The Nickel Metal Hydride Battery Market is estimated to be valued at US$ 2.93 Bn or Mn in 2023 and is expected to exhibit a CAGR of 4.6% over the forecast period 2023 – 2030, as highlighted in a new report published by Coherent Market Insights.
Nickel metal hydride batteries are rechargeable batteries used in a variety of devices from portable electronics to electric vehicles due to their advantages over other battery technologies including high energy density, long shelf life, low maintenance and non-toxicity. Nickel metal hydride batteries provide power back up in situations where power failures are common.
Market key trends:
The growing electric vehicles industry is expected to drive the growth of the nickel metal hydride battery market over the forecast period. Nickel metal hydride batteries are commonly used in hybrid electric vehicles due to their high energy density and cycling abilities. Several automakers are focusing on developing efficient and affordable electric vehicles which is resulting in increased demand for nickel metal hydride batteries. According to some estimates, electric vehicles sales are projected to exhibit a CAGR of over 25% during the forecast period, thereby boosting the consumption of nickel metal hydride batteries.
Threat of new entrants: Low barriers of entry as technology for nickel hydride batteries is well established. However, presence of key global players with strong R&D capabilities makes it difficult for new players to capture significant market share.
Bargaining power of buyers: Moderate as buyers have various options ranging from alkaline, lithium-ion batteries. However, nickel metal hydride batteries continue to remain popular for applications requiring consistent power backup.
Bargaining power of suppliers: Low due to availability of raw materials like nickel, hydride alloys from multiple global suppliers. Switching costs are also relatively low.
Threat of new substitutes: High threat from lithium-ion batteries gaining popularity for applications like power tools, consumer electronics due to higher energy density.
Competitive rivalry: Intense due to presence of global players continuously investing in R&D and product innovations to gain market share.
Strengths: Well established technology. Provide consistent power backup. Environment friendly with no risk of leakage.
Weaknesses: Lower energy density compared to lithium-ion. Higher self-discharge rate requiring constant charging.
Opportunities: Growing demand for power backups in IoT devices, industrial equipment. Increasing sales of electrical vehicles to boost battery demand.
Threats: Rapid adoption of lithium-ion batteries diminishing market. Stringent environmental regulations hampering disposal of nickel batteries.
The global Nickel Metal Hydride Battery Market Size is expected to witness high growth at a CAGR of 4.6% over the forecast period due to growing sales of electrical hand tools and outdoor power equipment. Advancements in NiMH battery technology have enhanced energy density at par with alkaline batteries, thereby augmenting their adoption.
The Asia Pacific region currently dominates the global nickel metal hydride battery market, with a share of over 40% in 2023. China is the largest producer as well as consumer of nickel metal hydride batteries due to presence of domestic battery manufacturers as well as raw material suppliers. Adoption of electric vehicles is also contributing to the growth of the battery market in the region.
Key players operating in the nickel metal hydride battery market are Panasonic, Primearth EV Energy, FDK, GP Batteries, Corun, Huanyu battery, GS Yuasa, Spectrum Brands (Rayovac), Lexel Battery (Coslight), EPT Battery, Energizer Holdings, Great Power Energy, Suppo, Duracell, Cell-Con, Highpower International, Maxell, Nanfu, PKCELL, EVE Energy. These players are focused on new product launches, partnerships and joint ventures to gain higher market share.