Industry News

Jun-01-2006    China to Overtake United States in Battery Market

Worldwide primary and secondary battery demand is projected to rise at a nearly 7% annual pace through 2010 to $73.6 billion, according to a study published in August 2006 by The Freedonia Group (Cleveland, Ohio), an industry market research firm. The “World Batteries” study also predicts that China will record the largest gains of any national market, stimulated by healthy economic growth, ongoing industrialization efforts and rising per capita income. Annual demand in the country will climb by more than $7 billion from 2005 to 2010, and China will surpass the United States to become the largest battery market in the world, according to The Freedonia Group.

The report also finds that sales increases are also expected to be strong in India, Indonesia, South Korea, Poland, South Africa, Brazil and Russia for similar reasons. Although the rate of growth will be less robust than in developing parts of the world, battery demand in the United States, Western Europe and Japan will also accelerate through 2010, the study finds. Market gains in these areas will be fueled largely by favorable economic conditions and higher income levels, leading to increased use of a wide variety of battery-powered products.

The Freedonia Group report forecasts that nonlead-acid secondary battery market gains will outpace demand for primary and lead-acid secondary batteries through 2010. Sales of Li-ion and Li-polymer batteries and, to a lesser extent, nickel-metal hydride batteries will be spurred by the immense popularity of electronic devices such as cell phones and portable digital audio players.