Industrial Battery Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Industrial Battery Market Report is Segmented by Technology (Lithium-Ion, Lead-Acid, Nickel-Based, and Others), Application (Forklift and Motive Power, Telecom Backup, UPS/Data Centres, Grid-Scale ESS, and Others), End-User Industry (Power and Utilities, Oil and Gas, Manufacturing and Warehousing, Telecom, and Others), and Geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa).

Industrial Battery Market Size and Share

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Compare market size and growth of Industrial Battery Market with other markets in Energy & Power Industry

Industrial Battery Market Analysis by Mordor Intelligence

The Industrial Battery Market size is estimated at USD 36.07 billion in 2025, and is expected to reach USD 80.37 billion by 2030, at a CAGR of 17.38% during the forecast period (2025-2030).

Falling lithium-ion prices, expanding grid-scale storage projects, and the march toward warehouse automation position batteries as indispensable infrastructure for energy‐transition agendas. Heightened policy support in the United States and Europe spurs fresh manufacturing capacity, while Asia-Pacific leverages integrated supply chains to keep cost leadership. Consolidation is gathering speed as leading cell makers move upstream into raw materials and downstream into systems integration to secure margins, offset mineral price volatility, and comply with tightening safety standards. At the same time, second-life leasing models, micro-grid deployments, and the rise of sodium-ion alternatives are widening the addressable pool of applications and anchoring long-term demand for the industrial battery market.

Key Report Takeaways

  •  By technology, lithium-ion held 51.16% of the industrial battery market share in 2024; sodium-ion is projected to grow at an 18.41% CAGR through 2030. 
  • By application, forklift and motive power led with 31.47% revenue share in 2024, while automated guided vehicles are forecast to expand at an 18.53% CAGR to 2030. 
  • By end-user industry, the power and utilities segment accounted for 37.74% of the industrial battery market size in 2024 and is growing at an 18.07% CAGR through 2030. 
  • By geography, Asia-Pacific commanded 49.81% of the industrial battery market in 2024; Asia-Pacific records the fastest projected CAGR at 19.45% to 2030. 
  • CATL, BYD, LGEnergySolution, EnerSys, and EastPenn collectively held a major share of 2024 revenues, underscoring a moderately fragmented competitive field.

Segment Analysis

By Technology: Lithium-Ion Dominance Accelerates

Lithium-ion captured 51% of the industrial battery market share in 2024, underpinned by an 89% decade-long cost plunge and superior round-trip efficiency. The segment is projected to expand at an 18% CAGR to 2030 as LFP formulations deliver 95% capacity retention after 6,000 cycles, pushing the lifetime cost of ownership below USD 0.08 per kWh delivered. Sodium-ion enters commercial scale via CATL’s 2024 launch, offering 30% lower material costs and competitive performance for stationary storage. Flow batteries hold a foothold in applications requiring more than eight-hour discharge; a 100 MW/400 MWh vanadium redox plant in China illustrates bankable 20-year lifespans. Nickel-cadmium and nickel-metal hydride supply harsh-environment niches where -40 °C to 70 °C operation is essential, notably in remote oilfields. Solid-state prototypes promising 50% higher energy density line up for pilot production after 2027, with global automakers backing production qualification lines jointly.

The industrial battery market size for lithium-ion systems is forecast to climb from USD 18.4 billion in 2025 to USD 47.6 billion by 2030. Continuous scale-up dampens capital intensity per GWh, encourages vertical integration, and widens the performance gap with legacy chemistries. Simultaneously, innovation on high-manganese cathodes, silicon anodes, and high-voltage electrolytes intends to further trim unit costs and sharpen lithium-ion’s value proposition. Suppliers invest in Gigafactory-adjacent recycling hubs to harvest cobalt, nickel, and lithium, underpinning circular-economy credentials required under new EU stewardship rules. The combined effect cements lithium-ion’s leadership while allowing complementary chemistries to secure clearly defined roles, ensuring technology diversity within the industrial battery market.

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Note: Segment shares of all individual segments available upon report purchase

By Application: Industrial Automation Drives Growth

Forklift and motive power solutions commanded 31% of revenue in 2024, rising from 24/7 e-commerce fulfillment and robotics adoption. Lithium-ion platforms cut charging downtime by 70%, lift equipment uptime, and eliminate acid-spill hazards, creating a tangible operational payback. The industrial battery market size for warehouse equipment will reach USD 19.7 billion by 2030 at an 18.5% CAGR. Automated guided vehicles, the segment’s fastest-growing sub-category, record 40% annual unit increases as sensors, telematics, and 5G connectivity enable higher autonomy classes.

