The global lithium-ion battery market is projected to grow significantly, reaching a valuation of USD 483.4 billion by 2032, according to a report by Astute Analytica. The market is expected to expand at a compound annual growth rate (CAGR) of 21.40% from 2025 to 2032.
This rapid growth is largely fueled by the increasing demand for electric vehicles (EVs). In 2022, the market demand reached 550 gigawatt-hours (GWh), and it is expected to skyrocket to 4,500 GWh by 2030. This surge in demand points to the potential for a tenfold increase in revenue, with the industry projected to exceed USD 410 billion within the next decade.
China is set to dominate the global lithium-ion battery market, accounting for 40% of global demand by 2030. This leadership is driven by China’s robust supply chain, which includes access to essential raw materials, cutting-edge manufacturing capabilities, and strong government support. The country’s investment in new energy vehicles (NEVs) and renewable energy storage is also helping drive demand for lithium-ion batteries.
As the world’s largest producer of electric vehicles and a key player in battery manufacturing, China is well-positioned to meet the growing global demand. The market itself is growing rapidly, with expectations of a CAGR of more than 20% from 2024 to 2030. By 2030, the market is projected to reach 6.5 terawatt-hours (TWh), driven by the global shift toward EVs and renewable energy solutions.
While the United States and Europe are also increasing their shares of the market, China’s scale and infrastructure provide a significant advantage in meeting the rising global demand.
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