Solid State Battery Market

Solid State Battery Market Growth Outlook (2023 to 2033)

The global solid-state battery market is estimated to be valued at US$ 121.0 million in 2023 and to grow at a CAGR of 28.6% to reach a valuation of US$ 1,497.1 million by the end of 2033.

Compared to conventional Li-ion batteries with liquid electrolytes, solid-state batteries are more reliable, secure, and possess greater energy densities. They are used in various applications, including electric vehicles, energy harvesting, consumer electronics, medical devices, wireless communication, and others.

Report Attributes	Details
Solid State Battery Market Size (2022A)	US$ 94.1 Million
Estimated Market Value (2023E)	US$ 121.0 Million
Forecasted Market Value (2033F)	US$ 1,497.1 Million
Global Market Growth Rate (2023-2033)	28.6% CAGR
East Asia Market Share (2033)	33.6%
Latin America Market Growth Rate (2023–2033)	21.0% CAGR
Key Companies Profiled	Cymbet Robert Bosch GmbH Saft Toyota Motor Corporation Solid Power Excellatron Solid State BrightVolt Samsung SDI Co. Ltd. QuantumScape Solid Energy System

Solid State Battery Market Buoyancy Analysis

Growing demand for solid-state batteries from end-use verticals and rising research and development efforts aimed at lowering battery costs are anticipated to accelerate solid-state battery market growth during the assessment period. Further, the prominent factors exploiting the solid-state battery demand are the rising use of electronic devices, the growing utilization of battery energy storage systems, and the surging electric vehicles industry.

• Short Term (2023–2026): Consumer preference for solid-state batteries over traditional ones is likely to supplement the market growth.
• Medium Term (2026–2029): Solid-state battery is witnessing high demand due to the growing automotive industry, especially electric vehicles.
• Long Term (2029–2033): Efforts led by market players are set to create ample growth opportunities for market growth. For instance, noble product development coupled with a pricing strategy is likely to drive the market in a long run.

According to the Fact.MR analysis, the historic growth rate for the solid state battery market was 22.3% and is estimated to grow at a CAGR of 28.6% during the forecast period from 2023–2033, According to the Fact.MR, a market research and competitive intelligence provider.

Market Dynamics Overview

“Growing Miniaturization of Devices to Supplement Solid State Battery Market”

With the advancing technology and shrinking world, the demand for small and lightweight gadgets that are easy to carry is increasing. Further, work-from-home policies, work during travel, and digitalization leads to the growing miniaturization of devices for better work efficiency.

The miniaturization of gadgets is restrained by battery size, due to which the demand for solid-state batteries increased. Solid-state batteries are thin and flexible and hence, easy to be fitted in any small or miniature electronic device.

“Factors Affecting Solid State Battery Market Growth”

The methods and manufacturing processes used to produce solid-state batteries are complicated. For the highly precise deposition of materials during the development of these batteries, appropriate manufacturing tools are required. Electrodes separated by solid electrolytes are sequentially arranged to create solid-state batteries.

These solid electrolytes must be both non-porous and able to stop the growth of dendrites between electrodes. In solid-state batteries, a space between the electrolytes can result in short circuits, making batteries electrochemically useless.

Additionally, using solid electrolytes is crucial because they allow ions to flow; electrolytes with low conductivity may take longer to charge and have fast discharge, which reduces power output.

To examine the complexity of the manufacturing process for solid-state batteries, manufacturers must continuously focus on research and development activities related to these batteries.

Country-wise Insights

What are the Factors Driving Solid State Battery Demand Across the Turkiye?

The growing electric vehicle market across Turkiye is likely to pave the way for the growth of the solid-state battery market across Turkiye. As driving has become more expensive due to rising gas prices, more Turkish drivers are switching to electric cars.

• Turkiye's gasoline costs nearly doubled over the past few years, forcing car owners to devote a larger portion of their income to commuting. For instance, the average monthly cost of gasoline for a car that drives 500 kilometers on city streets is around US$ 247.0, while an electric car owner must pay US$ 40.2 to cover the cost of the vehicle's energy.
• Hence, owing to this the demand sales for electricity amplified. For reference, a total of 6,124 electric vehicles were sold in Turkiye from January to November 2022, a 157% increase from the same period in 2021.

