Status : Published Published On : Jun, 2025 Report Code : VREP3044 Industry : Energy & Power Available Format : Page : 92
2025
2030

U.S. Automotive Battery Market Size & Share | Growth Forecast Report 2030

Industry Insights By Battery Type (Lead Acid, Lithium Ion and Others), Drive Type (IC Engines and Electric Vehicles), Vehicle Type (Passenger Vehicles, Commercial Vehicles, Electric Vehicles and Others) and By Geography (US)

Industry Overview

U.S. Automotive Battery Market size was valued at USD 1.5 billion in 2023. It is likely to grow up to USD 20.4 billion by 2030 at a CAGR of 4.9% during the forecast period ranging between 2025 and 2030.

U.S. Automotive Battery Market

The growth factors of this market are the fact that electric vehicles are being widely adopted in the US as these are environmentally friendly transportation. Technological advancements, like increased energy density and quicker charging times, make EVs more convenient for daily usage. Also, the need for high-performance batteries has surged now-a-days.

U.S. Automotive Battery Market Report Coverage

Report Metric

Details

Historical Period

2018 - 2023

Base Year Considered

2024

Forecast Period

2025 - 2030

Market Size in 2024

U.S.D.  1.5 Billion

Revenue Forecast in 2030

U.S.D.  20.4 Billion

Growth Rate

4.9%

Segments Covered in the Report

By Battery Type, By Drive Type and By Vehicle Type

Report Scope

Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling

Regions Covered in the Report

US

U.S. Automotive Battery Market Trends/ Growth Drivers:

Innovation in battery manufacturing and the demand for cost reduction are the two main drivers of market expansion. Government policies and legislation are important to encourage the usage of EVs and increasing battery manufacture in the US. Also, there is increasing demand for automotive batteries with the growth of smart and connected cars, relying on advanced battery systems for a number of functionalities.

U.S. Automotive Battery Market Challenges

The U.S. automotive battery market is hindered due to infrastructure investments, raw material availability, quality control, logistical complexities and a tight labour market. In addition, there's a push for more sustainable materials and closed-loop recycling systems.

U.S. Automotive Battery Market Opportunities

There are a lot of potential prospects in the US automotive battery market, especially in the electric vehicle (EV) industry. The industry is anticipated to grow significantly over the next several years due to factors such rising EV adoption, government incentives, and technology developments.

Recent Developments by Key Players

IFS AB and NEC Corporation have partnered to create new value to accelerate the implementation of solutions in global markets, mutually enhance their resources and skills, and support the continued growth of their customers.

Samsung SDI and General Motors collaborated to build an electric vehicle battery plant in New Carlisle, Indiana. This facility will create over 1600 jobs and will initially produce 27 GWh of batteries to ramp up to 36 GWh.

U.S. Automotive Battery Market Segmentation

VynZ Research provides an analysis of the key trends in each segment of the U.S. Automotive Battery Market report, along with forecasts at the regional and country levels from 2025-2030. Our report has categorized the market based on battery type, drive type and vehicle type.

Insight by Battery Type

  • Lead Acid
  • Lithium Ion
  • Others

Based on battery type, U.S. Automotive Battery Market is classified into lead acid, lithium ion and others. Lead acid batteries dominates the market as they are cost-effectiveness. These batteries are recyclable making them environmentally friendly as these are more durable and reliable.

Insight by Drive Type

  • IC Engines
  • Electric Vehicles

On the basis of drive type, the U.S. Automotive Battery Market is segmented into IC Engines and electric vehicles. Batteries for IC engines dominate the United States automotive battery market as these batteries majorly serve starting, ignition and lighting functions.

Insight by Vehicle Type

  • Passenger Vehicles
  • Commercial Vehicles
  • Electric Vehicles
  • Others

Based on vehicle type, U.S. Automotive Battery Market is divided into Passenger Vehicles, Commercial Vehicles, Electric Vehicles, Others. The passenger vehicle segment dominate the United States automotive battery market as the vehicle ownership is increasing, the shift towards electric vehicles, and advancements in battery technology to meet energy needs for advanced features.

U.S. Automotive Battery Market: Geographic Overview

  • US

The Northeast is a prominent market for automotive batteries in the United States that is driven by the need for reliable battery replacements due to harsh winters and a high concentration of passenger vehicles

U.S. Automotive Battery Market: Competitive Insights

  • East Penn Manufacturing
  • Clarios (Johnson Controls)
  • Exide Technologies
  • Tesla
  • A123 Systems
  • Aptiv
  • NEC Corporation
  • Samsung SDI
  • Interstate Batteries

U.S. Automotive Battery Market report offers a comprehensive market segmentation analysis along with estimation for the forecast period 2025–2030.

U.S. Automotive Battery Market Graph Report

Frequently Asked Questions

The U.S. automotive battery market was valued at USD 1.5 billion in 2023. It is projected to grow significantly over the coming years, reaching an estimated USD 20.4 billion by 2030. This expansion reflects a strong compound annual growth rate (CAGR) of 4.9% during the forecast period from 2025 to 2030.
Market growth is being driven primarily by the increasing adoption of electric vehicles across the United States. As more consumers turn to EVs due to their environmental benefits and government incentives, demand for high-performance automotive batteries is surging. Technological advancements such as higher energy density and faster charging capabilities are also making these batteries more appealing and practical for everyday use.
Despite its growth potential, the market faces several challenges. These include high infrastructure investment requirements, limited raw material availability, supply chain and quality control complexities, and labor shortages. Additionally, there is growing pressure to adopt more sustainable materials and to develop closed-loop recycling systems to manage battery waste.
Recent strategic developments include a partnership between IFS AB and NEC Corporation aimed at accelerating global battery solutions. Another major development is the collaboration between Samsung SDI and General Motors to build an EV battery plant in Indiana, which is expected to create over 1,600 jobs and produce up to 36 GWh of batteries.
Geographically, the Northeast U.S. is a key market for automotive batteries due to its cold winters and high number of passenger vehicles. Harsh weather conditions create a need for reliable battery replacements, which fuels consistent demand in the region.

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Research Methodology

  •  Desk Research / Pilot Interviews
  •  Build Market Size Model
  •  Research and Analysis
  •  Final Deliverabvle

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Key Takeaways