The Automotive Lithium-Ion Battery Market is going to grow
At the same time, figures from the Persistence Market Research shows how the global automotive lithium ion battery pack market is expected to grow significantly and reach a value of more than USD 32,3 Billion by the end of 2026.
Lithium-ion batteries are extremely important in applications that require high-energy density and light weight solutions.
Manufactures from different sectors, especially from the automotive industry, are increasingly staying away from Nickel-Cadmium (NiCad) rechargeable batteries and opting instead for the more cost effective and environmentally friendly results offered by lithium batteries.
According to a report from Benchmark Mineral Intelligence, as consequence of the rapid market expansion of this technology, the number of planned lithium-ion battery factories around the world is massively increasing.
Benchmark reveals that there are at least 26 “mega factories” that are either in production and due to expanding capacity.
This is huge increase considering the only three plants that were in production or at least planned in 2014.
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Sustainable and Eco-friendly Government Initiatives
In an effort to reduce the presence of pollution in the atmosphere, governments all over the world are strongly encouraging the adoption of the hybrid and plug-in hybrid vehicles.
Discounts and other forms of incentives are offered by governments to potential customers inviting to opt for this eco-friendly choices.
In US for example a Federal Tax Credit up to $7,500 is available for all-electric and plug-in hybrid cars purchased in or after 2010.
Thanks to this new approach, the public transportation sector is also experiencing an increase in hybrid and plug-in hybrid vehicles use especially in countries such India, UK and New Zealand.
These factors are going to give a strong boost to the market and the overall request for vehicles using lithium ion batteries is destined to grow rapidly.
Lithium Batteries in other industries
Manufacturers of smartphones are also increasingly choosing lithium Ion technology for their battery packs.
Battery life is huge problem to tackle for this devices and the reliability and better performances of the lithium technology seems a good answer to this problem.
However, even this kind of battery packs can experience decay and low performance especially in conditions of hot conditions and this issue can obviously pose a threat to the expansion of the market in the forthcoming years.
In order to gain competitiveness and to answer some of the threat that the lithium ion market is facing, automotive manufacturers are increasingly creating collaboration with big players of the electronic industries.
One example for this is the synergies is the one between Panasonic and Toyota to develop new technologies and improve the effectiveness of batteries.
This partnership in particular has been formed to develop new solid state batteries and prismatic batteries for Toyota vehicles as the automotive sector is experiencing a growing need for ‘fourth generation’, high output batteries.