The propulsion systems of electric vehicles (EVs), also known as EV batteries, are powered by the batteries inside of them, which enables them to operate separately from traditional internal combustion engines. These batteries typically consist of lithium-ion cells, which chemically store electrical energy and release it to power the vehicle's electric motor. The performance and range of an electric vehicle are greatly influenced by the size and effectiveness of its battery pack. Longevity, charging speed, and energy density are important considerations in the design and manufacturing of batteries.
United States Electric Vehicle Battery Market Driving Factors and Challenges
Drivers: In 2023, the United States accounted for over 60% of the regional battery pack market and was the largest market with a significant demand for electric vehicles. The number of electric vehicles increased steadily in various North American countries in 2023, which led to a spike in the need for batteries. The top five vehicles in 2023—the Tesla Model Y, Tesla Model 3, Toyota Rav 4, Toyota Sienna, and Honda CRV—acquired a large share of the market despite the fact that many other brands and models are marketed in the area. In the United States, the Tesla Model Y remained the best-selling vehicle in 2023 with 247,344 sales. Because of its great seating capacity, extended range, and large luggage capacity, the Model Y is highly popular.
Challenges: The US market for electric vehicle (EV) batteries is facing a number of obstacles as it develops and grows. The high cost of EV batteries is one major obstacle that can discourage potential purchasers and add significantly to the overall cost of electric vehicles. Widespread EV adoption is further hampered by the nation's inadequate infrastructure for charging EVs, which may cause consumers to worry about range anxiety and the difficulty of locating charging stations. The supply chain for vital raw materials like lithium and cobalt is under pressure as the demand for electric vehicles (EVs) rises, posing a challenge to the scalability and sustainability of battery manufacture.
Impact of COVID-19 on United States Electric Vehicle Battery Market
The COVID-19 pandemic has a major effect on the growth of the EV battery market. The outbreak delayed the production of batteries by impeding the mining of materials such as aluminum, nickel, cobalt, and lithium. A decline in the sales of electric vehicles was eventually caused by the disruption of supply chains and manufacturing facilities brought on by the shortage of raw materials.
United States Electric Vehicle Battery Market Key Players:
The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players are; Crown Battery Corporation, Tesla Motors Inc, Wanxiang Group Corporation, General Motors, Romeo Power Inc, Panasonic Corporation, EnerSys, Toshiba America Electronic Components Inc, East Penn Manufacturing Co, Clarios LLC, Others.
United States Electric Vehicle Battery Market Segmentation:
By Battery Type: Based on the Battery Type, United States Electric Vehicle Battery Market is segmented as; Lithium-ion Batteries, Lead Acid Batteries, Nickel Hydride batteries, Others.
By Battery Capacity: Based on the Battery Capacity, United States Electric Vehicle Battery Market is segmented as; Less than 25 kWh, 25 to 50 kWh, 51 to 100 kWh, More than 100 kwh.
By Pack Type: Based on the Pack Type, United States Electric Vehicle Battery Market is segmented as; Prismatic, Cylindrical, Pouches.
By Vehicle Type: Based on the Vehicle Type, United States Electric Vehicle Battery Market is segmented as; Hybrid Electric Vehicles, Plug-in-Hybrid Electric Vehicles, Battery Electric Vehicles.
By Vehicle Category: Based on the Vehicle Category, United States Electric Vehicle Battery Market is segmented as; Two Wheelers, Passenger vehicles, Commercial Vehicles.
By Sales Channel: Based on the Sales Channel, United States Electric Vehicle Battery Market is segmented as; OEMs, Aftermarket.
By Region: This research also includes data for Eastern, Western, Northern, Southern.
This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.