Global Lithium-Ion Battery Market Size To Grow At A CAGR Of 10.7% In The Forecast Period Of 2023-2028

However, The Global Lithium Compounds Market was worth US$ 3,956 million in 2021 and is expected to be worth US$ 25,547 million by 2030, with a significant CAGR of 23.4% from 2022 to 2030.

The Govt. of India (GOI) is looking to target 500 GWh of renewable energy by the year 2030. According to the Niti Aayog report, the share of the total battery market in the year 2021 was- Lead Acid Batteries (LAB) at 48.98% and Lithium Ion Batteries (LIB) at 51.01%. However, in India LIB cumulative stock (2020) was at 15 GWh. It also noted that the battery industry is mainly dominated by the exponential rise of batteries in the electrical vehicles (EV) segment. Moreover, renewable energy also keeps up with the aspiration of the UN Sustainable Development Goals (SDG) target of 2030.

Long life spans, lower battery prices, high density, increasing consumer electronics adoption and increased R&D investment to manufacture innovative products are likely to drive the growth of this market. Other key driving factors include an increase in demand for plug-in vehicles, an increase in the need for automation and battery-powered material-handling equipment in industries, a surge in demand for smart devices and other industrial goods, and a high demand for lithium-ion batteries for industrial applications.

Aspects of Global Lithium Compounds Market Growth

An increase in the production of glass and ceramics and associated products is one of the major factors driving demand for the lithium compound market. Furthermore, lithium-ion batteries are becoming more popular in the automotive industry due to their numerous benefits, such as long lifetime, low self-discharge frequency and maintenance, and turbocharging capability. One of the key factors driving the market growth is the increasing use of lithium-ion batteries in adopting electric vehicles and automatons to save energy.

Aside from that, an increase in the production of consumer electronic devices powered by lithium-ion batteries, such as cellular phones, cameras, tablets, and power tools, is helping to drive market growth. Furthermore, a surge in technological advancements for manufacturing high-efficiency energy storage devices is boosting the market outlook. Other factors driving market growth include increased use of lithium compounds in the medical industry and massive infrastructure investment.

Rising demand for lithium-ion batteries is propelling the market

As technology advances, the lithium-ion battery market rapidly expands, resulting in increased development in electric plug-in vehicles. Furthermore, imposing strict federal guidelines to monitor rapidly rising pollution levels forces industries to use lithium-ion batteries. The energy industry is working hard to produce and store renewable energy for future use.

Furthermore, lithium-ion batteries' low cost, low self-discharge rate, and small installation space are key factors driving their use in smart grid and energy storage systems. Similarly, increased production of electric and plug-in hybrid vehicles will drive up demand for lithium-ion batteries in the coming years.

Overview of the Region

The global lithium compounds market is divided into five regions: North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. The market for lithium compounds in North America will grow in the coming years. The growing use of lithium batteries in devices such as computers, cellphones, and tablets propels the region's lithium compound market. As a result, they regularly upgrade these devices, promoting the development of the lithium compound industry.

Aside from that, the growing construction industry has also increased the consumption of various types of glass and ceramics, boosting industry growth. Furthermore, the growing use of lithium-ion batteries in the medical and automotive industries propels regional market growth. Furthermore, the rapid growth of renewable energy production in the region, particularly wind and solar energy, has increased the demand for grid energy storage. As a result, North American demand for lithium compounds is expected to rise over the forecast period.

Important Players

Livent Corporation, Albemarle Corporation, Lithium Americas Corp., SQM S.A., Orocobre Limited, FMC Corporation, Neometals Ltd, Sociedad Quimica y Minera de Chile S.A., Tianqi Lithium Corporation, Bacanora Lithium, Lithium Americas, and Galaxy Resources Limited are some of the key players covered in the global lithium compounds market.

Important Corporations

The market is competitive, with key players investing heavily in R&D and constant product innovation. Several companies are developing new products to increase their global market share. BYD and Panasonic, for example, have a strong position due to increased manufacturing capacity and an extensive distribution network. Among the major players in the global lithium-ion battery market are: Duracell Inc., BYD Company Ltd., Johnson Controls, Hitachi Ltd., LG Chem, Panasonic Corporation, Renault Group, Samsung SDI Co., Ltd. TOSHIBA CORPORATION, and TESLA.