With the onset of renewable energy projects and rising sales of electric vehicles, the demand for highly efficient batteries has increased considerably. Lithium Air batteries are one such energy storage solutions which have high capacity to store power. These batteries are different from the traditional Lithium-ion batteries which utilizes intercalated lithium-based compound as lithium air batteries mainly use Lithium and air for facilitating the flow of energy.
On the basis of type, the lithium air battery market is categorized into aprotic battery, aqueous battery, mixed battery, and solid-state battery. Solid state batteries are not combustible and, in this manner, avoid the chances of any explosion. Lithium-air energy storage solutions are in the advancement stage; therefore, their general proficiency, restraints, and cost are yet to be foreseen later with the subsequent progression in innovation.
Based on application, the lithium air battery market is segmented into industrial, consumer electronics, automotive, and others. Automotive accounted for a significant share in the market during the historical period. The rising demand for electric cars particularly in European and North American nations in order to address the growing concerns of environmental pollutions is expected to boost the consumption of lithium-air based energy storage solutions used in the electric vehicles. As a result, the growing penetration of electric vehicles is expected to boost the lithium air battery market during the forecast period.
The major growth driver identified in the lithium air battery market is the rising demand for these batteries in consumer electronics products. These batteries have the potential to be used in wide varieties of consumer electronic products including cell phones, laptops, and tabs which require high performance batteries for long operations. These batteries address this concern as it ensures the relatively higher amount of energy storage. The ongoing rise in the consumer electronics demand is likely to boost the lithium air battery market over the coming years.
Lithium air battery market is also expected to witness a considerable boost from the growing adoption of electric vehicles. A large number of European and North American nations are emphasizing on the sales of electric vehicles instead of petrol or diesel-based vehicles as electric vehicles are highly ecofriendly. The ongoing penetration of electric vehicles will have a positive impact on the lithium air battery market in the coming years.
The major restraint identified in the lithium air battery market is the high price of these batteries. Since the production technology of this battery is nascent and expensive, the overall cost of production of these batteries also rises which is acting as a major restraint in the grid scale battery market.
Major opportunities identified in the lithium air battery market is the rising demand for these batteries from advanced nations, particularly in the U.S and European nations. Advanced nations are environmentally conscious countries which have strict environmental norms. These countries are planning to replace the conventional vehicles with hybrid and electric vehicles, the rising demand for these vehicles in North American and European nations are expected to serve as a major opportunity area for the growth of the lithium air battery market in the coming years.
Insights by geography
Europe is expected to remain as a lucrative region for the growth of lithium air battery market owing to large scale capacity addition of renewable power projects such as solar power plants, rising demand for electric vehicles, and a well-developed consumer electronics market in many of the European countries including Germany, France, Italy, Spain.
Some of the major players operating in the global lithium air battery market are PolyPlus Battery Company, Lithium Air Industries Inc., and Mullen Technologies Inc.