EV All-Solid Battery Market - Forecast(2024 - 2030)

The EV All-Solid Battery market size is forecast to reach USD 3.42 billion by 2029, after growing at a CAGR of 30.2% during the forecast period 2024-2029. Improved operating safety is the primary benefit of all-solid-state batteries, along with enhanced dependability rapid charging, and increased energy storage density. Liquid electrolytes become flammable and volatile at high temperatures. However, the excellent thermal stability of solid electrolytes reduces the possibility of fire or explosion. Because of their small size, solid-state batteries offer a higher energy density per unit area. Compared to a lithium-ion battery of the same size, a solid-state battery can have an energy density that is up to 10 times higher.

Because a solid-state battery requires fewer batteries per unit space, energy density per unit area may be increased. An EV battery system comprising a module and pack needs a large capacity, a solid-state battery is ideal for this purpose. This market is expected to rise as a result of partnerships between technology providers and increased investment in the development of solid batteries.

The report “EV All-Solid Battery Market– Forecast (2024-2029)”, by IndustryARC, covers an in-depth analysis of the following segments of EV All-Solid Battery.

By Type: Sulfide-based, Oxide-based, Polymer-based, Nitride-based, Phosphate-based, Others

By Geography:  North America, South America, Europe, APAC, and RoW

• Nissan stated that it intends to introduce an electric vehicle (EV) using all-solid-state batteries (ASSBs) that have been created domestically by FY2028 in its long-term goal, Nissan Ambition 2030. ASSBs are predicted to be a game-changing innovation that will increase EV popularity. Nissan is working on a variety of R&D projects, including the creation of electric vehicles, molecular-level battery material research, and even the construction of cities that use EVs as storage batteries. With a goal towards practical application, Nissan will be accelerating development by leveraging our own all-solid-state battery prototype manufacturing facilities and the information that Nissan has gathered from previous experience.

• The increase in research and development (R&D) activities represents a significant growth prospect for the EV all-solid-state battery market. R&D efforts focused on optimizing materials and manufacturing processes can help reduce the cost of solid-state batteries. For instance, On February 23, 2023, Florida State University and Lawrence Berkeley National Laboratory (Berkeley Lab) created a new blueprint for solid-state batteries that are less reliant on particular chemical components, especially crucial metals that are difficult to get because of issues with the supply chain.

• There are several potentials for the EV all-solid-state battery industry to grow due to the growing demand for electric vehicles, increased investments, and partnerships between automakers and battery manufacturers.

Oxide-based batteries led the market with a leading market share in 2023. Solid-state electrolytes based on oxides are more chemically stable than those based on sulfides, although they have less ionic conductivity. This can restrict the production of lithium dendrites and reduce reactivity with anode materials, making it possible to replace graphite cathodes with high-capacity lithium metal. Oxide-based all-solid-state batteries, in contrast to lithium-ion secondary batteries, do not carry the same danger of electrolyte leakage as sulfide-based batteries when it comes to damage or the production of hazardous gas.

Oxide-based batteries offer the potential for high energy density, which is essential for extending the driving range of electric vehicles. As consumers demand EVs with longer ranges to increase convenience, oxide-based batteries present a promising solution due to their ability to store more energy per unit volume or weight compared to traditional lithium-ion batteries. Leading producer of batteries for electric vehicles (EVs), SK On, stated on August 31, 2023, that it has successfully collaborated on the development of a novel oxide-based solid electrolyte with superior lithium-ion conductivity. Greater battery performance and faster charging times are the outcomes of faster speed. With all-solid-state batteries, SK On anticipates that this latest advancement will increase its competitiveness.

The APAC region in the EV Solid battery market is anticipated to hold a major share during the forecast period (2024-2029).  Asia is one of the largest and fastest-growing markets for electric vehicles, driven by factors such as urbanization, rising incomes, and government support. The increasing adoption of EVs in countries like China, Japan, India, and South Korea creates a substantial demand for high-performance batteries, including solid-state batteries, to power these vehicles.

On February 12, 2024, China, which dominates the battery sector, is forming a large alliance with prominent battery producers, academics, and government representatives in an attempt to become the world leader in solid-state batteries. Chinese automakers and battery leaders, such as BYD, CATL, and NIO, are collaborating to create a lineup of "all-stars" that will focus on creating all-solid-state electric vehicle batteries. China's top car and battery manufacturers are teaming up to commercialize all-solid-state batteries, a move that may completely transform the EV industry.

