The global Gel Battery Market is Grows Steadily at a CAGR of 4.40%

Introduction

The gel battery is one type of valve-regulated lead-acid (VRLA) battery. It can be changed and doesn't need any maintenance. Gel batteries give off less pollution and can be used in places where there isn't much airflow. The silica is a part of the gel battery's electrolyte. It has lower recharge voltages than other types of lead-acid batteries. Gel batteries are popular because they don't need much maintenance, they don't leak, they work well in a wide range of temperatures, their terminals don't rust, and other good things. But the availability of alternatives and people's dislike of being overcharged is expected to slow market growth during the forecast period.

Market Dynamics

Ease of Recycling VRLA Batteries Drives the Global Market

The gel battery is a particular valve-regulated lead-acid (VRLA) battery. The recycling of VRLA batteries is more straightforward than that of lithium-ion batteries. VRLA batteries are less expensive to dispose of than lithium-ion batteries. Currently, gel batteries recycle more frequently than lithium-ion batteries, making them better for the environment. They are not recycled as regularly as gel batteries since lithium-ion batteries are still a relatively new technology. The machinery needed to recycle them still needs to be developed, making them expensive or overpriced. However, as the market for these batteries grows, lithium-ion battery recycling is anticipated to surpass that of gel batteries eventually.

Expanding Data Centers Creates Tremendous Opportunities

Information from the internet is stored on a network of servers collectively referred to as data centers and accessible from anywhere. Lead-acid batteries are widely employed in such data centers because they can handle the enormous energy output from increased internet traffic and have a high power-to-weight ratio and solid current surge. As lead-acid batteries are infamous for their inconsistent power supply, lead-acid batteries with valve regulation are often used in data centers. As the necessity to extend the edge of the internet becomes increasingly apparent, businesses worldwide are expanding their data centers to handle various data issues.

Hyperscale data centers are popping up everywhere, mainly in China and the U.S. Thus, as more data centers are built in the following years, there may be a rise in the need for VRLA batteries. As a result, there will probably be positive growth opportunities due to the proliferation of data centers during the anticipated timeframe.

Regional Analysis 

Asia-Pacific is the highest revenue contributor and is anticipated to expand at a CAGR of 4.80% during the projection period. Asia-Pacific, the region with the most significant global geographic market for gel batteries, made up around 39.9% of the total in 2019. Several countries, including China, India, Japan, and others, are essential in Asia-Pacific. A few factors driving this region's growth include high vehicle production and sales, growing industrialization, a rising population, and a surge in demand for UPS systems. The telecom sector is increasingly fueling the sale of gel batteries. The automotive industry's electric vehicle market is expanding significantly to reduce carbon footprints. Asia-Pacific is still a developing region in terms of economic growth and is typically price-sensitive.

Europe is anticipated to grow at a CAGR of 3.85% during the forecast period. The examination of Europe takes into account Germany, France, Italy, Spain, the U.K., and the rest of Europe. Germany is one of the nations that has been luring capital for developing battery manufacturing facilities from other countries worldwide. All battery kinds, including Li-ion, gel, and absorbed glass matte cells, are now more competitive. Additionally, the usage of solar energy has increased significantly in Germany. This feature has created an appealing potential for valve-regulated lead acid (VRLA) battery makers. Europe has been actively engaged in the government's required renewable targets as part of its legislative plan.

Key Highlights

• The global gel battery industry was valued at USD 2,115.20 million in 2022. It is projected to reach USD 3,116.42 million by 2031, growing at a CAGR of 4.40% during the forecast period (2023-2031).
• Based on this, the global gel battery market is bifurcated into 2V, 6V, and 12V. The 12V segment is the highest contributor to the market and is estimated to grow at a CAGR of 4.50% during the forecast period.
• Based on application, the global gel battery market is bifurcated into electric mobility, energy storage and distribution, telecommunication, and others. The electric mobility segment is the highest contributor to the market and is estimated to grow at a CAGR of 4.20% during the forecast period.
• Asia-Pacific is the most significant revenue contributor and is expected to grow at a CAGR of 4.80% during the forecast period.

Competitive Players

Competitive Players

The global gel battery market's major key players are Exide Technologies, BSB Power Company Limited., Power-Sonic Corporation, Leoch International Technology Limited Inc., Storage Battery Systems, LLC, Canbat Technologies Inc., C&D Technologies, Inc., B.B. TECH (Changsha) Co., JYC Battery Manufacturing Co., Ltd., Ltd., Vision Group.

Recent Developments

Market News

• In August 2022, MIT researchers created new low-cost battery designs using readily available, low-cost components. The innovative battery architecture aids in delivering inexpensive backup storage for renewable energy sources by using aluminum and sulfur as its two electrode materials and a molten salt electrolyte in between.
• In January 2022, BYD and FAW were preparing to build a battery manufacturing plant with a 45 GWh annual capacity in northern China. FAW FinDreams New Energy Technology, a joint company between BYD and FAW, was founded with a registered capital of 140 million euros. 51% of the joint venture is owned by BYD, with the remaining 49% by FAW Group.

Segmentation

Global Gel Battery Market: Segmentation

By Type

• 2V
• 6V
• 12 V

By Applications

• Electric Mobility
• Energy Storage and Distribution
• Telecommunication
• Others

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA