Electric Vehicle Battery Housing Market

Electric Vehicle Battery Housing Market Outlook (2023 to 2033)

The global electric vehicle battery housing market is estimated to develop at a fast pace CAGR of 31.8% during the forecast period. The present-day value of this market is USD 1,531.1 Million in 2023.

By 2033, the electric vehicle battery housing market is estimated to reach USD 24,219.1 Million. That can occur if the sector takes the same course as those other green technologies like solar and wind and establishes a positive feedback loop whereby a larger scale pushes down prices, which would spur the market for electric vehicles battery housing to develop more quickly.

By conducting an electric vehicle battery housing market demand analysis, researchers from Future Market Insights discovered a historical market valuation of USD 1,157.3 Million for the studied market during the base year, when the market expanded at a CAGR of 23.4%.

Report Attribute	Details
Electric Vehicle Battery Housing Market Value (2023)	USD 1,531.1 Million
Electric Vehicle Battery Housing Market Anticipated Value (2033)	USD 24,219.1 Million
Electric Vehicle Battery Housing Market Projected Growth Rate (2023 to 2033)	31.8%
Electric Vehicle Battery Housing Market Historical Growth Rate (2018 to 2022)	23.4%

Consumer acceptance of battery housing for electric vehicles is rapidly growing, which is resulting in market expansion. The unexpected increase in demand would lead to an expansion of capability along the entire value chain. The following factors make this spread out easier:

• Demand for EVs is growing: In 2022, sales of electric vehicles (including completely electric and plug-in hybrids) doubled, and currently exceed those of the entire year 2012. This phenomenon indicates the rising adoption of electric vehicle battery housing as well.
• Growing apprehension toward the environment: Demand for battery housing for electric vehicles is also anticipated to increase as a result of the government's strict pollution standards and customers' rising environmental consciousness.
• Support from the government is increasing: Ecosystems around batteries can be effective instruments for boosting the economy. As a result, governments that want to take advantage of the batteries' potential to create value are acting rapidly and decisively to develop them.
• Concerns regarding battery safety are growing: Manufacturers are focusing more on improving the safety elements in EVs due to the market's increasing demand for electric vehicles.
• Increasing Production of EV Batteries and Strong Design Standards: Manufacturers are developing battery housing to reinforce EVs and increase range as the next stage for electric cars.
• Reliance on electric vehicle battery housing is increasing: Electric vehicle battery housing is also employed in more robust applications, where the utilization of renewable resources is prioritized, such as automobile parts and electric components.
• Li-Ion battery prices continue to fall: In the past three decades, the cost of batteries has dropped by 97%.

Despite the tremendous increase that is expected for the electric vehicle battery housing market, Future Industry Insight's professional analysts have found a few challenges that may limit the market's progress throughout the projected period. The following factors are currently impeding the market:

• Solid-State Batteries: Liquid electrolyte solution is used in lithium-ion batteries found in electric vehicles. A solid-state battery, on the other hand, employs a solid electrolyte rather than a liquid electrolyte. Since there is no danger of explosion or fire, there is no requirement for safety components, which saves space.
• Standardization is lacking: Despite the rapid adoption of electric cars, hardly anything has been deliberated about standardizing battery designs.
• The untapped value chain for EV battery raw materials: The fast adoption of electric cars not only increases demand for essential battery materials but also rises resource issues and supply-chain vulnerabilities.

Emerging Demand for Electric Vehicles is Generating Market Buzz for Electric Vehicle Battery Housing

The increased requirement for modern technology and car safety features is projected to drive demand. Furthermore, the growing popularity of electric cars, as well as the adoption of various innovative technologies, has boosted the demand for dependable and energy-efficient batteries.

Additionally, the use of nanotechnology and other technologies to improve battery performance and efficiency is a result of Research and Development efforts in the field of batteries.

