The Battery Manufacturing Equipment Market is projected to reach $88,093.50 million by 2031 from $9,439.22 million in 2021, growing at a CAGR of 27.12% during the forecast period 2022-2031. China dominated the global battery manufacturing equipment market in 2021 due to the presence of a large electric vehicle industry, leading industry players across the supply chain, and a fast-developing economy.
Market Lifecycle Stage
The battery manufacturing equipment market is in the developing phase. The rising demand for batteries from electric vehicles along with increasing consumer awareness of environmental issues is leading to the development of the battery manufacturing equipment market. Batteries are springing up as a vital component in the evolution toward a more stable future due to their involvement in electrifying mobility and balancing power networks.
Some of the factors behind the expansion of the global battery manufacturing equipment market are increased usage of batteries in automotive, consumer electronics, healthcare, energy and power, etc. With the rising demand for batteries in end-use industries expanding, the battery manufacturing equipment market is also expected to grow simultaneously. Batteries are used in vehicles, storage devices, smart consumer electronics devices, human and health performance tools, defense equipment, etc. Further, the recent focus on green environment is creating demand and research scientists from across the world are striving to create new production methods or battery chemistries that can employ more widely accessible, ecologically acceptable components, but these innovations are not yet extensively used.
Impact of COVID-19
The battery manufacturing equipment market declined in 2020 due to the adverse effects of the COVID-19 pandemic on the market and related businesses. The announcement of lockdown around the globe created various issues for the battery manufacturing equipment market, including cash-flow constraints, supply chain issues, a lack of trained workers, and a slump in demand from major end-use industries. End-use industries for the battery manufacturing equipment market, such as automotive, registered declined growth due to the closure of factories and supply chain disruption from 2019-2020. According to the European Automobile Manufacturer’s Association (ACEA), total sales of new vehicles in the European Union (EU) in January and February 2020 were 7.4% lower than in the same period in 2019. Moreover, surging sales of EVs after the lockdown and growing demand from the automotive, energy and power, and consumer electronics industries are expected to help the market make a swift recovery.
Segmentation 1: by Application
- Consumer Electronics
- Energy and Power
- Others (Healthcare, power tools, etc.)
Based on application, the automotive segment dominated the battery manufacturing equipment market in 2021 and was the largest segment due to the rising sales of electric vehicles across the globe. Favorable governmental regulations are the dominant driver fueling growth in the adoption of the automotive Li-ion battery. Officials from a multitude of separate nations are collaborating with automobile manufacturers to seek solutions to the escalating issues of ecological sustainability and the clean energy balance.
Segmentation 2: Equipment by Process
- Electrode Manufacturing
- Cell Assembly
- Cell Finishing
Based on equipment by process, the electrode manufacturing segment held the majority share in the battery manufacturing equipment market in the year 2021 as it is the most intricate part of the process. It is the initial step in the process, and the complete value chain of the battery is dependent on it. Further, the maximum amount of energy consumption happens at this stage.
Segmentation 3: by Battery Type
- Lead Acid
- Nickel Cadmium
- Nickel Metal Hydride
- Others (Sodium, Carbon Zinc, Silver Oxide, etc.)
Based on battery type, the lithium-ion segment held the majority share in the battery manufacturing equipment market in 2021. Lithium-ion batteries are a preferred source of power for low-carbon technologies such as electric vehicles. Due to their quantity of energy, they can retain in a relatively small area, charging capabilities, and propensity to remain functional after hundreds, if not thousands, of charge cycles. These batteries are an essential component of the present drive to phase out gas-powered automobiles that release carbon dioxide and other carbon pollution. Furthermore, these batteries are excellent choices for power storage for the electric grid due to their similar qualities.
