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18650 and 21700 Battery Market Size, Share, Growth 2032

Region : Global | Format: PDF | Report ID: BRI107814 | SKU ID: 22229182

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18650 and 21700 Battery Market Size, Share, Growth 2032

global 18650 and 21700 battery market size was USD 14.16 billion in 2023 and market is projected to touch USD 40.57 billion by 2032 at CAGR 12.4% during the forecast period.

A lithium-ion battery is a type of rechargeable power storage device that stores and releases electrical energy by using lithium ions that alternate between positive and negative electrodes. It is a kind of rechargeable battery that has seen a lot of use in many different applications, such as electric cars, portable devices, and renewable energy systems.

Future uses of lithium-ion batteries across a wide range of fields, including electric vehicles, consumer electronics, and renewable energy storage, have increased, which has cleared the way for significant improvements in energy storage technology. The quickening innovation and development of these industries has increased the demand for reliable and environmentally friendly energy sources.

"COVID-19 outbreak reduced manufacturing hence impedes market growth"

The COVID-19 pandemic has been unprecedented and staggering, with the 18650 and 21700 Battery Market experiencing higher than-anticipated demand across all regions compared to pre-pandemic levels. The sudden rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels.

Companies must align their strategy as a result of the significant changes brought about by the COVID-19 pandemic in the supply chain for 21700 Lithium-Ion Batteries and the growing movement to switch to cleaner, more dependable, and greener energy sources. Furthermore, the need for 21700 Lithium-Ion Battery sector players to be more watchful and forward-thinking is pressing due to worries about the slowing of the world economy, the effects of the war in Ukraine, and the risks of stagflation with potential market scenarios. Manufacturers of 21700 Lithium-Ion Batteries and related stakeholders are developing country-specific strategies as a result of the economic and social effects of COVID being found to vary greatly between different countries/markets. An impressive growth rate is expected in 2021 as a result of the post-pandemic economic rebound driving up energy consumption, automotive, industrial, and consumer goods sales.

"Increase in battery recycling activities leading market expansion"

The key trend influencing the market growth for 21700 lithium-ion batteries is an increase in battery recycling activities. In many electronic gadgets found in electric cars, forklifts, and other material-handling machinery, batteries are used. The quantity of batteries that approach their end of life will climb as their use spreads across more applications. For instance, the Australian Battery Recycling Initiative (ABRI), a non-profit organisation, was founded in 2008 to advocate for the ethical management of batteries' environmental impact when they reach the end of their useful lives.

The increase in demand for laptops, tablets, and other consumer electronics due to the trend towards remote work and increased reliance on digital devices opened up opportunities for the lithium-ion battery business. Additionally, government stimulus plans and programmes supporting renewable energy and electric mobility gave the sector a boost. At some point during the epidemic, the need for large-scale batteries and other power storage solutions started to become apparent, which also fueled the need for lithium-ion batteries.

According to type, the market can be segmented into 18650 Battery, 21700 Battery. 18650 Battery is anticipated to be the leading segment.

Based on application, the market can be divided into New Energy Vehicles, Electric Tool, UAV, Consumer Electronics, Other. New Energy Vehicles will be the dominating segment.

"Better capacity and performance may drive the market growth"

The main driver propelling the growth of the 21700 lithium-ion battery market is better capacity and performance of lithium-ion batteries. One of the main areas of focus for research and development in the EV sector continues to be battery packs, which make up a significant portion of the entire cost structure for EV manufacturers and determine the performance of any EV. However, due to its resemblance with the more seasoned 18650 lithium-ion batteries in terms of the production process, technical procedure, and raw material selection, the adoption of 21700 lithium-ion batteries in the EV sector continues to expand. Due to the benefits of 21700 lithium-ion batteries, EV manufacturers are increasingly pursuing high-specific energy battery systems, which is propelling the 18650 and 21700 battery market growth.

"Proliferation of demand for smart storage may drive the market growth"

Demand from emerging markets is predicted to drive the 21700 Lithium-Ion Battery Market Revenue to rise at a strong CAGR. The 21700 Lithium-Ion Battery market is benefiting from developments in digital technologies that allow for more effective production, portfolio expansion, operational maintenance, and sales tracking. Increasing disposable incomes in developing countries that are developing quickly, decentralised networks, intelligent automation, and a proliferation of demand for smart storage are a few of the important market developments.

"Battery safety issues may restrict the market growth"

Lithium-ion battery safety issues are a significant barrier to the market's expansion for 21700 lithium-ion batteries. The most popular battery type for EV propulsion has emerged as lithium-ion batteries. However, flammable materials are only utilised as an electrolyte in lithium-ion batteries, which are the only widely used batteries. In lithium-ion batteries, electrolytes act as catalysts to prevent the direct exposure of lithium to moist air, which could cause it to catch fire or explode.

The phenomena of thermal runaway, in which a battery's temperature increases to the point at which it catches fire or explodes, is also prone to occur with lithium-ion batteries. The 21700 Lithium-Ion Battery market will be constrained over the forecast period by factors such as adherence to strict regulations and disparate standards around the world, growing competition, inflation estimated to stay above the upper band during the short term in key nations, and fluctuating raw material prices. The high cost of EVs and poor battery performance are the main impediments to their widespread adoption.

"Asia Pacifc region dominates the market during forecast period "

During the projected period, Asia Pacific is anticipated to contribute major 18650 and 21700 battery market share. The geographical trends and drivers that will shape the market over the course of the forecast have been thoroughly discussed by Technavio's analysts. Due to its prominence as a key centre for lithium-ion battery production, APAC currently holds a monopoly on the global 21700 lithium-ion battery market. The most vendors in the market are located in this area. For instance, the Made in China 2025 policy seeks to use the implementation of industrial upgrading techniques to turn the nation's manufacturing sector (including robots, aerospace, and EVs) into higher value-added sectors. Such regulations will boost demand for industrial tools and cordless equipment, which will in turn fuel the rise in demand for 21700 lithium-ion batteries. China is also one of the world's largest markets for e-bikes as these vehicles are spreading across the nation as a common form of transportation.

"Key Players Focus on Partnerships to Gain a Competitive Advantage "

Prominent market players are making collaborative efforts by partnering with other companies to stay ahead of the competition. Many companies are also investing in new product launches to expand their product portfolio. Mergers and acquisitions are also among the key strategies used by players to expand their product portfolios.

This research profiles a report with extensive studies that take into description the firms that exist in the market affecting the forecasting period. With detailed studies done, it also offers a comprehensive analysis by inspecting the factors like segmentation, opportunities, industrial developments, trends, growth, size, share, and restraints. This analysis is subject to alteration if the key players and probable analysis of market dynamics change.

Based on our research the 18650 and 21700 Battery Market is expected to reach 40.57 billion USD in 2032.

The global 18650 and 21700 Battery Market is expected to exhibit a CAGR of 12.4% by 2032.

The expansion of consumer electronics and the rising demand for electric vehicles (EVs) are the main drivers of the lithium-ion battery market. The market for lithium-ion batteries is primarily being driven by an increase in energy storage installations.

The top key players in the market are Samsung SDI, LG, Murata, Panasonic, EVE Energy Co., Ltd., Jiangsu Azure Corporation, Highstar, Changhong New Energy, BAK Power, Tianjin Lishen, Zhuoneng New Energy, Far East Wisdom Energy, Shenzhen DLG Electronic.

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18650 and 21700 Battery Market Size, Share, Growth 2032

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