The adoption of the automotive battery management system is expected to record a CAGR of 25.6% during the forecast period. The automotive battery management system market size is anticipated to rise from USD 3.8 billion in 2023 to USD 37.4 billion in 2033.
The significant increase in global demand for electric vehicles (EVs) and hybrid electric vehicles (HEVs) due to growing environmental consciousness is one of the key factors driving the market's positive outlook.
The widespread use of battery-powered vehicles in public transportation fleets is also fueling market growth.
Battery Management System is used in EVs, HEVs, and electric bikes to manage lithium-ion batteries, which have higher energy densities and longer operational life than traditional batteries.
With increased installation and modernization of off-grid renewable energy generation plants, the demand for effective battery management systems for power flow measurement, controlled power supply, and distribution, and monitoring information on electricity usage is accelerating.
Factors such as the increasing use of rechargeable batteries in consumer electronics, as well as the development of innovative cloud-based battery management systems, are expected to drive the market even further.
The EV charging process would be transformed by the Internet of Things. To reduce resource consumption and improve the charging experience, it will automatically link grids, networks, green energy, batteries, and vehicles.
The growth of the electric vehicle market is also anticipated to present substantial potential for EV component makers of automotive battery management systems throughout the forecast period.
| Attribute | Details |
|---|---|
| Automotive Battery Management System Market Estimated Size (2023) | USD 3.8 billion |
| Automotive Battery Management System Market CAGR (2023 to 2033) | 25.6% |
| Automotive Battery Management System Market Forecasted Size (2033) | USD 37.4 billion |
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Features like start/stop, electric power steering, and electronic braking systems have increased the battery's power load. Therefore, prioritizing all these electrical loads on a scale from comfort to safety level has been a significant issue in a vehicle's electrical system.
Intelligent battery management systems (IBMSs) have been gaining attention among automakers and are being widely adopted across all regions. IBMS consists of advanced electronics, such as battery sensors that measure the state of charge (SOC), state of health (SOH), and temperature across a cell, connected in series and parallel arrays in a vehicle battery pack.
All three measurements by IBMS have been taken simultaneously to ensure accurate measurements, even during rapidly changing vehicle conditions. The usage of IBMS aids in shutting down these electric vehicle systems in a logical order and warning the drivers about the impending battery problem to keep them safe from battery explosions. The prominent suppliers of intelligent battery sensors include Continental AG, Hella, and Bosch.
The use of electrical components has substantially increased in the automotive industry over the past few years, and this has immensely influenced the market for automotive electronic components. Automotive battery management system consumption surged an absolute dollar growth of over USD 33.5 billion between the comparison periods.
Increasing demand for electric vehicles, stringent environmental regulatory norms for automobiles, high technological proliferation in the automotive industry, rising focus on battery management and battery safety, rapid urbanization, changing trends in the transportation industry, and increasing consumer awareness about electric vehicles are key trends that will influence demand for automotive battery monitoring systems through 2033.
Increasing costs of battery management systems for electric vehicles are expected to restrain overall demand for car battery management systems. The rising adoption of electric vehicles is also spawning new opportunities in the EV charging infrastructure market. Deployment of battery management systems in these charging stations is expected to witness an increase over the coming years.
For instance, in February 2022, FlexGen, a United States-based energy storage firm, announced the launch of its new EV charging stations that are equipped with integrated battery energy management systems.
The automotive battery management system industry is projected to progress rapidly at an impressive CAGR of 25.6% from 2023 to 2033.
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Increasing Urbanization has Propelled the Need for Better Transportation, thereby Driving the Market for Automotive Battery Management Systems
Urbanization is a widespread phenomenon, and this has resulted in a substantial increase in demand for better commuting and transportation infrastructure. Rising urbanization has fostered a new focus on green mobility and has propelled the demand for electric vehicles. Subsequently, shipments of automotive BMS are also rising in parallel, and this trend is expected to be prominent through 2033.
The battery management system market's centralized topology segment is expected to witness a strong growth of over 24.7%. Due to the scarcity of large wire harnesses, most manufacturers opted for a modular structure, which provides tremendous computational power while remaining safe.
Modular topology is appropriate for applications such as energy storage systems, industrial UPS, medical mobility vehicles, electric car parts, and drones. Furthermore, the rising demand for modular topology in these applications is expected to propel the market forward at a rapid pace.
The electric vehicle segment is anticipated to show a substantial growth rate of 26.5% from 2023 to 2033, owing to an increase in the several vehicles that require rechargeable batteries, such as EVs, Hybrid Electric Vehicles (HEVs), and Plug-in Hybrid Vehicles (PHEVs). In the aforementioned vehicles, BMS plays an important role in supervising and ensuring reliable and safe battery operations.
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The United Kingdom is the leading market in Europe, with a revenue share of nearly USD 2.7 billion. Government measures to build charging infrastructure across the region are contributing to the strong growth of this region.
Furthermore, the development of EV charging stations in the region is being sparked by several other European nations' targets to lower carbon emissions and expand the use of electric vehicles by the year 2023.
| United Kingdom Market Size (USD million/billion) by End of Forecast Period (2033) | USD 2.7 billion |
|---|---|
| United Kingdom Market Absolute Dollar Growth (USD million/billion) | USD 2.6 billion |
| CAGR % 2017 to 2022 | 30.2% |
| CAGR % 2023 to 2033 | 31.8% |
The USA dominates the North American automotive battery management system and shows a significant growth of 22.8%. According to the International Council on Clean Transportation, the USA was ranked third for electric vehicles, with over 320,000 new electric vehicle sales in 2019. According to the International Energy Agency, there were more than three times as many electric cars registered in the USA in 2020, compared to 2016, which was 1.8 million.
