New Hampshire -- The global lithium-ion battery market should experience exuberant growth in next few years says a new report by Frost and Sullivan. The firm urges li-ion battery makers to include the grid and renewable energy storage segment in their growth strategy as the stationary energy storage market is likely to be the leading consumer of lithium-ion batteries in the future. In addition, utility companies will continue to seek smart grid solutions that use these batteries.
The automotive sector will also grow, increasing demand for batteries of this type in its pure electric and hybrid vehicles, according to the report. Along with these factors, the trend towards incorporating lithium-ion batteries for start-stop automotive applications will draw vendors to this space.
“Overall demand for lithium-ion batteries will continue to increase throughout the forecast period due to anticipated high growth in the automotive and grid and renewable energy storage segments,” said Frost & Sullivan Research Manager Vishal Sapru. “North America and Asia-Pacific will lead demand, followed by Europe, wherein countries look for alternative energy sources to sustain automotive and energy sectors.”
Frost and Sullivan points out that regulatory incentives are driving demand in both the energy and automotive sectors. In the automotive sector, regulations encouraging fuel efficiency, emission standards and use of clean energy sources are stimulating the need for lithium-ion batteries. Similarly, in grid and renewable energy storage, changing utility regulations, especially in the United States, Europe and Asia-Pacific, encourage battery-based energy storage and distribution projects.
There is also more and more focus on using batteries for back-up applications in the military, healthcare and telecommunications industries, which is also driving up demand. Coupled with the growing need for lithium-ion batteries in the power tools and equipment market, this is boosting the attractiveness of the industrial segment, according to Frost and Sullivan.
But again, you're looking at the past. I'm talking about the future. Its amazing how many products they're bringing out that uses lithium batteries. Just look at Black and Decker. I personally own their 20 volt lithium ion system hedge trimmer, week whacker, blower chain saw, drill, circular saw and I just bought two of their LED flashlights which I love. They're a great work light and if the electric goes out, they'll run for 11 hours straight on a 2 am battery and 22 hours straight on a 4 amp battery and they put out enough light to see what you're doing in an entire room. Amazon had been out of them but they finally got them in a couple weeks ago. I'm saying that these kind of products are going to be flooding the market and I personally believe that electric cars are the future. Plus you have possible things coming like this. I think the demand for lithium is going to become huge and the price will go out of sight.
The UK’s first two-megawatt (MW) lithium-titanate battery is to be connected to the energy grid as part of a new research project to tackle the challenges of industrial-scale energy storage. The project aims to test the technological and economic challenges of using giant batteries to provide support to the grid. We’ll also test whether used battery packs from electric vehicles can be given a second life, and applied in hybrid systems to lower the cost of storage.
It can be explained in one word. 'LITHIUM'. The demand for lithium batteries is exploding as more and more products come on the market each day that are powered by lithium, not to mention the electric vehicles. Demand is going to go through the roof and other suppliers are seeing their lithium production going down. The price of lithium is going to go through the roof and SQM is going to make a bundle. Wall Street is now beginning to see what is unfolding. I see a double in this stock in the next six months and who knows how high it could go after that. They are in the lithium sweet spot.