Grid-scale energy storage is the second-largest application, bolstered by utility mandates for renewable integration and capacity adequacy. Battery-backed peaker replacements in the United States and Australia now routinely surpass 100 MW four-hour specifications. UPS and data centre solutions form a high-margin application where downtime penalties justify premium chemistries and intelligent battery management. Telecom tower electrification grows steadily; 5G densification increases site power draw, requiring chemistry shifts toward high-rate capable lithium-ion. Rail, marine, and off-highway vehicles present emergent growth pools as emissions legislation tightens around ports and urban rail corridors, further expanding demand across the industrial battery market.

By End-User Industry: Power Sector Transformation

Power and utilities absorbed 38% of 2024 volumes and grew 18% annually as grids migrated from centralized fossil plants to renewable-led configurations. Batteries now deliver frequency regulation, black-start, capacity reserves, and congestion relief in vertically integrated and deregulated markets. Utility customers' industrial battery market share is expected to surpass 40% by 2030 as regulatory frameworks in the United States, Japan, and India formalize storage as a tradable asset class. Manufacturing and warehousing are the second-largest demand block, propelled by robotics and lean operations that rely on battery runtime predictability.

Oil and gas installations adopt hybrid power modules that trim diesel fuel burn by 15-20%, translating into lower maintenance and carbon intensity. The West Mira drilling rig achieved a 42% drop in generator runtime with a 6 MWh lithium-ion overlay. Telecom operators extend backup durations to handle 5G traffic surges, and edge compute nodes multiply storage nodes across urban footprints. Infrastructure owners in airports, ports, and railways integrate battery banks into micro-grids to shave peak tariffs and support resilience mandates, broadening the industrial battery market’s sectoral scope.

Industrial Battery Market: Market Share by End-User Industry
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Geography Analysis

Asia-Pacific retained a 50% revenue share in 2024, driven by cost-efficient giga-scale factories, government incentives, and vertically integrated supply chains. China accounts for two-thirds of regional capacity, with single plants exceeding 40 GWh annually. Japan's material science prowess and South Korea's premium cell expertise reveal a robust ecosystem that keeps regional prices 15-20% below Western benchmarks. Asia-Pacific's industrial battery market size is set to climb at a 19.45% CAGR, fueled by domestic renewables targets, export-oriented manufacturing, and accelerating electric-vehicle infrastructure that shares common supply chains with stationary storage.

North America is one of the fastest-growing developed regions, through 2030, due to the Inflation Reduction Act incentives, defense-oriented supply-chain reshoring, and abundant renewable resources. Between 2022-2025, announced investments exceed USD 100 billion, led by LG Energy Solution's USD 5.5 billion Arizona plant and Tesla's USD 200 million megafactory in Texas. Federal loan guarantees and production tax credits lower capital hurdles, while state-level fast-track permits compress project timelines.

Europe pursues strategic autonomy via the Green Deal Industrial Plan and European Battery Alliance, yet high energy costs and permitting complexity slow build-out. Germany, Sweden, and Hungary host most projects; Norway and Finland leverage low-carbon power to attract anode and cathode processing. The Middle East and Africa represent nascent but promising markets as off-grid solar plus storage displaces diesel generators; South Africa's REIPPP programme and the UAE's smart-city ambitions drive early adoption. Latin America's lithium triangle stimulates downstream investment discussions, positioning the region as a resource hub and a future manufacturing base for the industrial battery market.

Industrial Battery Market CAGR (%), Growth Rate by Region
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Competitive Landscape

The industrial battery market features moderate fragmentation, with the top five suppliers accounting major share of 2024 revenues. CATL, BYD, LG Energy Solution, Samsung SDI, and Panasonic dominate lithium-ion volumes through enormous scale and broad chemistry portfolios. EnerSys and East Penn defend lead-acid incumbency by modernizing plants, adding partial lithium-ion lines, and securing recycling loops. Consolidation accelerates as players lock in raw material offtake, absorb integrators, and pursue direct-to-end-user channels. LG Energy Solution’s USD 1.4 billion US stationary storage plant exemplifies vertical integration: cathode to cell to rack.

Scale is now the key entry barrier. Gigafactory economies of scope allow leading firms to quote system prices 10-15% lower than tier-2 rivals while funding intensive R&D into solid-state prototypes. Tesla leverages pack-level design integration plus proprietary software to carve a premium position in grid storage and commercial micro-grids. Chinese champions capture emerging markets by bundling EPC services with subsidized financing, though Western buyers increasingly weigh supply-chain security, environmental disclosures, and cybersecurity in sourcing decisions.

Technological differentiation persists in specialist niches. Saft’s nickel-cadmium products excel in high-temperature oilfield and rail signaling, commanding price premiums. ESS Inc.’s iron-flow technology offers 12-hour durations attractive for wind-rich grids in Australia and the United States. Patent filings in solid-state chemistry swelled 300% since 2022, reflecting an arms race that could reorder competitive rankings after 2027. Meanwhile, warranty analytics and digital twins become critical to securing competitive advantage, lowering lifetime service costs, and strengthening customer retention in the industrial battery market.

Industrial Battery Industry Leaders

  1. EnerSys

  2. East Penn Manufacturing

  3. GS Yuasa Corporation

  4. Exide Industries

  5. Saft Groupe SA

  6. *Disclaimer: Major Players sorted in no particular order
Industrial Battery Market
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Recent Industry Developments

  • June 2025: Prevalon commissioned an 80 MW battery storage system for Idaho Power, underscoring utility confidence in large-scale batteries for grid stabilization.
  • June 2025: Akaysha Energy initiated commissioning of a 300 MWh project in Queensland, growing Australia’s storage footprint.
  • April 2025: Strata Clean Energy broke ground on a 150 MW/600 MWh facility in Arizona, reflecting steady US utility-scale momentum.
  • March 2025: Tesla announced a USD 200 million battery megafactory in Brookshire, Texas, to meet surging stationary demand.

Table of Contents for Industrial Battery Industry Report

1. Introduction

  • 1.1 Study Assumptions & Market Definition
  • 1.2 Scope of the Study

2. Research Methodology

3. Executive Summary

4. Market Landscape

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Declining lithium-ion battery cost curve
    • 4.2.2 Renewable-powered ESS build-outs
    • 4.2.3 Warehouse automation & AGVs surge
    • 4.2.4 DC micro-grids in data centres
    • 4.2.5 Telecom tower storage mandates
    • 4.2.6 OEM-driven 2nd-life leasing models
  • 4.3 Market Restraints
    • 4.3.1 Critical-mineral price volatility
    • 4.3.2 Lead-acid pollution regulations
    • 4.3.3 Solid-state tech "wait-and-see" effect
    • 4.3.4 Rising BESS fire-risk insurance costs
  • 4.4 Battery/Raw-Material Price Trends & Forecast
  • 4.5 Import and Export Analysis
  • 4.6 Supply-Chain Analysis
  • 4.7 Regulatory Landscape
  • 4.8 Technological Outlook
  • 4.9 Porter's Five Forces
    • 4.9.1 Bargaining Power of Suppliers
    • 4.9.2 Bargaining Power of Buyers
    • 4.9.3 Threat of New Entrants
    • 4.9.4 Threat of Substitutes
    • 4.9.5 Competitive Rivalry

5. Market Size & Growth Forecasts

  • 5.1 By Technology
    • 5.1.1 Lithium-ion
    • 5.1.2 Lead-acid
    • 5.1.3 Nickel-based
    • 5.1.4 Others (incl. Flow Battery, Sodium-ion)
  • 5.2 By Application
    • 5.2.1 Forklift and Motive Power
    • 5.2.2 Telecom Backup
    • 5.2.3 UPS/Data Centres
    • 5.2.4 Grid-Scale ESS
    • 5.2.5 Others (incl Automated Guided Vehicles, Rail and Marine)
  • 5.3 By End-User Industry
    • 5.3.1 Power and Utilities
    • 5.3.2 Oil and Gas
    • 5.3.3 Manufacturing and Warehousing
    • 5.3.4 Telecom
    • 5.3.5 Others (incl Transportation and Logistics)
  • 5.4 By Geography
    • 5.4.1 North America
    • 5.4.1.1 United States
    • 5.4.1.2 Canada
    • 5.4.1.3 Mexico
    • 5.4.2 Europe
    • 5.4.2.1 Germany
    • 5.4.2.2 France
    • 5.4.2.3 United Kingdom
    • 5.4.2.4 Italy
    • 5.4.2.5 Spain
    • 5.4.2.6 Nordic Countries
    • 5.4.2.7 Russia
    • 5.4.2.8 Rest of Europe
    • 5.4.3 Asia-Pacific
    • 5.4.3.1 China
    • 5.4.3.2 Japan
    • 5.4.3.3 India
    • 5.4.3.4 South Korea
    • 5.4.3.5 ASEAN Countries
    • 5.4.3.6 Rest of Asia-Pacific
    • 5.4.4 South America
    • 5.4.4.1 Brazil
    • 5.4.4.2 Argentina
    • 5.4.4.3 Rest of South America
    • 5.4.5 Middle East and Africa
    • 5.4.5.1 United Arab Emirates
    • 5.4.5.2 Saudi Arabia
    • 5.4.5.3 South Africa
    • 5.4.5.4 Rest of Middle East and Africa

