Gel Battery Market

Gel Battery Market Size:

The global gel battery market size reached US$ 2.2 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 3.1 Billion by 2032, exhibiting a growth rate (CAGR) of 3.48% during 2024-2032. The market is experiencing significant growth, driven by the enhanced focus on safety and reliability, increasing demand in renewable energy and automotive sectors, superior deep discharge and cycle life performance of gel batteries, growing awareness about environmental benefits and regulatory support, expanding applications in telecommunications and marine industries, favorable government policies, and robust product demand in industrial applications.

Gel Battery Market Analysis:

• Major Market Drivers: Gel batteries' improved safety and dependability, together with their lowered danger of spilling, leakage, and thermal runaway, are major factors that drive their widespread use in a variety of sectors. Additionally, their extended cycle life and greater deep discharge characteristics make them perfect for electric vehicles (EVs), renewable energy storage, and other applications requiring frequent cycling. Moreover, the growing knowledge of the advantages they provide to the environment and the regulatory backing granted by cleaner, safer battery technologies is expanding their market share.
• Key Market Trends: Driven by the global shift towards greener transportation alternatives, electric vehicles (EVs) and hybrid electric vehicles (HEVs) are increasingly using gel batteries. In addition, gel battery formulas and manufacturing techniques are constantly evolving due to rapid technical breakthroughs, which are improving their performance, efficiency, and affordability. Furthermore, the market reach and accessibility of these batteries are growing due to the expansion of online distribution channels, which is being propelled by the ease of use and broader scope of e-commerce platforms.
• Geographical Trends: The Asia Pacific region dominates the gel battery industry, which is fueled by growing industrialization, urbanization, and large expenditures in renewable energy and electric vehicles (EVs). Other regions are also seeing growth as a result of increased renewable energy projects and strict environmental restrictions.
• Competitive Landscape: Some of the major market players in the gel battery industry include B.B. Battery, BSB Power Company Limited, C&D Technologies Inc., Canbat Technologies Inc., Exide Technologies, Exponential Power Inc., JYC Battery Manufacturer Co. Ltd., Leoch International Technology Limited Inc., Power-Sonic Corporation and Vision Group, among many others.
• Challenges and Opportunities: The primary obstacle to gel battery adoption in cost-sensitive sectors is their higher initial cost as compared to conventional lead-acid batteries. However, opportunities do exist in the growing market for renewable energy sources and in the rising need for effective energy storage systems, especially for off-grid and distant applications. Expanding production capacity, technical improvements, and strategic collaborations also offer major prospects for significant companies to improve their market position and meet the increasing global energy demands.

Gel Battery Market Trends:

Enhanced Focus on Safety and Reliability

Gel batteries are known for their enhanced safety and reliability, which is one of the major factors driving the market growth. Unlike traditional lead-acid batteries, gel batteries utilize a gelified electrolyte, which makes them less prone to leakage and spillage. This characteristic is crucial for applications in environments where safety is paramount, such as in medical devices, telecommunications, and renewable energy systems. In 2022, the New York City Fire Department responded to more than 200 e-scooter and e-bike fires, which resulted in six fatalities. These vehicles used lithium-ion batteries. Gel batteries are less susceptible to thermal runaway, a common issue with other battery types that can lead to fires or explosions. The gel electrolyte also minimizes the risk of acid stratification and corrosion, which can lead to longer battery life and lower maintenance costs. This inherent safety advantage makes gel batteries a preferred choice in sensitive applications where reliability and safety cannot be compromised.

Growing Demand in Renewable Energy Applications

There is a heightened demand for renewable energy sources, which is contributing to the growth of the gel battery industry. These batteries are well-suited for renewable energy applications such as solar and wind energy storage due to their ability to handle deep discharges and frequent cycling. As the world shifts towards cleaner energy solutions to combat climate change, the need for efficient and reliable energy storage systems becomes paramount. The share of renewable sources in the European Union's (EU) final energy consumption increased by over one percentage point on 2021 levels to reach 23% in 2022. The 2030 target for renewable energy is to reach 42.5% across the bloc. Gel batteries offer a robust solution for storing energy generated from renewable sources, ensuring a stable and uninterrupted power supply. They have the ability to operate in a wide range of temperatures and harsh conditions, which has been making them ideal for remote and off-grid renewable energy installations.

Rising Adoption in the Automotive Sector

Gel batteries are being used in the automotive sector, especially in electric vehicles (EVs) and hybrid electric vehicles (HEVs), owing to their superior performance characteristics. These include higher deep discharge capability, longer cycle life, and enhanced safety features. The automotive industry is undergoing a transformation towards greener technologies, with a substantial focus on reducing carbon emissions. Gel batteries provide a reliable and sustainable power source for electric and hybrid vehicles, aligning with the industry's shift towards eco-friendly solutions. The market for EVs is growing at a rapid pace, thus registering an annual growth of 34%. This industry is expected to touch 381.3 million units by 2032. Also, China's electric vehicle sales are anticipated to hike from less than 1 million in 2019 to more than 20 million per year by 2035, along with the associated annual battery production to increase by at least a factor of 30. This data has highlighted the need for gel batteries in the EV and HEV industry.

Gel Battery Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on type, distribution channel, and application.

