Battery Logistics Market (Battery Type - Lithium-ion Batteries, Lead-acid Batteries, Nickel-cadmium Batteries, Nickel-metal Hydride (NiMH), and Others; Service Type - Warehousing, and Transportation; End-use Industry - Automotive, Electronics, Energy Storage, and Others): Global Industry Analysis, Trends, Size, Share and Forecasts to 2030

Battery Logistics Market (Battery Type - Lithium-ion Batteries, Lead-acid Batteries, Nickel-cadmium Batteries, Nickel-metal Hydride (NiMH), and Others; Service Type - Warehousing, and Transportation; End-use Industry - Automotive, Electronics, Energy Storage, and Others): Global Industry Analysis, Trends, Size, Share and Forecasts to 2030

Report Code: IGR01417 Category: Electronics, ICT & Semiconductors Published: May, 2024

A recent report published by Infinium Global Research on battery logistics market provides in-depth analysis of segments and sub-segments in the global as well as regional battery logistics market. The study also highlights the impact of drivers, restraints, and macro indicators on the global and regional battery logistics market over the short term as well as long term. The report is a comprehensive presentation of trends, forecast and dollar values of global battery logistics market.

Market Insight:

Battery logistics market was valued at USD xx million in 2022 & is expected to reach USD xx million in 2030, with a CAGR of xx% during the forecast period 2023-2030.

Globally the rise in electric vehicles has augmented the demand for Li-ion batteries in recent years. According to the International Energy Agency, the number of EV vehicles sold has surpassed more than 13 million units in 2023. Besides EVs, the battery for domestic and industrial power consumption has increased at a significant pace. This has influenced the transportation of batteries from the manufacturers to the end users. Battery logistics is a critical task and requires high efficiency due to the heavy weight of batteries and the potential environmental hazard caused due to battery damage while in transport. Globally the battery logistics market is expected to witness significant growth due to an increase in demand for batteries in almost all sectors. The report Infinium Global Research LLP identifies the global battery logistics market as one of the most lucrative markets for logistics companies owing to the explosion in demand for EVs. This is also backed by the demand for batteries in industrial and residential usage. This market is driven by factors such as the rise in several electric vehicles and the growing demand for batteries across various industries and residences. Currently, the leading logistic service provider companies such as DHL, FedEx, DB SCHENKER, and others are offering battery logistics services. The report identifies the opportunities in developed markets such as the U.S., China, Germany, India, and Saudi Arabia among others. Moreover, several countries with growing electric vehicle (EV) adoption, the transition to renewable energy, and sustainability initiatives are likely to create significant opportunities for battery logistics over the next six years.

Research Methodology Brief:

This research has been performed by using excessive primary and secondary research methods. The primary research has been conducted by interviewing several executives and consultants in battery logistics and allied industries. The information was also collected using the questionnaires to collect the required information. Moreover, the secondary research has helped us validate the research findings through primary research. The analysts have browsed several industry and company publications about new product developments and revenues/orders.

The market size has been identified and triangulated using both bottom-up and top-down approaches. In the bottom-up approaches, the revenues of the companies operating in various countries have been identified based on the battery logistics services they have provided and the revenue generated through services. This helped us to accumulate the regional market size followed by the global market size. While performing a top-down approach the global estimated market size was split among the regions and the key segments in the market. The revenues were distributed among the sub-segments in the battery logistics market in the regional market such as North America, Europe, Asia-Pacific, Latin America, and the Middle East. The revenue distribution in the segments was based on the services of the battery logistics in each segment and each region. This approach helped us to triangulate the market and estimate the global as well as regional market size of the battery logistics market.

Key Insights into the study:

The growing popularity of electric vehicles is driving the growth of the battery logistics market. For instance, according to the International Energy Agency, more than 13 million electric cars were sold in 2023. Three markets, China, Europe, and the United States dominated global sales. China led the way, accounting for approximately 60% of global electric car sales. In Europe, which is the second-largest market for electric cars, sales of electric cars have increased by more than 15% in 2022. This means that more than one in every five cars sold in Europe is an electric car. The United States, the third-largest market, experienced a 55% increase in electric car sales in 2022, reaching a sales share of 8%. The increasing adoption of electric vehicles translates directly into a surge in demand for batteries, which are the core part of these vehicles' powertrains. EV batteries require a complex supply chain ecosystem to reach automotive assembly plants. The scale and complexity of this supply chain necessitate robust logistics infrastructure to ensure the timely delivery of batteries to meet the growing demand from automakers. The International Energy Agency further states that the global spending on electric cars exceeded USD 425 billion in 2022, up 50% relative to 2021. Government support accounted for only 10% of the total spending, with consumers driving the remaining investment in electric vehicles (EVs). Investors have demonstrated strong confidence in the EV market, as the consistent outperformance of EV-related company stocks compared to traditional carmakers since 2019. Additionally, venture capital investments in start-up firms focusing on EV and battery technologies have surged, reaching nearly USD 2.1 billion in 2022, marking a 30% increase from 2021, with investments increasing in batteries and critical minerals.

Further, batteries are becoming larger and more complex, requiring specialized handling equipment and expertise for safe transportation. The challenges of handling and shipping batteries, including their size, weight, and hazardous nature, are stimulating demand for specialized battery logistics solutions. Workers need training and specialized equipment due to the batteries' characteristics and fire risk. Compliance with hazardous materials regulations, varying shipping rules, and coordination among supply chain partners add complexity. Custom packaging meeting testing standards is crucial. As the demand for batteries grows, specialized battery logistics services are increasingly essential to ensure safe and efficient transportation.

