the battery market | France

1.1 Introduction

A battery (or storage battery) refers to a juxtaposition of interconnected electrical cells that create an electrical generator of voltage and electrical capacity. The battery market can be segmented in different ways:

• By technology
  • Lithium batteries ;
  • Lead-acid batteries;
  • Nickel batteries;
  • Alkaline batteries.

• By type
  • Automotive batteries: designed to power an automotive starting, lighting or ignition system;
  • Industrial batteries: designed for exclusively industrial or professional purposes;
  • Portable batteries: sealed and hand-carryable and not for automotive or industrial use.

The battery market is dominated by the world's leading electronics and automotive equipment manufacturers, leaving little room for new entrants. Lithium-ion batteries, the most popular batteries, are used in cell phones, computers, but also in electric vehicles (bicycles, cars...).

The main factors influencing the market are the decreasing prices of lithium-ion batteries, the rapid adoption of electric vehicles, the growth of the renewable energy sector and the increased sale of electronic products to the general public. On the other hand, mismatch in supply and demand of raw materials required for battery manufacturing may hamper the market growth.

Globally, 100% electric vehicle production was estimated at 150,000 vehicles in 2015, but that number has exploded with 727,000 cars sold in the first quarter of 2021 alone globally. The bankruptcies of several manufacturers in recent years are symptomatic of a consolidation of the lithium-ion battery market around the strongest players in the industry.