The lead-acid battery market is experiencing a positive outlook, particularly in the context of renewable energy. These batteries are recognized for being safe, affordable, and fully recyclable, which enhances their appeal as energy storage solutions in solar and wind applications. The technology has evolved significantly, leading to improvements in performance and durability, making them suitable for various sectors including automotive, telecommunications, and backup power systems.
- Market Growth Projections: According to recent analyses, the global lead-acid battery market was valued at approximately USD 59.7 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 5.6%, reaching USD 106.8 billion by 2034. In India, the market is expected to grow even faster at a CAGR of 7.2%. This growth is driven by increasing demand across multiple sectors and the integration of lead-acid batteries in renewable energy systems..
- Circular Economy and Sustainability: The lead-acid battery industry is highlighted as a prime example of a circular economy due to its high recyclability rate (about 99%). This characteristic not only reduces the environmental impact associated with mining raw materials but also emphasizes the importance of innovation within the sector to enhance energy density and efficiency. Many manufacturers are now sourcing up to 80% of their raw materials from recycled sources.
- Technological Advancements: Exide Industries is set to launch an advanced Absorbent Glass Mat (AGM) battery aimed at automotive applications. This new battery type promises improved reliability and durability over standard lead-acid batteries, catering to the growing demand for efficient starting power solutions in vehicles.
These trends indicate that lead-acid batteries will continue to play a significant role in various industries while adapting to new technological advancements and sustainability practices.