Supercapacitors Market

Market Overview

The global supercapacitors market size was valued at USD 5.16 billion in 2023. It is estimated to reach USD 27.33 billion by 2032, growing at a CAGR of 20.35% during the forecast period (2024–2032). In recent years, there has been a growing emphasis on sustainable energy solutions, as well as the demand for efficient energy storage systems owing to surging environmental pollution, thereby augmenting the global supercapacitors market. Furthermore, supercapacitors are also integrated into IoT devices and wearable technologies, and the growing proliferation of these devices is estimated to create opportunities for global market expansion.

Supercapacitors, also known as ultracapacitors, are large-capacity capacitors that sit between traditional electrolytic capacitors and rechargeable batteries. They store 10 to 100 times more energy per unit volume or mass than electrolytic capacitors, making them suitable for applications that require frequent charge/discharge cycles. Unlike conventional capacitors, supercapacitors store energy using electrostatic double-layer capacitance and electrochemical pseudocapacitance.

They are widely used in the automotive, industrial, and renewable energy industries for regenerative braking, short-term energy storage, and burst-mode power delivery. Supercapacitor electrodes are thin coatings applied to conductive current collectors, which are typically made of porous materials such as activated carbon, to maximize surface area and capacitance. Supercapacitors are critical components in a variety of applications that require quick bursts of power and energy efficiency due to their ability to accept and deliver charge quickly, withstand numerous charge/discharge cycles, and provide high specific power levels.

Highlights

• Double Layer Capacitor dominates the type segment.
• Camera dominates the application segment.
• Automotives dominate the end-user segment.
• Asia Pacific is the highest shareholder in the global market.

Market Dynamics

Global Supercapacitors Market Drivers

Rising Demand for Energy Storage Solutions in Renewable Energy Applications

The global supercapacitors market is significantly driven by the increasing demand for efficient energy storage solutions in renewable energy applications. With the growing adoption of renewable energy sources such as solar and wind power, the need for reliable energy storage systems has surged. Supercapacitors offer a viable solution due to their high power density, rapid charge-discharge cycles, and long operational life. According to a report by the International Renewable Energy Agency (IRENA), renewable energy capacity globally will increase by 200 GW in 2022, highlighting the expanding need for energy storage solutions.

Supercapacitors are increasingly being integrated into renewable energy systems to manage energy fluctuations and provide stability. For instance, in solar power systems, supercapacitors store excess energy during peak sunlight hours and release it during low sunlight periods, enhancing overall system efficiency. The ability of supercapacitors to deliver quick bursts of energy also makes them ideal for wind turbines, which require sudden power boosts to adjust blade positions during variable wind conditions. As the global renewable energy sector continues to grow, the demand for supercapacitors is expected to rise, driving market expansion.

Global Supercapacitors Market Restraint

High Cost of Supercapacitors

Despite their numerous advantages, the high cost of supercapacitors is a significant restraint on the market. The advanced materials and manufacturing processes required to produce supercapacitors contribute to their high price compared to traditional batteries. For example, supercapacitors use expensive materials such as activated carbon, carbon nanotubes, and graphene, which increase production costs. According to a report by IDTechEx, the cost per kilowatt-hour for supercapacitors is currently around $20,000, significantly higher than lithium-ion batteries, which cost approximately $137 per kilowatt-hour.

The high cost limits the adoption of supercapacitors, particularly in price-sensitive applications and markets. While supercapacitors offer superior performance in terms of power density and cycle life, their economic feasibility remains a challenge. Efforts are being made to develop cost-effective materials and streamline manufacturing processes, but significant cost reductions are needed for supercapacitors to become a mainstream energy storage solution. Until these cost barriers are addressed, the growth of the global supercapacitors market may be constrained.

Global Supercapacitors Market Opportunities

Integration of Supercapacitors in IoT Devices and Wearable Technology

The integration of supercapacitors in Internet of Things (IoT) devices and wearable technology presents significant market opportunities. Supercapacitors offer rapid charge-discharge cycles and long operational lifespans, making them ideal for powering small, energy-efficient devices. The IoT market is expanding rapidly, with the number of connected devices projected to reach 75.4 billion by 2025, according to IHS Markit. This growth creates a substantial demand for efficient and reliable energy storage solutions.

Wearable technology, including fitness trackers, smartwatches, and medical monitoring devices, also benefits from supercapacitors. These devices require compact, lightweight, and durable power sources. Supercapacitors can deliver quick bursts of energy, ensuring the smooth operation of various sensors and communication modules within wearable devices. Companies like CAP-XX and Skeleton Technologies are already exploring the use of supercapacitors in wearable applications. As the IoT and wearable technology markets continue to grow, the demand for supercapacitors is expected to increase, providing lucrative opportunities for market expansion.

Regional Analysis

Asia Pacific Dominates the Global Market

Based on region, the global market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

The Asia-Pacific region is a pivotal player in the global supercapacitors market, showcasing substantial growth potential during the forecast period. Dominated by China, the region's expansion is driven by ambitious carbon neutrality targets set for 2060, fueling rapid demand for supercapacitors. China's market is bolstered by increasing applications in electric vehicles (EVs) and supportive government policies encouraging new market entrants. The burgeoning automotive sector, with the Chinese Central Government projecting automotive output to reach 35 million units by 2025, significantly contributes to supercapacitor demand. As one of the leading adopters of EVs, China's initiatives, like the 13th Five-Year Plan for Transportation, emphasize green mobility, enhancing the supercapacitor market's prospects.

