Global Lead Acid Battery Market Research Report, 2029

The Lead Acid Battery Market is estimated to witness growth owing to the growing adoption of lead acid batteries in automobiles and Uninterruptible Power Source (UPS) along with some developments in the manufacturing methods. The increasing demand for lead acid batteries in off-grid power generation is expected to boost the market size. The development in the transportation industry, along with an increase in energy storage applications is projected to drive industry demand in the upcoming future. Growing demand for UPS in various sectors which includes banking, oil & gas, healthcare, and chemicals has propelled industry demand further. The best batteries for portable electronics are those based on lithium-ion and nickel. Conventional lead-acid batteries are much more cost-effective and better suited for stationary applications and wheeled mobility than lithium-ion and nickel-based batteries. Lead-acid batteries are bulkier because they are heavier than brand-new batteries (the typical car battery weighs 17 kg). A higher mass indicates a lower energy-to-weight ratio. Conversely, lead-acid batteries are perfect for starting, lighting, and ignition (SLI) applications in the automotive sector due to their higher surge current capacity. This is largely responsible for the automotive industry's high demand for lead-acid batteries. An international research and development consortium called the Advanced Lead-acid Battery Consortium (ALABC) fervently maintains that lead-acid batteries are more sustainable than other battery technologies. Its complete recycling results in lower energy consumption and CO2 production. However, because lithium-ion batteries cannot be recycled, their manufacturers have realized this and have begun developing various innovations to maximize the recycling of lithium-ion batteries. Such successful development has yet to be reported. This scenario results in the increased popularity and brand loyalty of lead-acid batteries globally, contributing significantly to growth in the global lead acid battery market. According to the report titled, “Global Lead Acid Battery Market Research Report, 2029â€, published by Actual Market research, the market was valued at USD 67.13 Billion in 2023 and it is anticipated to grow with a CAGR of more than 7.42% from 2024 to 2029, achieving USD 103.17 Billion by 2029. The adverse effects of lead batteries on the environment remain key restraining factors to growth. Also, the declining cost of lithium batteries has stalled the demand for lead-acid batteries, primarily owing to the former’s technological advancement. Continuous reduction in costs is likely to reinforce demand for the lithium-ion technology in various energy storage markets, which is also expected to restrain the market. Advancement of the auto industry in India, Brazil, Mexico, South Korea, Indonesia, Thailand, and Vietnam is anticipated to expand the global industry size. Increasing demand for pollution-free electric automobiles coupled with technological developments is projected to fuel product demand over the upcoming years. Some of the factors that surge the demand for lead-acid batteries include rise in SLI applications in the automotive industry, growth in renewable energy production, and high demand for energy storage devices. Lead-acid batteries are widely used in various applications such as telecommunications, data centers, healthcare facilities, emergency lighting systems, and other applications due to their unique characteristics and cost-effectiveness. Developing countries are experiencing rise in infrastructure development, urbanization, and expanding telecommunications networks, which boost the demand for reliable power supply and backup power solutions. Lead-acid batteries are a preferred choice for providing backup power in areas with intermittent or unreliable grid supply. These batteries are also used in off-grid or remote locations where access to electricity is limited, which is expected to boost the lead-acid battery market in coming years. Researchers and manufacturers are working on advancements in lead-acid battery technology to improve their performance and characteristics. Advancements related to lead-acid battery industry include developments in areas such as enhanced energy density, increased cycle life, faster charging capabilities, and improved tolerance to deep discharges. These advancements aim to expand the application range of lead-acid batteries and make batteries more competitive with alternative battery technologies.

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Market Dynamics Market Drivers • Rising Automotive Demand: The global lead-acid battery market is driven by its extensive use in the automotive industry, especially in vehicles with internal combustion engines (ICE). With the growing vehicle ownership worldwide, particularly in emerging markets like India and China, lead-acid batteries remain crucial for starting, lighting, and ignition (SLI) applications. Moreover, the rise in electric vehicles (EVs) further fuels demand as lead-acid batteries serve as auxiliary power sources in hybrid and electric vehicles. • Growth in Renewable Energy Storage: Increased investments in renewable energy sources like solar and wind have heightened the need for energy storage systems. Lead-acid batteries are widely used for grid storage due to their low cost, reliability, and ability to manage power fluctuations in renewable energy integration.