However, the complexity and safety concerns regarding battery logistics can hamper the market growth. Handling and transporting batteries, particularly lithium-ion batteries used in EVs, pose safety challenges due to their hazardous nature and risk of thermal runaway. Compliance with safety regulations and the need for specialized handling procedures add complexity and cost to battery logistics operations. The increasing focus on sustainability and circular economy principles is opening up opportunities for the development of recycling infrastructure for end-of-life batteries. The companies operating in the battery logistics market can benefit from this trend by providing the necessary logistics infrastructure for the recycling of batteries. For instance, CEVA Logistics is focusing on the development of processes related to handling, storing, and transporting used Li-ion batteries.

Global Battery Logistics Market Size, Industry Report 2030 | IGR

The global battery logistics market is geographically segmented into North America, Europe, Asia Pacific, and the rest of the world. Among the regions, the Asia Pacific region is expected to grab a significant share of the global battery logistics market. Asia Pacific region is home to some of the world's largest and most dynamic economies, including China, Japan, South Korea, and India. These countries have witnessed rapid industrialization, urbanization, and technological advancements, leading to a surge in demand for batteries across various sectors such as automotive, electronics, energy storage, and renewable energy. The growing production of electric vehicles in the Asia Pacific region is driving the growth of the battery logistics market. For instance, according to the East Asia Forum (EAF), in 2022, China produced around 60 percent of the world’s electric vehicles including both battery electric vehicles and plug-in hybrid vehicles. The International Energy Agency reported that, in 2022, 35% of exported electric cars came from China, compared with 25% in 2021. Additionally, the battery demand in China increased from 182.1 GWh/year in 2021 to 312.0 GWh/year in 2022. According to Invest KOREA, the production of electric vehicles in South Korea in 2022 accounted for more than 4 lakh units. Furthermore, the growing number of electric vehicle manufacturers in India stimulates market growth. According to the NITI Aayog, there are around 380 electric vehicle manufacturers in India. Additionally, the supportive regulatory environment and government policies promoting the adoption of electric vehicles, renewable energy, and energy storage solutions have further stimulated the growth of the battery logistics market in Asia Pacific. Initiatives such as subsidies for EVs, investment incentives for battery manufacturing facilities, and regulations mandating the use of clean energy have accelerated the deployment of batteries and catalyzed the development of logistics infrastructure to support these initiatives.

Report Scope of the Battery Logistics Market:

Report Coverage Details
Market Size in 2022 USD XX Million
Market Size by 2030 USD XX Million
Growth Rate from 2023 to 2030 CAGR of xx%
Largest Market Asia Pacific
No. of Pages 255
Market Drivers
  • The growing popularity of electric vehicles is driving the growth of the battery logistics market.

  • The growing size and complexity of batteries is creating the demand for specialized battery logistics solutions.

Market Segmentation By Battery Type, By Service Type, and By End-use Industry
Regional Scope North America, Europe, Asia Pacific, and RoW

Segment wise revenue contribution in the global battery logistics market

The report on global battery logistics market provides a detailed analysis of segments in the market based on Battery Type, Service Type, and End-use Industry.

Segmentation Based on Battery Type

·       Lithium-ion Batteries

·       Lead-acid Batteries

·       Nickel-cadmium Batteries

·       Nickel-metal Hydride (NiMH)

·       Others

Segmentation Based on Service Type

·       Warehousing

o     Storage System

o     Packaging

·       Transportation

o     Road

o     Rail

o     Sea

o     Air

Segmentation Based on End-use Industry

·       Automotive

·       Electronics

·       Energy Storage

·       Others

Company Profiled:

·       DHL

·       FedEx

·       DB Schenker

·       CEVA Logistics

·       Maersk

·       Airborne International Courier Services

·       Crane Worldwide Logistics

·       Evans Distribution Systems

·       NOWOS

·       Alfred Schuon GmbH Internationale Spedition + Logistik

Report Highlights:

The report provides deep insights into demand forecasts, market trends, and micro and macro indicators. In addition, this report provides insights into the factors that are driving and restraining the growth in this market. Moreover, The IGR-Growth Matrix analysis given in the report brings an insight into the investment areas that existing or new market players can consider. The report provides insights into the market using analytical tools such as Porter's five forces analysis and DRO analysis of the battery logistics market. Moreover, the study highlights current market trends and provides forecasts from 2023-2030. We also have highlighted future trends in the market that will affect the demand during the forecast period. Moreover, the competitive analysis given in each regional market brings an insight into the market share of the leading players.

Frequently Asked Questions (FAQ's)

The global battery logistics market was valued at USD XX Million in 2022.
It is likely to grow at a CAGR of xx% during the forecast period 2023-2030.
The global battery logistics market is estimated to reach USD XX Million by the end of 2030.
Asia Pacific is anticipated to exhibit high demand for battery logistics market during the forecast period.
DHL, FedEx, DB Schenker, CEVA Logistics, Maersk, Airborne International Courier Services, Crane Worldwide Logistics, Evans Distribution Systems, NOWOS, and Alfred Schuon GmbH Internationale Spedition + Logistik.
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