to the players in the lead-acid battery market.
Increasing consumption of lead-acid batteries by two-wheeler, passenger vehicle, heavy vehicle and commercial vehicle manufacturers is expected to support global demand for lead-acid batteries.
The growing demand for e-bikes to reduce maintenance and replacement costs and reduce dependence on traditional fuel technologies is a key driver for the lead-acid battery market.
Post time: Sep-18-2024