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Market Challenges • Environmental Concerns and Recycling: Lead-acid batteries pose significant environmental challenges due to lead toxicity and sulfuric acid, requiring stringent recycling and disposal measures. Despite recycling efforts, the risk of contamination remains, raising concerns among regulators. The growing focus on environmental sustainability has led to tighter regulations, increasing operational costs for manufacturers and recyclers, thereby impacting market growth. • Competition from Lithium-Ion Batteries: Lead-acid batteries face intense competition from lithium-ion batteries, which offer higher energy density, longer life cycles, and faster charging times. While lead-acid batteries are more cost-effective, lithium-ion technology is rapidly advancing and becoming more affordable. This shift poses a long-term threat to the lead-acid market, particularly in applications like electric vehicles and renewable energy storage. Market Trends

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• Technological Advancements: The global lead-acid battery market is witnessing innovations like advanced glass mat (AGM) and enhanced flooded battery (EFB) technologies, improving performance and longevity. These advancements are particularly crucial for modern automotive applications like start-stop systems, boosting the demand for higher-efficiency batteries. Additionally, smart battery technology integrating IoT is gaining traction for real-time monitoring and predictive maintenance. • Focus on Sustainability:The lead-acid battery industry is experiencing a shift toward eco-friendly practices, driven by increasing regulatory pressure and public awareness. Manufacturers are investing in sustainable production processes and more efficient recycling methods to minimize lead pollution. This trend aligns with broader environmental goals, making the industry more resilient and potentially more attractive to consumers seeking sustainable energy solutions. Segmentation Analysis Based on the report, the Product is segmented into SLI, stationary, motive. The SLI segment dominates the lead-acid battery market, accounting for a significant share due to its critical role in automotive applications. SLI batteries are essential for starting vehicles, powering lights, and supporting ignition systems. Their ability to deliver high surge currents makes them ideal for automotive use, where reliability and performance are crucial. With the automotive sector's growth, particularly in electric and hybrid vehicles, the demand for SLI batteries is expected to remain robust, driven by the need for dependable energy sources in vehicles. Stationary batteries are primarily utilized in backup power systems, telecommunications, and renewable energy storage. These batteries provide reliable energy storage solutions for critical infrastructure, such as data centers and emergency power systems. The rising demand for uninterrupted power supply (UPS) systems in both residential and commercial sectors is propelling the growth of stationary lead-acid batteries. Their cost-effectiveness and established recycling processes further enhance their appeal in energy storage applications. The motive segment encompasses batteries used in electric vehicles, forklifts, and other industrial applications. Lead-acid batteries are favored in this segment due to their lower cost compared to alternatives like lithium-ion batteries. However, the market faces challenges from the increasing adoption of newer battery technologies. Despite this, lead-acid batteries remain a viable option for many motive applications due to their durability and ease of maintenance. Based on the report, the Construction Method is segmented into Flooded, Valve Regulated Sealed Lead–acid battery (VRLA). Flooded lead-acid batteries are the traditional type, consisting of lead oxide and lead plates submerged in a liquid electrolyte solution of sulfuric acid and water. This design allows for efficient chemical reactions, providing high surge currents, making them ideal for applications such as automotive starting, lighting, and ignition (SLI). Flooded batteries require regular maintenance including checking electrolyte levels and ensuring proper ventilation to prevent gas build up during charging, which can lead to safety hazards. Despite these drawbacks, their cost-effectiveness and established technology keep them relevant, particularly in regions where maintenance resources are readily available. VRLA batteries are a more advanced option, designed to be maintenance-free and safer. They utilize a sealed construction that prevents electrolyte spillage and minimizes gas emissions, making them suitable for indoor applications. VRLA batteries come in two main types: Absorbent Glass Mat (AGM) and gel batteries. AGM batteries use a fiberglass mat to absorb the electrolyte, enhancing their performance and lifespan, while gel batteries use a silica-based gel to immobilize the electrolyte. Both types offer advantages such as reduced maintenance, better discharge performance, and improved cycle life compared to flooded batteries. The growing demand for reliable energy storage solutions in sectors like telecommunications and renewable energy systems is driving the adoption of VRLA batteries, contributing to their increasing market share in the lead-acid battery segment. Based on the report, the Application is segmented into Automotive, UPS, Telecom, others. In the automotive sector, lead-acid batteries are predominantly used for starting, lighting, and ignition (SLI) purposes. Their ability to deliver high surge currents makes them ideal for starting engines, while their cost-effectiveness ensures widespread adoption across various