In addition to the automotive sector, advancements in communication technologies within telecommunications and space have spurred supercapacitor demand in China. For instance, the Indian Space Research Organization (ISRO) has developed technologies for processing supercapacitors with varying capacitance values for specialized applications at the Vikram Sarabhai Space Center. These technological advancements underscore the growing importance of supercapacitors in the region. Japan is another significant contributor to the Asia-Pacific supercapacitors market. The Japanese government aims for all new cars sold by 2050 to be electric or hybrid, incentivizing the development of EV batteries and motors. This strategic push towards reducing vehicular greenhouse gas emissions has led Japanese manufacturers to focus on EV production. Hino Motors Ltd, for example, has introduced its first diesel-electric hybrid truck, reflecting the broader industry trend. Thus, the Asia-Pacific region, with China, India, and Japan at the forefront, is driving the global supercapacitors market.

North America is anticipated to grow at a significant pace. The North American region is expected to lead the Global Supercapacitors Market, primarily driven by the United States. The increased emphasis on renewable energy significantly contributes to this regional market's supremacy. The National Conference of State Legislatures (NCSL) developed Renewable Portfolio Standards (RPS) to diversify energy supplies, enhance domestic energy production, and stimulate economic development.

New laws mandate phase I utilities to achieve a renewables target of 14% by 2025, 30% by 2030, 65% by 2040, and 100% by 2050, while phase II utilities must reach 26% by 2025, 41% by 2030, and 100% by 2045. These regulations are set to boost the renewable energy market, driving supercapacitor demand throughout the forecast period. Furthermore, supercapacitors' integration in automotive applications—such as power assistance, auto-start-stop systems, catalyst preheating, door locking systems, regenerative braking, and electrical system stabilization—will further propel market growth in the United States. Consequently, the combination of regulatory support and technological advancements is poised to strengthen the North American supercapacitors market significantly during the projection period.

Segmental Analysis

The global supercapacitors market is segmented based on type, material, application, and end-user.

By type, the market is further segmented into double-layer capacitors, pseudo capacitors, and hybrid capacitors.

Double Layer Capacitor accounts for the largest share of the market. Double-layer capacitors, called Electric double-layer capacitors (EDLC) or ultracapacitors, store energy by separating charges electrostatically at the electrode-electrolyte interface. They use a high-surface-area electrode and a separator to produce a large double-layer capacitance. They are based on the theory of electrostatic double-layer capacitance, which occurs at the electrode-electrolyte interface. DLCs feature a high energy storage capacity, a long cycle life, and the ability to charge and discharge quickly. They are widely utilized in applications requiring high power density and short energy bursts, including renewable energy systems, automotive electronics, and consumer electronics.

Based on material, the market is sub-segmented into electrodes, activated carbon, and activated carbon fibers.

Activated carbon dominates the material segment in the global supercapacitors market due to its exceptional capacitive characteristics. This porous, high-surface-area carbon is widely used in supercapacitor electrodes. The activation process involves using oxidizing chemicals or high-temperature techniques to create micropores and significantly enhance its surface area. Activated carbon is highly preferred because of its excellent specific capacitance, which greatly boosts the energy storage capacity of supercapacitors. Its high specific surface area and pore structure facilitate efficient charge storage and rapid charge-discharge cycles, making it ideal for applications requiring quick bursts of energy. Consequently, its superior performance attributes contribute to its dominance in the supercapacitor market.

By application, the segment can be further bifurcated into camera and laptop.

In the global supercapacitors market, the camera application segment holds a dominant position. Supercapacitors are integral to digital cameras and other photographic equipment, providing short bursts of energy crucial for various functions. They enhance camera performance by powering the flash, enabling rapid-fire photography, and supporting swift autofocus capabilities. This results in seamless, high-speed photography and better user experience. The preference for supercapacitors in cameras stems from their ability to deliver immediate power efficiently, which is essential for features requiring quick energy surges. As photography technology continues to advance, the demand for supercapacitors in this application is expected to grow, reinforcing their prominence in the market.

The market is divided into consumer electronics, automotive, and manufacturing based on end-users.

Automotives are the largest end-user of the market. Supercapacitors are used in various applications in the automobile sector, including regenerative braking, start-stop systems, and hybrid and electric vehicles (EVs). Supercapacitors increase energy economy, lower pollutants, and improve vehicle performance. The automobile category dominated the market. Energy storage technologies that efficiently handle regenerative braking, start-stop systems, and power transmission for diverse automobile applications are in high demand. Supercapacitors excel in these applications because of their high-power density, quick charging, and great temperature performance. They may catch and store energy while braking and swiftly release it during acceleration, increasing fuel efficiency and lowering pollution.

Recent Developments

• May 2024- Researchers at Korea University have developed a binder-free textile supercapacitor electrode using carbon nano-oligomer interfacial bonding. This innovative approach eliminates the need for binders, simplifying the manufacturing process and potentially reducing costs. The binder-free electrode showcases the potential for advancements in textile-based supercapacitors, a growing segment of the supercapacitor market driven by the demand for flexible energy storage solutions in wearable electronics and smart textiles.
• May 2024- Researchers at IIT Guwahati have developed high-performance materials for supercapacitors, addressing challenges in commercialization. The team created composite electrodes using MXene and cellulose nanofibers derived from bio-waste, achieving high areal and volumetric capacitance while maintaining stability over 20,000 charge-discharge cycles.