The Lead Acid Battery Market is estimated to be valued at US$ 55.61 Bn in 2023 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
 

Market Overview:

Lead acid batteries are rechargeable batteries that use lead dioxide and lead as electrodes and sulfuric acid as electrolyte. They are low cost and have high working voltage that makes them suitable for starting, lighting and ignition applications in automobiles. They are also used for stationary energy storage in solar home systems, telecom tower backup and uninterruptible power supply systems.

 

Market key trends:

 
The lead acid battery market is driven by rising demand for energy storage systems across residential, industrial and automotive sectors. Lead acid batteries provide an economical and reliable energy storage solution. They are commonly used in automobiles for starting, lighting and ignition applications. The growth of automotive industry globally is a major factor fueling the demand for lead acid batteries. Furthermore, increasing adoption of renewable energy is driving the need for energy storage. Lead acid batteries are widely used for energy storage in solar home lighting systems, solar water pumps and telecom tower backup in off-grid locations owing to their low cost. Several government policies promoting renewable energy adoption will augment the growth of lead acid battery market over the forecast period.

 

Porter's Analysis

Threat of new entrants: Low capital requirements to enter the industry act as a barrier for new players. However, the industry is dominated by a few well established players.

Bargaining power of buyers: Buyers have moderate bargaining power due to availability of alternative products like lithium-ion batteries. Switching costs for buyers are low.

Bargaining power of suppliers: A few major players control the raw material supply chain. This gives them significant influence on pricing.

Threat of new substitutes: Technologies like lithium-ion batteries pose a threat. However, lead acid batteries still remain cost effective for many applications.

Competitive rivalry: Intense competition exists among existing players to gain market share. Players differentiate based on product quality, pricing and innovation.


 

SWOT Analysis

Strength: Established global distribution network. Cost effective for multiple applications like automotive and UPS.
Weakness: Heavy weight restricts use in certain devices. Prone to damage if over-charged or discharged.
Opportunity: Growing demand from developing nations due to industrialization. Increased usage of renewable energy requiring storage.
Threats: Stringent environmental regulations on disposal. Competition from emerging low-cost alternatives.

 

Key Takeaways
 

The Global Lead Acid Battery Market Growth  is expected to witness high, exhibiting CAGR of 8.2% over the forecast period, due to increasing electrification of vehicles. Asia Pacific dominates the market currently due to large automotive production bases in China and India.

Regional analysis: The Asia Pacific region is expected to dominate the market during the forecast period. Countries like China, India and Japan are major producers and consumers of lead acid batteries. Presence of large automobile manufacturing bases and low-cost manufacturing benefits the region. North America and Europe are other major markets driven by established automotive sectors and growing uptake of renewable energy requiring storage solutions.

Key players operating in the lead acid battery market are Johnson Controls, ATLASBX Co. Ltd., Exide Technologies, East Penn Manufacturing Co, Crown Battery Manufacturing Company, C&D Technologies INC., GS Yuasa Company, Leoch International Technology Ltd, Chaowei Power Holdings Limited, and Camel Group Co. Ltd., Hoppecke Batterien GmbH & Co. KG. Players focus on capacity expansion, product innovation and mergers/acquisitions for business growth.

For more insights, read- https://www.dailyprbulletin.com/lead-acid-battery-market-share-size-and-growth-share-trends-analysis-demand-forecast/