On January 27, 2022, Mercedes-Benz and ProLogium, a pioneer in solid-state batteries, partnered in technology to create next-generation battery cells. In the upcoming years, it is anticipated that Mercedes-Benz will unveil the first test cars fitted with solid-state batteries that were co-developed with ProLogium. The businesses also decided on benchmarks that would allow solid-state battery technology to be used in a variety of electric car models.

The anticipation for growing electric vehicle (EV) sales leading the market for all-solid-state batteries makes sense given the pivotal role of batteries in EV technology. Solid batteries represent a promising advancement in battery technology due to their potential for higher energy density, improved safety, and longer lifespan compared to traditional lithium-ion batteries. According to the International Energy Agency (IEA), the market for electric vehicles is expanding exponentially, with sales expected to reach 10 million by 2022. In just three years, the proportion of electric vehicles in overall sales has quadrupled, rising from 4% in 2020 to 14% in 2022.

As EV sales continue to surge, driven by factors like environmental concerns, government incentives, and advancements in EV technology making them more appealing to consumers, the demand for more efficient and reliable batteries also increases. Moreover, as automotive manufacturers race to develop EVs with longer ranges and faster charging times, Solid batteries could become a critical component in achieving these goals. Their solid-state design, which replaces the liquid electrolyte found in traditional lithium-ion batteries with a solid electrolyte, offers the potential for higher energy density and faster charging rates.

Customers, battery designers, and electric car manufacturers have shown to be extremely concerned about thermal runaway and the ensuing battery fires. Batteries on various cars have caught fire, and many cars have been recalled.

 Solid-state batteries have several advantages in terms of safety. A non-flammable solid-state electrolyte can be used in its stead when the flammable liquid electrolyte is removed. Additionally, they often have a larger working temperature range, which may reduce the likelihood of thermal runaway due to cell overheating. Moreover, the heat produced by an external heating failure is usually decreased. A 2022 Sandia National Laboratories study examined the safety of a traditional liquid-based Li-ion battery, a solid-state battery with liquid electrolyte added in the cathode, and an all-solid-state battery. According to the study, a solid-state battery that contains a small number of liquid electrolytes produces more heat than an all-solid-state battery but less heat than a conventional Li-ion battery in the event of an external heating failure. The amount of heat emitted in the event of a short circuit was solely reliant on cell capacity. Safety concerns associated with traditional lithium-ion batteries, such as the risk of thermal runaway and fire hazards, are driving the demand for safer alternatives like all-solid-state batteries.

The creation of solid-state batteries involves a unique set of difficulties that go beyond the usual problems with conventional lithium-ion battery manufacturing. The technology's scalability is one of the biggest issues. Solid-state batteries have shown promise in experimental settings, but it will be difficult to turn these modest prevails into mass-produced, commercially successful devices. The expense and difficulty of scaling up manufacturing are increased by the materials used in solid-state batteries, such as solid electrolytes, which are frequently more expensive and less accessible than their liquid equivalents.

solid-state batteries lack the significant economies of scale associated with lithium-ion batteries. When switching to solid-state technology, the current production infrastructure that is primarily designed for liquid electrolyte-based lithium-ion batteries must be retrofitted, which is expensive and time-consuming, or new manufacturing lines must be constructed from the ground up. 

In 2023, Major players in the EV All-Solid Battery market are Toyota Motor Corporation, Murata Manufacturing Co., Ltd, Quantumscape Corporation, SK Innovation Co., Ltd., Samsung SDI Co Ltd, Blue Solutions, ProLogium Technology Co Ltd, Solid Power Inc, NGK Insulators, Ltd., Ilika and Others.

 On 22 June 2022, By combining their respective expertise in solid electrolytes and cathode active materials, Umicore and Idemitsu Kosan Co., Ltd. Partnered to work together to develop high-performance catholyte materials for solid-state batteries. The goal is to provide the technological breakthrough that will increase the driving range and subsequently advance e-mobility.

 On January 27, 2022, Mercedes-Benz and ProLogium, a pioneer in solid-state batteries, partnered in technology to create next-generation battery cells. In the upcoming years, it is anticipated that Mercedes-Benz will unveil the first test cars fitted with solid-state batteries that were co-developed with ProLogium. The businesses also decided on benchmarks that would allow solid-state battery technology to be used in a variety of passenger cars.

 The Chinese car manufacturer SAIC wants to use solid-state batteries in one of its electric models. SAIC has set up a joint laboratory in 2022 with one of the solid-state battery specialists ChingTao Energy Development to develop the batteries.