vehicle types, including traditional internal combustion engine vehicles and hybrid models. The automotive industry's continuous growth and the increasing complexity of vehicle electrical systems further drive the demand for reliable lead-acid batteries. The UPS application is crucial for providing backup power during outages, ensuring that critical systems remain operational. Lead-acid batteries are favored in UPS systems due to their affordability and ability to deliver substantial power quickly. They are commonly used in data centers, hospitals, and other facilities where uninterrupted power is essential. Despite competition from lithium-ion batteries, lead-acid options remain popular due to their lower initial costs and established technology. In the telecommunications sector, lead-acid batteries play a vital role in maintaining network reliability. They are used extensively as backup power sources for cell towers and communication equipment, ensuring continuous service during power interruptions. The durability and low maintenance requirements of VRLA (valve-regulated lead-acid) batteries, particularly gel types, make them suitable for challenging environments, contributing to their popularity in this field. The others category encompasses various applications, including renewable energy storage, emergency lighting, and material handling equipment. Lead-acid batteries are valued for their recyclability and cost-effectiveness, making them a versatile choice across multiple sectors. Regional Analysis Asia Pacific leads the lead-acid battery market primarily due to its rapid industrialization, substantial population growth, and increasing energy demands across various sectors, particularly automotive and telecommunications. The region's burgeoning economies, notably China and India, are experiencing significant growth in automotive production and sales, which heavily rely on lead-acid batteries for starting, lighting, and ignition (SLI) applications. As the largest electric vehicle market globally, China is driving demand for lead-acid batteries, as they are essential for both traditional vehicles and hybrid electric vehicles. The increasing focus on renewable energy sources and government initiatives aimed at reducing environmental impacts have led to a heightened interest in energy storage solutions, including lead-acid batteries. The deployment of battery energy storage systems is becoming crucial in residential and public utility applications, further propelling market growth. The telecommunications sector in Asia Pacific is expanding rapidly, with a growing need for reliable backup power solutions for cell towers and communication networks, which also utilizes lead-acid batteries extensively. The cost-effectiveness of lead-acid batteries compared to alternatives like lithium-ion makes them particularly attractive in price-sensitive markets. This combination of factors, including high energy demand, industrial growth, and the need for sustainable energy storage solutions, positions Asia Pacific as a leader in the lead-acid battery market, reflecting its critical role in meeting both current and future energy needs. Key Developments • May 2023 - EnerSys® launched the ODYSSEY® Connect battery monitoring system, featuring proprietary technology to actively monitor and track a range of battery health and performance data for optimal operations. The information the system receives is then communicated via Bluetooth® to any Apple® or Androidâ„¢ smart device. • October 2022: BAE USA's stationary lead-acid battery energy storage system got certified for the third edition of ANSI/CAN/UL 1973. A US testing, inspection, and certification company, UL Solutions, certified the ESS's capability. • July 2022: Amara Raja Batteries (ARBL) announced plans to expand its lead-acid business with various options to expand geographically outside India. As a part of the expansion, the company focuses on expanding the lead-acid business, primarily in Africa, the Middle East, and South-East Asia. COVID-19 impacts: The elevator and escalator business has been significantly damaged in recent years as a result of lockdowns implemented in Global due to the COVID-19 pandemic outbreak in December 2019. The COVID-19 epidemic has hindered the construction industry's expansion in recent years, generating delays that can be ascribed to various damaged supply chains. The elevator and escalator manufacturers, as well as the overall construction industry, are expected to face a number of challenges as most commercial projects are likely to be left incomplete or delayed due to supply chain disruptions, cash flow constraints, workforce unavailability, and production shutdowns. The demand for elevators and escalators is expected to rise in the coming years as various governments of Global prepare to gradually lift the lockdowns. As the lockdowns progressively cease, the construction sector is expected to increase. As commercial developments resume throughout the world, demand for elevators and escalators is expected to rise in the upcoming years. Considered in this report • Geography: Global • Historic Year: 2018 • Base year: 2023 • Estimated year: 2024 • Forecast year: 2029 Aspects covered in this report • Global Elevator & Escalator Market with its value and forecast along with its segments • Application wise tire industry distribution • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation By Product: • SLI (starting, lighting, and ignition) • Stationary • Motive By Construction Method: • Flooded • Valve Regulated Sealed Lead–acid battery (VRLA) By Application: • Automotive • UPS • Telecom • Others The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to elevator & escalator industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.