Carbon fiber-reinforced plastic (CFRP) and glass fiber-reinforced plastic (GFRP) components offer good mechanical qualities, such as high stiffness and strength with low weight. An electric vehicle battery housing built of CFRP, for example, can save up to 40% weight when compared to aluminum or steel. Furthermore, composite components increase fire prevention, underbody protection, and temperature control within the battery. Excellent safety for electric cars, which can save lives.

Furthermore, the expansion of the automobile sector, as well as severe environmental laws and guidelines, are significant drivers pushing the composite battery enclosure industry.

Climate change considerations, as well as the predicted shortage of fossil fuels, have pushed the quest for improved electric vehicle designs. Electric vehicle battery housing outperforms traditional enclosures. It is also more sustainable.

Historical Market Scenarios and Current Growth Indicators

After doing extensive market research, FMI analysts discovered that the electric vehicle battery housing market has shown exceptional growth in recent years. The market CAGR examined steadily increased from 23.4% between 2018 and 2022 to 31.8% between 2023 and 2033.

Battery housing for EVs, sometimes known as composite battery enclosures, is designed to store and protect battery cells. They come in a variety of forms and sizes. A battery case can be up to 40% lighter while maintaining comparable mechanical qualities.

Since they play a significant role in electrifying transportation and balancing power grids, batteries are becoming an essential component in the migration to a more sustainable future. Due to their significance in electrifying mobility and balancing power grids, batteries are emerging as a crucial component in the shift to a more sustainable future.

Electric vehicle battery housing offers several advantages. They decrease weight, free up design space, promote safety, improve thermal management, prevent corrosion, and provide excellent electromagnetic compatibility (EMC). Other advantages include automated manufacture, serial production to satisfy automobile production quality and numbers, and weight reduction. These factors have led to an increase in preference for battery housing for electric vehicles.

Manufacturers are making massive investments in new battery-cell manufacturing facilities. If demand for battery cells rises at a rate of roughly 30% per year, the equivalent of about 90% more semiconductor facilities will be required globally over the next ten years which also includes electric vehicle battery housing. Hence, to mark the agility of tomorrow even more competent, electric vehicle manufacturers are rapidly adopting battery housings increasing the sales of electric vehicle battery housing.

Category-wise Insights

Dominant Segments Developing Popularity in the Context of Individual Beliefs

Non-metallic - By Material

The electric vehicle battery housing market is divided into metallic and non-metallic segments based on material. Over the forecast period, the non-metallic category will have the largest global market share. According to FMI, this category will account for 46.3% of the global market. The following factors are driving market growth:

• Battery housings made of non-metallic or composite materials are light in weight and have relatively high stiffness.
• The thermal conductivity of fiber composite is an essential prerequisite for adequate fire prevention in electric vehicle batteries, which may be increased further with additives.
• The material also helps greatly to enhance heat control due to its low thermal resistance. The battery is naturally better protected against heat and cold by the housing material.
• These materials will not corrode, and even when the underbody is destroyed, the structural stability will prevent any breaches.
• Owing to the numerous advantages it offers, battery housing constructed of non-metallic material may eventually attain a cost level comparable to metallic in an overall cost evaluation.

Passenger Vehicle - By Application

Depending on the application, the electric vehicle battery housing market is bifurcated into passenger vehicles and commercial vehicles. The passenger segment holds the largest market share and will continue to dominate the market during the forecast period. The following elements are fueling the demand for battery housing for passenger electric vehicles:

• Passenger vehicles are the most appealing application category in the electric vehicle battery housing market due to their comparatively high market value share and growth rate
• It is expected to be the most profitable sector in terms of both value and volume during the forecast period.
• Changing consumer lifestyles combined with rising purchasing power, which is boosting sales of luxury passenger electric vehicles.
• The desire for safe and efficient journeys, which augments the requirement for high-quality housing for encapsulating EV batteries, is a critical aspect that will likely drive industry expansion.

