Electric Vehicle (EV) Batteries Plant Construction Market Report 2026

The electric vehicle (EV) batteries plant construction market size has grown rapidly in recent years. It will grow from $11.51 billion in 2025 to $12.78 billion in 2026 at a compound annual growth rate (CAGR) of 11%. The growth in the historic period can be attributed to increasing global demand for electric vehicles driving construction of large-scale battery manufacturing facilities, expansion of epc services to support complex battery plant development, rising investment in electrode coating machines and cell production lines to scale battery output, development of advanced material handling systems improving production efficiency, growing emphasis on environmental and regulatory compliance shaping early plant design and site selection.

The electric vehicle (EV) batteries plant construction market size is expected to see rapid growth in the next few years. It will grow to $19.2 billion in 2030 at a compound annual growth rate (CAGR) of 10.7%. The growth in the forecast period can be attributed to rising construction of gigafactories to meet accelerating ev battery production requirements, increasing adoption of next-generation battery technologies requiring specialized manufacturing infrastructure, expansion of utility and power supply systems to support high-energy industrial battery plants, growing demand for modular and rapidly deployable battery production lines, development of fully automated and digitally integrated manufacturing facilities enhancing throughput and quality. Major trends in the forecast period include government incentives and policy-driven gigafactory investments, rapid global expansion of ev battery manufacturing capacity, localization of supply chains and nearshoring of plant construction, intensifying safety, environmental, and regulatory compliance requirements, strategic joint ventures and partnerships for battery plant development.

The growing consumer demand for electric vehicles is expected to drive the expansion of the electric vehicle (EV) battery plant construction market moving forward. Electric vehicles are powered fully or partially by electricity stored in rechargeable batteries. This rising demand is largely fueled by increasing fuel prices, making electric vehicles a more cost-effective and economical mode of transportation. EV battery plants produce batteries for electric vehicles, ensuring a reliable and scalable supply that supports wider adoption and improves production efficiency. For example, in January 2025, Cox Automotive, a US-based system software company, revised electric vehicle sales upward to 1,212,758 units in 2023, marking a 49% increase compared to 2022. Sales continued to rise by 7.3% in 2024, reaching 1,301,411 units. Consequently, the surge in consumer demand for electric vehicles is driving growth in the EV battery plant construction market.

Leading companies in the electric vehicle battery plant construction market are focusing on adopting innovative technologies such as the ARC technology stack to boost battery design efficiency, scalability, and production speed. The ARC technology stack is a modular platform for battery design and manufacturing that simplifies the development of custom EV battery packs by reducing design time, enhancing scalability, and accelerating the transition from prototype to production. For instance, in February 2025, Ionetic Ltd., a UK-based software-accelerated battery pack technology firm, launched a £5 million ARC fab pilot facility in Brackley, UK. This facility is intended to implement the ARC technology stack and speed up the production of custom EV battery packs with improved efficiency and scalability, while reducing time-to-market. Spanning 5,000 square feet, the facility is expected to be fully operational by the third quarter of 2025 and will serve as Ionetic’s global headquarters. It is designed to support battery pack development for a specialist original equipment manufacturer producing trucks, buses, and off-highway commercial vehicles.

In December 2024, Stellantis N.V., a Netherlands-based automotive manufacturer, formed a partnership with Contemporary Amperex Technology Co., Limited (CATL) to develop a large-scale, carbon-neutral lithium iron phosphate (LFP) battery facility in Zaragoza, Spain. Through this collaboration, Stellantis and CATL aim to produce affordable, long-lasting, and high-quality batteries for electric vehicles, supporting Stellantis’ Dare Forward 2030 strategy and reinforcing both companies’ commitments to sustainable mobility, technological advancement, and the global shift toward a decarbonized future. Contemporary Amperex Technology Co., Limited (CATL), a China-based manufacturing and technology company, focuses on delivering advanced battery systems and energy storage solutions for electric vehicles and renewable energy applications.

Major companies operating in the electric vehicle (EV) batteries plant construction market are Volkswagen AG; Toyota Motor Corporation; Panasonic Energy Co. Ltd.; SK Innovation Co. Ltd.; Contemporary Amperex Technology Co. Limited; LG Energy Solution Ltd.; Samsung SDI Co. Ltd.; Sunwoda Electronic Co. Ltd.; Barton Malow Company; EVE Energy Co. Ltd.; Northvolt AB; VinFast Auto Ltd.; Amara Raja Energy & Mobility Limited; BMZ Batterien-Montage-Zentrum GmbH; Ola Electric Mobility Private Limited; Shenzhen BAK Power Battery Co. Ltd.; Microvast Holdings Inc.; Forsee Power SA; Electrovaya Inc.; Amplify Cell Technologies LLC; SVOLT Energy Technology Co. Ltd.

Asia-Pacific was the largest region in the electric vehicle (EV) batteries plant construction market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the electric vehicle (EV) batteries plant construction market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs on imported construction materials, advanced battery manufacturing equipment, and critical battery inputs are reshaping the EV batteries plant construction market by increasing project capex and extending payback periods. The impact is most pronounced in machinery and equipment, energy storage systems, and control systems and automation segments, as well as in regions heavily dependent on cross-border trade such as Asia-Pacific, Europe, and North America. Higher tariffs are prompting developers to localize supply chains, shift sourcing toward domestic vendors, and reconsider plant capacity and construction type decisions, with some investors favoring incremental expansions over new greenfield plants. At the same time, tariffs can create positive effects by incentivizing domestic manufacturing ecosystems, supporting local EPC providers, and encouraging governments to introduce subsidies and policy support that partially offset higher costs and stimulate long-term regional investment in EV battery plants.

The electric vehicle (EV) batteries plant construction market research report is one of a series of new reports that provides electric vehicle (EV) batteries plant construction market statistics, including the electric vehicle (EV) batteries plant construction industry global market size, regional shares, competitors with the electric vehicle (EV) batteries plant construction market share, detailed electric vehicle (EV) batteries plant construction market segments, market trends, opportunities, and any further data you may need to thrive in the electric vehicle (EV) batteries plant construction industry. This electric vehicle (EV) batteries plant construction market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

Electric vehicle (EV) battery plant construction involves the design, development, and establishment of specialized manufacturing facilities focused on producing batteries for electric vehicles. These plants employ advanced technologies to support the large-scale production of lithium-ion and next-generation batteries, covering processes such as electrode manufacturing, cell assembly, module and pack integration, and battery testing.

The key components of EV battery plant construction include buildings and infrastructure, machinery and equipment, energy storage systems, control systems, and automation. The buildings and infrastructure provide the necessary physical foundation for large-scale production and operations. The plants utilize various battery types, including lithium-ion, solid-state, lead-acid, and nickel-metal hydride (NiMH) batteries. Construction activities encompass new plant builds, expansions, and renovations, with plant capacities ranging from up to 10 gigawatt-hours, 10 to 50 gigawatt-hours, and above 50 gigawatt-hours.

The countries covered in the electric vehicle (ev) batteries plant construction market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The electric vehicle (EV) batteries plant construction market consists of revenues earned by entities by providing services such as site selection and feasibility studies, engineering, procurement, and construction (EPC) services, design and architecture services, utility and infrastructure development, environmental and regulatory compliance services. The market value includes the value of related goods sold by the service provider or included within the service offering. The electric vehicle (EV) batteries plant construction market also includes sales of battery cell production lines, material handling systems, power supply infrastructure, electrode coating machines, and structural construction materials. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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