Europe Electric Vehicle Battery Market - Industry Size, Opportunity, Growth, Demand, & Forecast To 2027

The rise in production rate for batteries and reduction in battery prices are becoming important attributes for increasing demand of electric vehicles. Increased localization of battery manufacturer facilities and potential safety issues are the major challenges faced by the EV batteries market. To preserve the manufacturing supply chains and profits; European Commission is also attempting to produce homegrown battery industry. The European industries and European Commission developed an alliance named ‘The European Battery Alliance’ in 2017. This is the central platform to support the future of battery cell production in Europe. This is a truce which is responsible for the capabilities of produced batteries. These batteries should match all the standards to be competitive, innovative and environmentally sustainable. Further, European Commission announced to spend 3.5 Billion dollars to subsidize Tesla, BMW and other companies to produce more batteries in Europe. In this region, several major battery plants (gigafactories) are planned in the next few years to meet an anticipated need in demand for EVs. Tesla and Asian firms are the major producers and developers. Several initiatives taken by European government have boosted the growth of the electric vehicle battery market. The European Commission has the primary aim of ‘Green Technology’. According to the research report “Europe Electric Vehicle Battery Market Outlook, 2027" published by Actual Market Research, the electric vehicle battery market is growing rapidly. Europe Electric vehicle battery market is expected to grow with the CAGR of more than 21% by 2027. Based on the country, Europe region is segmented into various countries such as Germany, UK, France, Norway, Netherlands, Sweden, Italy and Spain. Germany is expected to acquire more market share in Europe region. Major factors like investments and initiatives taken by German manufacturers for the development of Zero-emission technology and increasing adoption of EVs resulted into higher market share of the country. Industries present in Germany have started initiatives by investing in research and development and partnering up for new improved technology. The German government has invested 2.4 Billion dollars in research and development in July 2020. In June 2020, Volkswagen's luxury sports car unit Porsche AG called for a partnership to set a joint venture with Custom cells (Germany) to produce high-performance batteries, significantly reducing charging time. France is estimated to hold the second position in terms of market share. The government of France have declared a goal of reducing petrol and diesel vehicles y 2040. These initiatives drive the demand and growth of the electric vehicle battery market. These possibilities are the main factors for increasing the demand of Lithium Ion battery and enhance the electric vehicle battery market growth. Norway has become the fastest growing country in terms of electric vehicle battery market. Norway has encouraged people to adopt electric vehicles in place of conventional vehicles. In Norway, the reason of the uptake of electric vehicle is to make them cheap enough. Norway has lowered the taxes in electric vehicle segment in order to keep the prices down so that it ca be easy to buy option for the consumers. The European EV batteries market is segmented on the basis of battery type, propulsion type, vehicle type and country share. Based on the battery types, Lithium ion battery is accounted to have major market share in forecast region. Based on the effectivity and efficiency presented by the battery, it has acquired the major region in electric vehicle battery market. Based on the propulsion type, European EV battery market has segmented into three major regions which are BEV (battery electric vehicle), PHEV (plug-in electric vehicle) and HEV (hybrid electric vehicle). In Europe, battery electric vehicle is expected to have major market share in forecast years. Benefits provided by the battery electric vehicles are more effective and improved solutions for consumers. This factor is responsible to make consumers attracted towards this segment. Based on the vehicle type, this region is segmented into commercial vehicle and passenger vehicle. Passenger vehicle is responsible for major market share. Adoption for commercial segment is growing at a slower pace which is estimated to have particular amount. In first half of 2020, during the lockdowns manufacturing facilities, supply chain and consumer demands were paralyzed. The European EV batteries market was severely affected due to shutting down the production facilities and decreased demand for EV batteries. In order to deal with this situation, industries took the initiatives to boost the sales of the electric vehicles. For instance, BMW announced plans to invest $340 million in a Leipzig EV plant and $225 million in a Munich battery plant. The company has plans to introduce 12 new BEVs and 13 PHEVs in the coming years. These possibilities are the important factors for the growth of EV batteries market in Europe. Major Companies present in the market Northvolt AB (Sweden), Faradion Limited (U.K.), BMZ Group (Germany), DRÄXLMAIER Group Lithium Werks B.V. (Netherlands (Germany), E4V (France), Britishvolt Limited (U.K.), Ilika plc (U.K.), and Johnson Matthey Plc (U.K.) Considered in this report • Geography: Global • Base year: 2021 • Estimated year: 2022 • Forecast year: 2027 Aspects covered in this report • Europe electric vehicle battery market with its value and forecast along with its segments • Country-wise electric vehicle battery market analysis • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation Countries covered in the report • Germany • UK • France • Norway • Netherland • Sweden • Italy • Spain Types of batteries in the report • Lithium-Ion battery • Lead Acid battery • Others (Nickel Metal Hybrid battery, Sodium Ion battery and Solid state) By Propulsion Type in the report: • Battery Electric Vehicle • Plug-In Hybrid Electric Vehicle • Hybrid Electric Vehicle Type of Vehicle in the report: • Passenger Vehicle • Commercial Vehicle The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to EV battery industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.