Country-wise Insights

Europe is Overruling the Market due to Increased Government Funding for EVs

Europe is dominating the global electric vehicle (EV) battery housing sector owing to increased government backing for the EV market as electric vehicles are currently costly. Furthermore, the region's high concentration of OEMs aided market expansion.

Country	United Kingdom
Statistics	The United Kingdom is thought to possess a sizable chunk of the market under consideration. Over the forecast period, the United Kingdom's electric vehicle battery housing market is expected to grow at a CAGR of 28%.
Growth propellants	The market in the United Kingdom is expanding due to the country's high installed base of renewable energy and electric automobiles. Increased environmental regulations are also expected to increase the mandate for batteries in power-loading applications. Furthermore, businesses have begun operations by investing in R&D, establishing partnerships, and constructing new battery manufacturing plants.

Country	Germany
Statistics	When it comes to the adoption of battery housings for electric cars, Germany is the fastest-growing country. The German electric vehicle battery housing market is estimated to hold 11.2% of the global market share
Growth propellants	The country's substantial growth rate is mostly due to endeavors by German manufacturers to promote zero-emission technologies, increased adoption of electric cars in this country, and continued spending by leading battery OMEs to establish battery production capacity in Germany.

The Rising Demand for Commercial and Passenger Vehicles Fuels the Demand for Electric Vehicle Battery Housing in the Asia Pacific

Asia Pacific is likely to occupy a substantial proportion of the electric vehicle battery housing market owing to increased demand for commercial and passenger cars.

The Asia Pacific electric vehicle battery housing market is likely to capture a sizable proportion of the global market in the future years. Additionally, increased demand for electric car batteries from India, Japan, and China is likely to drive market growth.

Country	China
Statistics	China holds a significant share of the global market. The Chinese electric vehicle battery housing market is estimated to expand at a CAGR of 26.4% during the forecast period.
Growth propellants	The country's significant market is mostly due to the higher percentage of lithium deposits, leadership in global EV battery production capacity, and the high concentration of global EV battery OEMs.

Country	India
Statistics	India dominates the market in Asia Pacific and the Indian electric vehicle battery housing market is projected to hold the largest global market share during the forecast period, growing at a CAGR of 42.2%.
Growth propellants	Increased investment in the renewable industry will almost certainly increase demand for batteries in energy storage devices. To minimize pollution, India is transitioning to electric automobiles. This is also likely to enhance the demand for electric vehicle battery housing.

Country	Japan
Statistics	Japan is also a significant market in the Asia Pacific region which is likely to hold 1.1% of the global market.
Growth propellants	This country's growth rate can be accredited mostly to the advanced automobile industry, sharp cognizance of alternate methods of transportation, and automobile OEM activities for the innovation of EV battery technology.

Preference for Electric Vehicles in the United States Pushes the North American Market

Given the presence of an enormous number of EVs in the region, North America is expected to account for a significant portion of the global electric vehicle battery housing market.

The United States dominates the market for electric vehicle battery housing in North America owing to an increase in the adoption of electric vehicles. The USA electric vehicle battery housing market is anticipated to hold 9.3% of the global market over the forecast period.

Other major elements contributing to this country's rapid growth include the availability of resources of raw materials for cobalt and lithium, as well as significant investments in EV battery research and developments to meet the rising demand for EV batteries.

Major string lead-acid battery manufacturers in the United States are projected to increase production and acceptance of electric vehicle battery housing. Furthermore, rigorous rules requiring the use of environmentally friendly products also promote market growth.

Start-up Ecosystem

Emerging Firms Provide a Competitive Advantage in the Electric Vehicle Battery Housing Market

New companies in the electric vehicle battery housing market are offering fresh products and obtaining a competitive edge by leveraging technical improvements. These companies invest in Research and Development on a regular basis to stay up with changing customer tastes and end-use industry expectations. They are making significant efforts to increase their position in the forum and are supporting the electric vehicle battery housing industry.

