Lithium Battery Manufacturing in the US - Industry Market Research Report

Juiced Up: More Auto Companies Are Engaging In Agreements to Ramp Up Ev Production, Boosting Industry Profit

Lithium battery manufacturers produce batteries for a variety of purposes including vehicles, mobile phones and other consumer electronics. The rapid rise of electric vehicles (EVs) has bolstered manufacturers, as consumer preference has steadily shifted away from gasoline-powered vehicles. This rise includes an agreement between Panasonic, a leading producer of lithium batteries, and the electric automaker Tesla to mass produce advanced lithium batteries. But this industry is highly globalized, with imports accounting for the majority of domestic demand. Less expensive labor both for upstream suppliers of input materials and for lithium battery manufacturers themselves combined with inexpensive shipping costs have incentivized offshoring, eating into industry revenue. Revenue dropped during the height of the pandemic, as spending fell off across the board, including spending on battery-powered goods. The steady rise of EVs supported manufacturers during this difficult time and contributed to the quick recovery of this industry in the wake of pandemic-related disruptions. Overall, revenue has fallen at a CAGR of 0.6% to $2.0 billion over the past five years, despite an increase of 1.7% in 2023 alone.

This industry manufactures primary and secondary batteries that use primarily lithium, but also alkaline manganese, zinc carbon, mercuric oxide as an anode. Industry products are most commonly used in vehicles and electronic devices such as cell phones, cameras, laptops, pacemakers and toys.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.