Lithium Primary Batteries Global Market Opportunities And Strategies To 2031

This report describes and explains the lithium primary batteries market and covers 2016-2021, termed the historic period, and 2021-2026 termed the forecast period, along with further forecasts for the period 2026-2031. The report evaluates the market across each region and for the major economies within each region.

The global lithium primary batteries market reached a value of nearly $2,852.4 million in 2021, having declined at a compound annual growth rate (CAGR) of -2.4% since 2016. The market is expected to grow from $2,852.4 million in 2021 to $3,086.9 million in 2026 at a rate of 1.6%. The market is then expected to grow at a CAGR of 1.0% from 2026 and reach $3,246.8 million in 2031.

Growth in the historic period resulted from increasing demand for consumer electronics, strong economic growth in emerging markets, rise in disposable income and increased demand for air travel. Factors that negatively affected growth in the historic period were shift in demand to secondary batteries, coronavirus pandemic and increasing costs.

Going forward, increasing demand for portable electronic devices using lithium primary batteries and increasing demand from medical industry will drive the growth. Factors that could hinder the growth of the lithium primary batteries market in the future include demand-supply gap in the lithium industry, shortage of raw materials, battery disposal, stringent government regulations and restrictions on free trade.

The lithium primary batteries market is segmented by type into lithium/thionyl chloride battery (Li/SOCl2), lithium/manganese dioxide battery (Li/MnO2), and lithium/polycarbon monofluoride battery (Li/Cfx). The lithium/manganese dioxide battery (Li/MnO2) market was the largest segment of the lithium primary batteries market segmented by type, accounting for 47.1% of the total in 2021. Going forward, the lithium/manganese dioxide battery (Li/MnO2) segment is expected to be the fastest growing segment in the lithium primary batteries market segmented by type, at a CAGR of 1.63% during 2021-2026.

The lithium primary batteries market is also segmented by application into aerospace and defense, medical, industrial, other applications. The other applications market was the largest segment of the lithium primary batteries market segmented by application, accounting for 49.8% of the total in 2021. Going forward, the industrial segment is expected to be the fastest growing segment in the lithium primary batteries market segmented by application, at a CAGR of 1.7% during 2021-2026.

The lithium primary batteries market is segmented by voltage into low (less than 4.5V), medium (4.6V to 12V) and high (13V and above). The low (less than 4.5V) market was the largest segment of the lithium primary batteries market segmented by voltage, accounting for 66.2% of the total in 2021. Going forward, the high (13V and above) segment is expected to be the fastest growing segment in the lithium primary batteries market segmented by voltage, at a CAGR of 1.7% during 2021-2026.

Asia Pacific was the largest region in the lithium primary batteries market, accounting for 36.6% of the total in 2021. It was followed by North America, and then the other regions. Going forward, the fastest-growing regions in the lithium primary batteries market will be Asia Pacific and Western Europe where growth will be at CAGRs of 2.1% and 1.6% respectively. These will be followed by North America and South America where the markets are expected to grow at CAGRs of 1.4% and 1.1% respectively.

The global lithium primary batteries market is concentrated, with a small number of large players in the market. The top ten competitors in the market made up to 32.18% of the total market in 2021. The market concentration can be attributed to the high barriers to entry in terms of high costs associated with lithium primary batteries and the stringent regulations set up by the regulatory authorities. Some major players in the market are Berkshire Hathaway Inc (Duracell), EVE Energy, Panasonic, Energizer Holdings Inc., FDK, Ultralife, Varta AG, Maxell Ltd, GP Industries Ltd, SAFT and other players.

The top opportunities in the lithium primary batteries market segmented by type will arise in the lithium/manganese dioxide battery (Li/MnO2) segment, which will gain $113.3 million of global annual sales by 2026. The top opportunities in the lithium primary batteries market segmented by application will arise in the other applications segment, which will gain $114.9 million of global annual sales by 2026. The top opportunities in the lithium primary batteries market segmented by voltage will arise in the low (less than 4.5V) segment, which will gain $153.4 million of global annual sales by 2026. The lithium primary batteries market size will gain the most in China at $84.2 million.

Market-trend-based strategies for the lithium primary batteries market include focus on manufacturing paper-based bio-batteries, focus on employing artificial intelligence and machine learning techniques, focus on launching battery certification program and focus on automation and robotic technologies in the manufacturing process.

Player-adopted strategies in the lithium primary batteries market include focusing on strengthening business operations through the launch of innovative solutions, expand production capabilities through strategic investments, focuses on offering high quality batteries through the launch of new products, enhancing business capabilities through strategic acquisitions and strengthening the production system through the centralization of production plants.

To take advantage of the opportunities, the publisher recommends the lithium primary batteries companies focus on paper-based bio-battery, use artificial intelligence (AI), launch lithium battery certification programs, expand in emerging markets, focus on strategic partnerships and collaborations, offer competitive pricing, continue to use B2B promotions, continue to participate in events and conferences and focus on fast-growing applications.