Top Start-ups to Watch For

Calogy Solutions:

Start-up Company	Calogy Solutions
Country	Canada
Description	Calogy Solutions provides thermal ground planes for battery thermal control (TGP). Its lightweight, thin, and flexible TGPs keep batteries running within their ideal temperature range, decreasing energy loss from radiant heat. Furthermore, the startup's approach is battery pack agnostic and can be tailored to any size, shape, or capacity. Calogy Solutions' TGPs lower battery thermal limitations, allowing electric car, battery, and charger manufacturers to boost charging speeds.

Factorial Energy:

Start-up Company	Factorial Energy
Country	United States
Description	Factorial Energy specializes in solid-state battery research and development for electric vehicles. Their electrode-independent manufacturing approach produces a regulated performance and commercial-scale solid-state. Furthermore, as compared to conventional lithium-ion-based batteries, solid-state batteries offer a more effective energy supply for the electric mobility sector.

Competitive Landscape

Endeavors by Key Players to Bring Revolution in Market Dynamics Ft. SGL Carbon, Novelis Inc., and Nemak S.A.B. de C.V

SGL Carbon's innovative graphite and composite materials and products are in high demand in businesses that are shaping the future. These include the automotive, aviation, solar, and renewable power sectors, as well as semiconductor, LED, and lithium-ion battery makers. The company also provides novel services for a variety of chemical and industrial applications.

Nemak is a global leader in the development and production of aluminum components for e-mobility, structural and chassis, and ICE powertrain applications. It earned USD 3.8 Billion in sales in 2021. Nemak develops cutting-edge light-weighting solutions for the global automotive industry, as well as for the advancement of sustainable mobility.

Novelis utilizes its global production and recycling infrastructure to supply consistent, high-quality goods across the world by operating an integrated network of technically superior rolling and recycling facilities spanning North America, South America, Europe, and Asia. The company exclusively focuses on sustainability while conducting business operations, and it extends to how it collaborates with stakeholders across the aluminum supply chain.

Recent Developments

• In October 2021, Novelis Inc. proclaimed the launch of Generation II of their lightweight electric vehicle (EV) battery enclosure solution for the fast-developing EV industry.
• In July 2021, Green Evolve Private Ltd. released a new version of their cutting-edge lithium battery packs designed for their upcoming 3-wheeler light commercial vehicles.
• In February 2020, Minth Group reported that it has received orders for aluminum battery boxes from the Volkswagen Group. These aluminum battery housing enclosures feature three types of the aluminum battery housing, including short, medium, and long versions that can be utilized for all Volkswagen Group B, C, and D electric vehicle models and are expected to sustain vehicle production as planned.
• In January 2020, Nemak announced that it would supply battery housings for the Ford Mustang Mach-E, which will be manufactured in North America.

Some of the other key companies proliferating in the market are

• Constellium SE
• Gestamp Automocion
• UACJ Corporation
• GF Linamar LLC
• Hanwha Advanced Materials
• Minth
• Continental Structural Plastics
• ThyssenKrupp AG
• TRB Lightweight
• Hitachi Metals Ltd.
• POSCO
• Norsk Hydro ASA

Key Segmentation of the Electric Vehicle Battery Housing Market

By Material:

• Metallic
• Non-metallic

By Application:

• Passenger Vehicle
• Commercial Vehicle

By Cell Format Type:

• Pouch Cell
• Cylindrical Cell
• Prismatic Cell

By Region:

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

Frequently Asked Questions

How is the Electric Vehicle Battery Housing Market Growing?

The electric vehicle battery housing market is predicted to grow at a CAGR of 31.8% through 2033.

What is the Current Electric Vehicle Battery Housing Market Size?

The electric vehicle battery housing market size is anticipated to be over USD 1,531.1 Million in 2023.

What is the Future Scope of Growth for the Electric Vehicle Battery Housing Market?

The electric vehicle battery housing market is expected to surpass USD 24,219.1 Million by 2033.