Hence, the flourishing electric vehicle market across Turkiye creates a high demand for solid-state batteries as they are lightweight and small. Solid-state batteries are also reliable and durable in nature.

Why is the China Solid State Battery Market Expected to Be Highly Lucrative?

Due to its improved innovation and brand-building capabilities, China leads the world in both consumer electronics production and sales.

The major consumer electronics producers in the world continue to establish manufacturing bases and research and development centers in China, which continues to be a significant global manufacturing hub for consumer electronics. Hence, the growing consumer electronics industry in China creates immense growth opportunities for the solid-state battery market as solid-state batteries are used in laptops, medical devices, smart watches, mobiles, and smart kitchen appliances.

Category-wise Insights

Why Thin Film Batteries are Growing?

Thin film batteries are gaining traction, due to their effective recharging rate and compact design, thin film batteries are primarily used in wearable devices and IoT, such as smart clothing, fitness bands, and smartwatches.

Thin-film batteries have a minimal environmental impact as compared to conventional batteries, which is anticipated to boost solid-state battery market growth during the forecast period.

Further, the adoption of thin films in portable devices due to their higher energy densities and low maintenance requirements is likely to witness immense growth opportunities during the forecast period due to the growing consumer electronics demand.

Further, the use of sodium sulfur batteries in consumer electronics and wearable technology is the subject of extensive research. These days, consumer electronics and portable devices use solid-state batteries.

Even though the use of these batteries in electronics is still in its infancy, they are found in everything from calculators to vacuum cleaners to digital cameras to calculators, torches, laptops, computers, tablets, and torches or flashlights. Owing to the aforementioned factors, thin film batteries are going to witness high demand in long term.

Why Capacity Below 20mAh is Gaining Traction?

Solid-state batteries of capacity below 20mAh are used in small devices, including wireless sensors and medical patches. The surge in demand for wireless sensors in various gadgets has led to raised demand for solid-state batteries in this application. Besides, the growing healthcare industry and rising consumer expenditure on niche medical equipment and therapies have led to a surge in the demand for solid-state batteries.

Eminent Player’s Key Stratagems

Eminent market players are adopting various ground-breaking strategies to remain competitive in the global market and curb the demand pool to gain high-profit margins. With the new product development and surging investment in research and development, the battle for product patents also increased.

For instance, the patent count is increasing and with more than 231 patents, Japan leads the race. Followers after Japan include the U.S., South Korea, China, Germany, France, the U.K., Finland, Spain, and Switzerland with around 159, 148, 112, 56, 24, 23, 23, 23, and 23 patents, respectively.

Manufacturers are also focusing on establishing trade relations with end-use industries to survive during unfavorable trade situations.

• In July 2021, Hyundai Motor Co. invested US$ 100 million in Solid Energy System, a U.S.-based solid-state battery start-up.
• In May 2021, Volkswagen increased its investment in QuantumScape, a U.S.-based start-up to produce a solid-state battery. Volkswagen mentioned that in this joint venture, it aims to start a production line of solid-state batteries by 2024.
• U.S. automaker Ford Motor showed interest in investment in a solid-state battery starting Solid Power. This venture will also be joined by BMW, wherein Solid Power will be a focal point for both automakers in providing large format cells for vehicle testing.
• Japan’s Toyota Motor has been the frontrunner in producing the commercially viable solid-state battery. The company has filed several patents for solid-state batteries since 2014. In May 2021, the company has announced that it is set to sell 8 million electrified vehicles in 2030.

Fact.MR has provided detailed information about the price points of key manufacturers of solid-state battery positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Solid-State Battery Industry Research

• By Battery Type:

  • Thin Film
  • Portable

• By Capacity:

  • Below 20mAh
  • 20mAh-500mAh
  • Above 500mAh

• By Application:

  • Consumer & Portable Electronics
  • Electric Vehicles
  • Energy Harvesting
  • Wearable & Medical Devices
  • Others

• By Region:

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • MEA