The American Recovery and Reinvestment Act of the USA provides funds to private and public entities to develop HEVs, which is expected to boost market growth in the near future.
| United States Market Size (USD million/billion) by End of Forecast Period (2033) | USD 4.9 billion |
|---|---|
| United States Market Absolute Dollar Growth (USD million/billion) | USD 4.2 billion |
| CAGR % 2017 to 2022 | 24.0% |
| CAGR % 2023 to 2033 | 22.8% |
China's enthusiasm for electric transportation, also known as electro-mobility, is unrivaled by any other country. Shenzhen has converted all of its city buses from ICE vehicles to electric buses.
It also continues to introduce a large number of e-buses on a regular basis. Government regulations and policies encouraging the use of electric vehicles are also increasing the market share of automotive battery management systems.
According to the China Passenger Car Association (CPCA) and the Ministry of Finance, in September 2022, China planned to extend the exemption of a 5% purchase tax on new-energy vehicles (NEVs) for another year until the end of 2023 to support the sector's development and boost consumption of electric vehicles.
| China Market Size (USD million/billion) by End of Forecast Period (2033) | USD 10.5 billion |
|---|---|
| China Market Absolute Dollar Growth (USD million/billion) | USD 9.3 billion |
| CAGR % 2017 to 2022 | 22.9% |
| CAGR % 2023 to 2033 | 24.2% |
The market for automotive battery management systems is largely saturated. ABB, Siemens, Qingdao Tgood Electric Co., Ltd., The State Grid Corporation of China, and Tesla Inc. are a few of the organizations that dominate the market.
Numerous market players are collaborating to build charging stations and infrastructure. For instance, a Memorandum of Understanding (MoU) was signed in April 2021 by Siemens Limited and Switch Mobility Automotive Limited of the Hinduja group to join the Indian market for electric commercial vehicles.
In order to promote electrification, BP joined the BMW Group and Daimler Mobility as a partner in digital charging solutions, in March 2021. Along with BMW Group and Daimler Mobility, BP will join Digital Charging Solutions (DCS), one of Europe's top providers of digital charging solutions for automakers and fleet owners.
Latest Developments in the Automotive Battery Management System Market
| Attribute | Details |
|---|---|
| Growth Rate | CAGR of 25.6% |
| Base Year of Estimation | 2023 |
| Historical Data | 2018 to 2022 |
| Forecast Period | 2023 to 2033 |
| Quantitative Units | Revenue in USD million and Volume in Units and F-CAGR from 2022 to 2032 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, growth factors, Trends, and Pricing Analysis |
| Key Segments Covered | By Vehicle Type, By Connection Topology, By Sales Channel, By Region |
| Regions Covered | North America; Latin America; Europe; East Asia; South Asia; Middle East & Africa; Oceania |
| Key Countries Profiled | United States of America, Canada, Brazil, Mexico, Germany, Italy, France, United Kingdom, Spain, Russia, China, Japan, India, GCC Countries, Australia |
| Key Companies Profiled | Continental Ag; Dana Limited; Gentherm; Hanon Systems; Mahle Gmbh; Nxp Semiconductors; Renesas Electronics Corporation; Robert Bosch Gmbh; Valeo; Marelli Holdings Co., Ltd |
| Customization & Pricing | Available upon Request |
The automotive battery management system market is set to attain a value of USD 3.8 billion in 2023.
The automotive battery management system market is estimated to surpass USD 37.4 billion by 2033.
The automotive battery management system market is projected to experience an extraordinary CAGR of 25.6% through 2033.
The China automotive battery management system market is predicted to showcase a 24.2% CAGR through 2033, which signifies a substantial revenue potential.
Trends shaping the automotive battery management system market include rising EV adoption and IoT integration for real-time monitoring.
1. Executive Summary | Automotive Battery Management System Market 2. Market Overview 3. Market Background 4. Global Market Analysis 2017 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Vehicle Type 5.1. Electric Vehicles 5.1.1. Passenger Cars 5.1.2. Commercial Vehicles 5.2. Golf Carts 5.3. E-Bikes 6. Global Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Connection Topology 6.1. Centralised 6.2. Distributed 6.3. Modular 7. Global Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Sales Channel 7.1. OEM 7.2. Aftermarket 8. Global Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Region 8.1. North America 8.2. Latin America 8.3. Europe 8.4. Asia-Pacific excluding Japan (APEJ) 8.5. Japan 8.6. Middle East and Africa (MEA) 9. North America Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Country 10. Latin America Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Country 11. Europe Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Country 12. APEJ Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Country 13. Japan Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Country 14. MEA Market Analysis 2017 to 2022 and Forecast 2023 to 2033, By Country 15. Key Countries Market Analysis 16. Market Structure Analysis 17. Competition Analysis 17.1. Robert Bosch GmbH 17.2. Johnson Matthey Plc. 17.3. Continental AG 17.4. Toshiba Corporation 17.5. NXP Semiconductors NV 17.6. Analog Devices Inc. 17.7. Renesas Electronics Corporation 17.8. Texas Instruments Inc. 17.9. LG Chem Ltd. 17.10. Intel Corporation 17.11. AVL LIST GmbH 17.12. Lithium Balance A/S 17.13. Midtronics Inc. 17.14. Preh GmbH 17.15. HORIBA MIRA Ltd. 18. Assumptions & Acronyms Used 19. Research Methodology
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Automotive Battery Management System Market
