Navigant expects global market for automotive Li-ion batteries to hit $30.6 billion in 2024; almost 4x 2015 market
In a new report, Navigant Research forecasts the global market for Li-ion batteries in light duty and medium/heavy duty vehicles will almost quadruple from $7.8 billion in 2015 to $30.6 billion in 2024.
This figure could be higher if emerging 48V micro-hybrid technology delivers on its promise of fuel efficiency at a low cost increment and a significant number of OEMs choose to implement it with Li-ion battery packs, Navigant said. In addition, the expected steady lowering of per-kilowatt-hour costs will encourage the plug-in electric vehicle market if manufacturers pass the savings on to customers.
Overall, Navigant expects the Li-ion battery capacity serving the automotive market (including light and heavy duty vehicles) to grow from about 15.9 GWh in 2015 to 93.1 GWh in 2024—a compound annual growth rate (CAGR) of 21.7%.
Demand for different types of electrically assisted vehicles will vary by region, the report suggests. Navigant projects North America to remain the biggest market for plug-in hybrid electric vehicle (PHEV) batteries, while battery-electric vehicle (BEV) sales are expected to increase in Europe. The emergence of EVs in Asia Pacific will become more important for global automotive Li-ion battery demand across all categories toward the end of the forecast period.