The lead acid battery market has been growing significantly owing to numerous factors such as increasing use of lead acid batteries in the automotive industry for applications such as starting, lighting and ignition. Lead acid batteries are cost effective and provide reliable power for automotive applications. The automotive industry consumes nearly 60% of the total lead used globally in lead acid battery manufacturing.

The global lead acid battery market is estimated to be valued at US$ 3.33 Billion in 2024 and is expected to exhibit a CAGR of 4.1% over the forecast period from 2024 to 2031.

Key Takeaways

Key players: Key players operating in the lead acid battery market are Sun Pharma, UCB Farchim SA, Yangtze River Pharmaceutical (Group) Co., Ltd., Livzon Pharmaceutical Group Inc., Nanjing Sanhome Pharmaceutical Co.,Ltd., PKU Healthcare Corp., Ltd., Qilu Pharmaceutical Co., Ltd., Jilin Huakang Pharmaceutical Co., Ltd., Sichuan Hengrui Pharmaceutical Co., Ltd., Shaixi Taiyuan Pharmaceutical Co., Ltd., Guangdong Guoyuan Sinopharm Co., Ltd., Suzhou Dawnrays Pharmaceutical Co., Ltd., Zhejiang Zhebei Pharmaceutical Co., Ltd., Nanjing Chang'ao Pharmaceutical Co., Ltd., Xinhua Pharmaceutical (Gaomi) Co., Ltd.. Key opportunities: Growing demand for electric vehicles and rising adoption of renewable energy sources are expected to provide significant growth opportunities for lead acid battery manufacturers globally. Global expansion: Several lead acid battery manufacturers are expanding their production facilities globally to cater to the rising demand, especially in Asia Pacific and Latin America.

Market drivers:

The increasing Lead Acid Battery Market Demand from the automotive industry is a major market driver. Lead acid batteries offer advantages of low costs, high reliability and are well suited for automotive starting, lighting and ignition applications. This makes them preferred over other battery chemistries for automotive use.

PEST Analysis

Political: The lead acid battery market is regulated by various environmental and safety regulations set by regional authorities to limit the use of hazardous materials like lead in batteries. Manufacturers have to comply with these standards for production and disposal.

Economic: Growth in the automotive industry and demand for automotive and stationary energy storage is driving demand for lead acid batteries. Maintenance and replacement of existing lead–acid batteries also contributes to market growth.

Social: Lead–acid batteries are cost effective and recycled easily at end-of-life which makes them popular for use in automotive and UPS applications. However, growing environmental consciousness may reduce their social acceptance over alternatives due to the toxic nature of lead.

Technological: Advances in alternative battery technologies like lithium-ion threaten the growth of lead acid batteries. However, the technology remains limited by high costs compared to the well-established and affordable lead–acid batteries. Incremental efficiency improvements extend the use of lead batteries.

The geographical regions where the lead acid battery market is concentrated in terms of value are Asia Pacific and North America. Asia Pacific dominates due to large production and established use of lead–acid batteries in automotive applications in China, Japan and India. North America is another major regional market led by the United States.

The fastest growing region for the lead acid battery market is expected to be Asia Pacific from 2024 to 2031. This is because countries like China and India continue to witness rapid growth in the automotive sector and use of automobiles which drives the replacement market for lead–acid batteries in the region. Furthermore, local production is expanding to meet this growing regional demand.

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Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)