6. Competitive Landscape

  • 6.1 Market Concentration
  • 6.2 Strategic Moves (M&A, Partnerships, PPAs)
  • 6.3 Market Share Analysis (Market Rank/Share for key companies)
  • 6.4 Company Profiles (includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Products & Services, and Recent Developments)
    • 6.4.1 EnerSys
    • 6.4.2 East Penn Manufacturing
    • 6.4.3 Exide Industries
    • 6.4.4 GS Yuasa Corp.
    • 6.4.5 Saft Groupe SA
    • 6.4.6 Amara Raja Batteries
    • 6.4.7 Panasonic Energy
    • 6.4.8 CATL
    • 6.4.9 BYD Co. Ltd.
    • 6.4.10 LG Energy Solution
    • 6.4.11 Samsung SDI
    • 6.4.12 Johnson Controls
    • 6.4.13 Leoch Int'l
    • 6.4.14 JYC Battery
    • 6.4.15 Narada Power
    • 6.4.16 Crown Battery
    • 6.4.17 Hoppecke Batteries
    • 6.4.18 NorthStar Battery
    • 6.4.19 Trojan Battery
    • 6.4.20 Vision Group

7. Market Opportunities & Future Outlook

  • 7.1 White-space & Unmet-Need Assessment
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Global Industrial Battery Market Report Scope

Industrial batteries are sources of electrical energy that are generated from electrochemical reactions. Industrial batteries are an important part of uninterrupted power supply (UPS) systems, which are widely used for stationary or mobile applications.

The industrial battery market is segmented by technology, application, end-user, and geography. By technology, the market is segmented into lithium-ion battery, lead-acid battery, and other technologies (nickel cadmium, nickel metal hydride, zinc-carbon, etc.). By application, the market is segmented into forklift, telecom, UPS, and other applications. By end-user, the market is segmented into the power sector, oil & gas sector, manufacturing sector, telecom, and other end-users. The report also covers the market size and forecasts for the industrial battery market across major regions, such as North America, Europe, Asia-Pacific, South America, and Middle-East and Africa. 

For each segment, market sizing and forecasts have been done based on revenue (USD).

By Technology Lithium-ion
Lead-acid
Nickel-based
Others (incl. Flow Battery, Sodium-ion)
By Application Forklift and Motive Power
Telecom Backup
UPS/Data Centres
Grid-Scale ESS
Others (incl Automated Guided Vehicles, Rail and Marine)
By End-User Industry Power and Utilities
Oil and Gas
Manufacturing and Warehousing
Telecom
Others (incl Transportation and Logistics)
By Geography North America United States
Canada
Mexico
Europe Germany
France
United Kingdom
Italy
Spain
Nordic Countries
Russia
Rest of Europe
Asia-Pacific China
Japan
India
South Korea
ASEAN Countries
Rest of Asia-Pacific
South America Brazil
Argentina
Rest of South America
Middle East and Africa United Arab Emirates
Saudi Arabia
South Africa
Rest of Middle East and Africa
By Technology
Lithium-ion
Lead-acid
Nickel-based
Others (incl. Flow Battery, Sodium-ion)
By Application
Forklift and Motive Power
Telecom Backup
UPS/Data Centres
Grid-Scale ESS
Others (incl Automated Guided Vehicles, Rail and Marine)
By End-User Industry
Power and Utilities
Oil and Gas
Manufacturing and Warehousing
Telecom
Others (incl Transportation and Logistics)
By Geography
North America United States
Canada
Mexico
Europe Germany
France
United Kingdom
Italy
Spain
Nordic Countries
Russia
Rest of Europe
Asia-Pacific China
Japan
India
South Korea
ASEAN Countries
Rest of Asia-Pacific
South America Brazil
Argentina
Rest of South America
Middle East and Africa United Arab Emirates
Saudi Arabia
South Africa
Rest of Middle East and Africa
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Key Questions Answered in the Report

What is the size of the industrial battery market in 2025?

The market is valued at USD 36.07 billion in 2025 and is expected to reach USD 80.37 billion by 2030.

Which battery technology currently dominates the industrial battery market?

Lithium-ion technology leads with 51% of 2024 revenue and is expanding at an 18.4% CAGR through 2030.

What is the fastest-growing application for industrial batteries?

Forklift and motive power applications are advancing at an 18.53% CAGR due to accelerating warehouse automation.

Why are power utilities adopting large-scale battery storage?

Utilities deploy batteries to provide frequency regulation, capacity reserves, and renewable energy integration as wind and solar exceed 30% of generation in several markets.

How does critical-mineral price volatility influence market growth?

Volatile lithium, cobalt, and nickel prices can trim the market’s CAGR by 2.3 percentage points, prompting greater recycling, supply diversification, and interest in sodium-ion alternatives.

Which region is projected to grow the fastest by 2030?

Asia-Pacific is on track for a 19.45% CAGR, driven by domestic renewables targets, export-oriented manufacturing, and accelerating electric-vehicle infrastructure.

Page last updated on: July 4, 2025