Breakup by Type:

• 2V
• 6V
• 12V
   

12V accounts for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the type. This includes 2V, 6V, and 12V. According to the report, 12V represented the largest segment.

As per the gel battery market analysis and trends, the 12V battery segment accounted for the largest market share due to its widespread use in various applications, including renewable energy systems, automotive, telecommunications, and recreational vehicles. This segment is favored for its versatility, providing reliable power in both cyclic and standby applications. Moreover, 12V gel batteries are highly valued for their enhanced safety, long cycle life, and ability to operate in diverse environmental conditions, making them ideal for residential and commercial energy storage solutions. Besides this, the growing demand for efficient and low-maintenance power storage options across different sectors is fueling the gel battery market growth.

Breakup by Distribution Channel:

• Online
• Offline
   

A detailed breakup and analysis of the market based on the distribution channel have also been provided in the report. This includes online and offline.

Based on the gel battery market forecast and outlook, the online distribution channel offers several advantages, such as convenience, a wider range of products, and competitive pricing. Consumers and businesses can easily compare different brands and specifications, read reviews, and make informed decisions from the comfort of their homes or offices. Additionally, online platforms provide detailed product descriptions and technical support, enhancing the buying experience.

The offline distribution channel is vital for industries and consumers who prefer face-to-face interactions and immediate product availability. This segment includes traditional retail stores, authorized dealerships, wholesalers, and specialty stores. Offline channels are crucial for providing personalized customer service, technical assistance, and immediate troubleshooting for high-value and technical products, which is positively impacting the gel battery market revenue.

Breakup by Application:

• Electric Mobility
• Energy Storage and Distribution
• Telecommunication
• Others
   

Electric mobility represents the leading market segment 

The report has provided a detailed breakup and analysis of the market based on the application. This includes electric mobility, energy storage and distribution, telecommunication, and others. According to the report, electric mobility represented the largest segment.

According to the gel battery market report and overview, the electric mobility segment accounted for the largest market share, driven by the rapid adoption of electric vehicles (EVs) and hybrid electric vehicles (HEVs). Gel batteries are favored in this application due to their superior performance characteristics, including high deep discharge capabilities, long cycle life, and enhanced safety features. These batteries provide a reliable and efficient power source which is essential for the demanding energy needs of electric mobility. Additionally, rapid advancements in battery technology and the development of more efficient gel formulations that enhance the performance and appeal of these batteries in the electric mobility sector are boosting the gel battery market share.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia-Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific leads the market, accounting for the largest gel battery market share

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific represents the largest regional market for gel battery.

The Asia Pacific region holds the largest share of this market, driven by rapid industrialization, urbanization, and the increasing demand for reliable power solutions. Moreover, the significant investments in renewable energy projects, electric vehicle adoption, and robust telecommunications infrastructure are acting as a growth-inducing factor. Besides this, the expanding manufacturing sector and the presence of numerous battery manufacturers are fueling the market growth. Additionally, the imposition of government initiatives that promote clean energy and stringent environmental regulations, encouraging the adoption of these batteries across various applications, including electric mobility, industrial, and residential sectors, is enhancing the gel battery demand.

Competitive Landscape:

• The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the major market players in the gel battery industry include B.B. Battery, BSB Power Company Limited, C&D Technologies Inc., Canbat Technologies Inc., Exide Technologies, Exponential Power Inc., JYC Battery Manufacturer Co. Ltd., Leoch International Technology Limited Inc., Power-Sonic Corporation, Vision Group, etc.
  
  (Please note that this is only a partial list of the key players, and the complete list is provided in the report.)
   
• The top gel battery companies are focusing on strategic initiatives to strengthen their market position and drive innovation. They are investing in research and development (R&D) to enhance battery performance, durability, and efficiency. Moreover, key players are expanding their production capacities to meet the growing demand, particularly from the electric vehicle (EV) and renewable energy sectors. Additionally, they are forming collaborations and partnerships with automotive manufacturers and renewable energy providers to integrate advanced gel battery solutions into diverse applications. Besides this, these companies are exploring new markets and expanding their geographical presence, especially in emerging economies where demand for reliable energy storage is increasing. Apart from this, they are leveraging technological advancements and strategic alliances to maintain a competitive edge and cater to the evolving needs of the global energy storage industry, thereby positively impacting the gel battery market’s recent development and opportunities.

Gel Battery Market News:

• In December 2023, Exide Technologies launched its Endurance+ Pro Gel for the specific needs of commercial vehicles. They are more effective, efficient, and robust than comparable VRLA batteries. It has been developed in collaboration with major truck and bus manufacturers to meet the demanding requirements of a wide range of bus applications, tractor units, and municipal vehicles with power-intensive equipment. The electrolyte is not liquid but is fixed in a gel. This increases the service life above average and ensures that your vehicles stay on the road for a considerably longer period of time.
• In July 2023, Exponential Power, a portfolio company of High Road Capital Partners, acquired DC Kilowatts. DC Kilowatts is a distributor of industrial batteries and chargers for forklifts, switchgear, telecommunications, and uninterruptible power supply (UPS) systems. The company also designs and installs battery charging rooms that meet OSHA and EPA regulations.

Gel Battery Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the gel battery market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global gel battery market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the gel battery industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.