The global EV battery market size was valued at USD 91.93 billion in 2024 and is expected to reach USD 251.33 billion by 2035, at a CAGR of 9.6%, during the forecast period 20242035. The EV battery market is expanding rapidly, fueled by increasing electric vehicle EV) adoption, technological advancements, and supportive government policies aimed at reducing emissions. In October 2023, Tesla announced plans to introduce dry cathodes in Cybertruck batteries by 2026, which promise higher energy density and efficiency. Additionally, in November 2024, BYD announced the unveiling of its next-generation Blade battery in 2025, aiming for improved safety and energy density. On October 24, 2024, CATL launched the Freevoy Super Hybrid Battery, the worldʼs first hybrid vehicle battery capable of achieving a pure electric range of over 400 kilometers and 4C superfast charging, marking a breakthrough for high-capacity EREV and PHEV batteries. Further, in November 2024, CATL introduced new heavy-duty commercial vehicle batteries under its Tectrans brand, tailored for higher durability and capacity. Such advancements directly boost demand for high-performance batteries capable of meeting evolving EV specifications. The 2024 BMW i4, for instance, features a prismatic NCA battery from Samsung SDI with a capacity of 83.9 kWh, enabling long ranges that cater to diverse consumer needs. Increased battery capacities, such as those seen in high-energy-density NMC batteries, are becoming more prevalent compared to LFP types, providing greater driving ranges and faster charging capabilities. Moreover, the number of batteries in commercial vehicles, particularly in buses and trucks, is significantly higher due to their power and range requirements, further driving market growth. Hybrid electric vehicle HEV) batteries are also playing a crucial role in expanding the market, providing solutions for vehicles with both electric and internal combustion powertrains.
Furthermore, government initiatives like the European Union's proposal to mandate all new city buses to be zero emission vehicles (ZEVs) by 2035 are creating a surge in demand for batteries and energy storage systems across public and commercial transportation sectors. As automakers scale EV production and strive to meet stricter emission targets, the need for efficient, high-capacity batteries and energy storage systems continues to drive the market forward, offering significant opportunities for growth in battery manufacturing and recycling.
Attractive Opportunities in the EV Battery Market- ASIA PACIFIC
- Asia Pacificʼs dominance in EV production and adoption fueled by local battery production, government incentives, and more, is fueling battery demand in the region.
- Europeʼs stringent emission regulations and ambitious carbon-neutral goals are accelerating the demand for EV batteries.
- High energy density solid-state batteries and advanced battery management systems (BMS) along with different battery chemistries such as sodium-ion, NCA, and more, present lucrative opportunities for market players.
- Increasing government regulations to curb carbon emissions and a growing shift toward renewable energy sources, along with significant investments in EV infrastructure are driving global EV battery market growth.
- The North American EV battery market is projected to reach USD 31.22 billion by 2035, with a CAGR of 8.8%.
INTRODUCTION
1.1 STUDY OBJECTIVES
1.2 MARKET DEFINITION AND SCOPE
INCLUSIONS AND EXCLUSIONS
1.3 STUDY SCOPE
MARKETS COVERED
GEOGRAPHIC SEGMENTATION
YEARS CONSIDERED FOR THE STUDY
1.4 CURRENCY CONSIDERED
1.5 STAKEHOLDERS
1.6 SUMMARY OF CHANGES
RESEARCH METHODOLOGY
2.1 RESEARCH DATA
SECONDARY DATA
- MAJOR SECONDARY SOURCES
- KEY DATA FROM SECONDARY SOURCES
PRIMARY DATA
- PRIMARY INTERVIEWS WITH EXPERTS
- KEY DATA FROM PRIMARY SOURCES
- KEY INDUSTRY INSIGHTS
- BREAKDOWN OF PRIMARIES
2.2 MARKET SIZE ESTIMATION
BOTTOM-UP APPROACH
- APPROACH FOR CAPTURING MARKET SHARE BY BOTTOMUP ANALYSIS
TOP-DOWN APPROACH
- APPROACH FOR CAPTURING MARKET SHARE BY TOP-DOWN
ANALYSIS
The research uses extensive secondary sources such as company annual reports/presentations, industry association publications, magazine articles, directories, technical handbooks, World Economic Outlook, trade websites, technical articles, and databases, to identify and collect information on the EV battery market. Primary sources, such as experts from related industries, OEMs, and suppliers, have been interviewed to obtain and verify critical information and assess the growth prospects and market estimations.
Secondary Research
Secondary sources for this research study include corporate filings, such as annual reports, investor presentations, and financial statements; trade, business, and professional associations; whitepapers and electric vehicles and EV Battery related journals; certified publications; articles by recognized authors; directories; and databases. Secondary data has been collected and analyzed to determine the overall market size, further validated by primary research.
Primary Research
After understanding the EV battery market scenario through secondary research, extensive primary research has been conducted. Primary interviews have been conducted with market experts from both demand and supply sides across North America, Europe, and Asia Pacific. Approximately 43% of interviews have been conducted from the demand side, while 57% of primary interviews have been conducted from the supply side. The primary data has been collected through questionnaires, emails, and telephone interviews.
In the canvassing of primaries, various departments within organizations, such as sales and operations, have been covered to provide a holistic viewpoint in this report. Primary sources from the supply side include various industry experts, such as CXOs, vice presidents, directors from business development, marketing, product development/innovation teams, and related key executives from various key companies. Various system integrators, industry associations, independent consultants/industry veterans, and key opinion leaders have also been interviewed.