Segmentation 4: by Region
- North America - U.S., Canada, and Mexico
- Europe - Germany, France, Spain, Italy, and Rest-of-Europe
- Asia-Pacific and Japan - Japan, South Korea, India, Taiwan, and Rest-of-Asia-Pacific and Japan
- Rest-of-the-World - Middle East and Africa and South America
China dominates the battery manufacturing equipment market due to the presence of a large electric vehicle industry, leading industry players across the supply chain, and a fast-developing economy. The region holds the majority of lithium-ion reserves in the world and has the potential to utilize them in various end-use industries such as automotive, consumer electronics, and others.
Recent Developments in the Global Battery Manufacturing Equipment Market
- In May 2022, by aiding customers in the U.S. with battery manufacture, Xiamen Tmax Equipments maintained a favorable connection with them. It offered them the pouch cell pilot line, which comprises 52 machines ranging from mixing to testing. In accordance with the real requirements of the customer, Xiamen Tmax Equipments supplied complete solutions for the production of coin cells, cylinder cells, pouch cells, prismatic cells, and battery packs on a lab, pilot, and large-scale.
- In June 2022, Wuxi Lead Intelligent Equipment Co., Ltd. signed a contract with Volkswagen to deliver 20GWh lithium battery manufacturing equipment. The company would strengthen its presence in the European market and mark a new era of its global operation.
Demand – Drivers and Limitations
The following are the demand drivers for the global battery manufacturing equipment market:
- Rising Demand for Electric Vehicles (EVs)
- Government Initiatives to Reduce Carbon Footprints and e-Waste
The market is expected to face some limitations too due to the following challenge:
- Rising Cost and Competitive Pressure for Battery Equipment Manufacturers
- Logistics and Supply Chain Risks
Get Free Sample - https://bisresearch.com/requestsample?id=1419type=download
Key Market Players and Competition Synopsis
Profiled companies have been selected based on inputs gathered from primary experts and analysis of company coverage, product portfolio, and market penetration.
Some prominent names established in this market are:
- Wuxi Lead Intelligent Equipment Co., Ltd.
- SHENZHEN YINGHE TECHNOLOGY CO., LTD.
- Xiamen Tmax Equipments
- DAIICHI JITSUGYO CO., LTD. (DJA)
- SOVEMA GROUP S.p.A.
- Battery Technology Source Co. Ltd. (BTS)
- Hitachi High-Tech Corporation
- Manz AG
- Wirtz Manufacturing
- HIRANO TECSEED Co., Ltd
- Foshan Golden Milky Way Intelligent Equipment Co., Ltd. (GMK)
- Readco Kurimoto, LLC
- Shanghai Putailai New Energy Technology Co., Ltd.
- Super Components
How can this report add value to an organization?
Product/Innovation Strategy: The product segment helps the reader understand the different equipment by process, and battery type available for the battery manufacturing equipment market and its potential globally. Moreover, the study gives the reader a detailed understanding of the different equipment with usage in several applications.
Growth/Marketing Strategy: Business expansion, partnership, collaboration, and joint venture are some key strategies adopted by the key players operating in the space; for instance, in September 2022, Manz AG, GROB-WERKE, and Dürr formed a unique European alliance in the realm of lithium-ion battery production technology.
Competitive Strategy: Key players in the battery manufacturing equipment market are analyzed and profiled in the study involving battery manufacturing equipment manufacturers. Moreover, a detailed competitive benchmarking of the players operating in the battery manufacturing equipment market has been done to help the reader understand how players stack against each other, presenting a clear market landscape. Additionally, comprehensive competitive strategies such as partnerships, agreements, and collaborations will aid the reader in understanding the untapped revenue pockets in the market.
According to Neha Singh, Sr. Research Associate, BIS Research, "The global battery manufacturing equipment market is growing due to increasing demand for electric vehicles and energy and storage systems for renewable energy storage. The rising awareness among people of green initiatives is leading to the rise in demand for batteries and hence the battery manufacturing equipment market. Furthermore, the shortage of skilled laborers in end-use industries, supply chain constraints, rising inflation, and volatility in the market are posing significant challenges to the growth of the battery manufacturing equipment market."
BIS Research Offerings - https://bisresearch.com/our-offerings/subscriptions
You May Also Like -
Disposable Protective Apparel Market