Growing concerns regarding the adverse impact of climate change and increasing carbon emission across the world, in the last few years, have given way to a steep incline demand for electric vehicles.
This, in turn, has been overtly beneficial for the EV battery cells market. The favorable government policies, in the majority of countries, to support electric vehicle sales have supplemented the market growth yet more.

A number of surveys have been conducted in this regard and it’s revealed that the sales of electric vehicles happened to raise by around forty-one percent from about 2.11 mn units in 2019 to approximately 2.97 mn units in the year 2020, whereas the growth of EV sales between 2018 and 2019 was just more or less 5.2%.

According to a recent report published by Allied Market Research, the global EV battery cells market is anticipated to display a considerable CAGR from 2021 to 2030. Rising demand for EVs worldwide, growing preference toward the technology from the automotive sector, and decreased price of li-ion battery have fostered the market growth in more than one way.

Surge in government investment for the disposition of the public charging setup along with the rising efficacy of the electric vehicles have paved the way for a plethora of opportunities for the frontrunners in the industry.

With the growing popularity of lithium-ion battery as compared to other battery kinds, mainly owing to its promising capacity-to-weight ratio, adoption of this particular cell category has witnessed a sharp increase over the years. Other factors that account for its acquisition take in low maintenance, enhanced performance, improved shelf life, and long life.

Although the price of lithium-ion batteries is generally higher than that of its other counterparts, the key players in the industry have been emphasizing on economies of scale as well as on extensive R&D activities, which eventually has resulted into diminished prices of lithium-ion battery.​ ​

Li-ion batteries have conventionally been used in consumer electronic expedients including personal computers and mobile phones. They are, nowadays, being remodeled for use as the main power source in both the complete as well as the hybrid EV ranges. Especially, the fact that electric vehicles present significantly low environmental impact and hardly emits any harmful emissions like nitrogen oxides, CO2, or any other greenhouse gases has escalated its preference even more. ​

Moreover, the number of electric vehicles in total passenger cars has been snowballing at a jet’s pace and due to the amplified sales, the demand for li-ion batteries in regions such as North America and
Europe has also increased like never before.

Furthermore, with the ‘Green Deal policy’ hurled in the year 2019 by the European Union, the stake of electric vehicles has heightened even more, since the ‘Green Deal Policy’ intends to diminish the carbon emission by approximately fifty percent by the year 2030 to accomplish the target of carbon neutrality by 2050.​

A number of developments and initiatives have also been made by the market players to reinforce their status in the industry. Last year, in February, a renowned name in the automotive battery sector, Amara

Raja Batteries, unrolled its first technology hub to develop li-ion cells at one of its facilities in Tirupati, Andhra Pradesh.

LG Chem Ltd, on the other hand, proclaimed its innovative plans to enlarge the production capacity of battery cells, thus catering to the US clients perfectly. The organization also exports and dispatches its
amplified output from Korea and China to Tesla’s workshops in the USA and Germany.

Inverted Energy, a top battery maker based in Delhi, declared the opening of its lithium battery manufacturing hub in New Delhi, in 2020. The current production ability of the plant is about hundred
megawatt/ hour, and it is exclusively aimed at plummeting down the country’s dependence on China.

Covid-19 scenario

Here, it’s worth mentioning that the outbreak of the Covid-19 pandemic led to disruptions in the production activities of new vehicles, which impacted the sales too. This, in turn had a sheer negative impact on the EV battery cells market. The distorted supply chain and lack of raw materials needed to manufacture the vehicles gave way to production delays, which aggravated the industrial economy even more. However, as the global situation is getting better, the market for EV battery cells has also started recouping at a swift pace.
Get detailed COVID-19 impact analysis on the EV Battery Cells Market @ https://www.alliedmarketresearch.com/request-for-customization/14277?reqfor=covid

Author’s Bio

Koyel Ghosh is a blogger with a strong passion and enjoys writing on miscellaneous domains, as she believes it lets her explore a wide variety of niches. She has an innate interest for creativity and enjoys experimenting with different writing styles. A writer who never stops imagining, she has been serving the corporate industry for the last four years.   koyel.ghosh@alliedmarketresearch.net