The automotive lithium-ion battery market is experiencing growth, according to P&S Intelligence. In the coming few years, the European industry for automotive lithium-ion batteries will experience the fastest development, credited to the quick acceptance of e-vehicles in the continent.

Furthermore, the growing aid from relations like the Association of European Automotive Industrial Battery Builders is backup the acceptance of lithium-ion batteries in the automotive market. Leading carmakers, including BMW AG and Volkswagen Group, are severely spending on progressive technologies for their electric vehicles.

The increasing fitting of nickel–manganese–cobalt oxide (NMC) batteries in e-vetches is a key trend in the motorized lithium-ion battery market. The growing demand for passenger vehicles with an extended driving range has fuelled the acceptance of NMC batteries credited to their better power density.

Furthermore, the less cost, minor space need, and low weight of such batteries have caused their rising acceptance. In 2018, the cost of NMC batteries was reduced to an average of USD 200 per kilowatt-hour.

In the past few years, the lithium–iron phosphate category, on the basis of battery type, led the industry, in terms of value. This can be credited to the growing utilization of LFP batteries by the e-bus and e-car builders of China.

The Asia-Pacific region dominated the automotive lithium-ion battery market, with the highest revenue in recent years, and it is projected to remain dominant in the future as well. This can be credited to the enormous demand for electric vehicles in China credited to the supportive government guidelines helping their production and acceptance.

Furthermore, the European continent will experience the fastest development the in the coming few years because of the quickly growing sales of e-cars and heavy expenditure in R&D by regional electric vehicle manufacturers.

The automotive lithium-ion battery industry is largely led by battery builders of the APAC region, as the foremost battery producers are existing in South Korea, China, and Japan currently. Some of these key manufacturers are Contemporary Amperex Technology Co. Ltd. (CATL), BYD Co. Ltd., LG Chem Ltd., Samsung SDI Co. Ltd, and Panasonic Corp.

In the past few years, the mainstream battery makers in the market have concentrated mostly on facility growth for more manufacturing of lithium-ion batteries and partnerships with electric vehicle manufacturers. For example, in 2019, Toyota Motor Corp. made a planned corporation for a new power vehicle battery with Contemporary Amperex Technology Co. Ltd. (CATL). This merger comprises joint growths and recycling apart from the supply of lithium-ion cells.