Lithium-ion Battery Binders Market by Type (Anode and Cathode), Material (PVDF, CMC, PMMA, SBR), Battery Chemistry, End Use (Automotive, Consumer Electronics, Energy Storage, Industrial), and Region - Global Forecast to 2027
Updated on : March 25, 2023
Lithium-ion Battery Binders Market
Lithium-ion Battery Binders Market was valued at USD 1.6 billion in 2022 and is projected to reach USD 3.7 billion by 2027, growing at a cagr 18.7% from 2022 to 2027. Increased usage of batteries in key industries such as electric vehicles and consumer electronics along with the growing government initiatives to enhance the sale of electric vehicles is expected to drive the market during the forecast period.
Global Lithium-ion Battery Binders Market Trends
To know about the assumptions considered for the study, Request for Free Sample Report
Lithium-ion Battery Binders Market Dynamics
Driver: Growing demand for the electric vehicle, consumer electronics, and utility sectors
In recent years, there has been tremendous growth in demand for batteries, and this is expected to grow at a significant pace for at least the next couple of years. Globally, there is a focus on minimizing the use of conventional sources of energy in various sectors such as automotive and power. This has led to an increase in the overall production of lithium-ion batteries. Lithium-ion batteries have better electrochemical performance than lead-acid, nickel-cadmium, and nickel-metal hydride batteries. These batteries have a long life and offer increased power, excellent efficiency, and low self-discharge. Various players in the market are working toward improving the performance of lithium-ion batteries, which has made them an attractive option for stationary energy storage applications. Thus, the increasing use of lithium-ion batteries in renewable energy storage and electric vehicle is expected to create huge growth opportunities for lithium-ion batteries, boosting the market for battery binders.
Restraints: Availability of binder free electrodes
Binder-free electrodes can be prepared in various ways, such as template-free and template-assisted
methods. Binders are generally electrochemically inactive and insulating, which reduces the overall energy density and leads to poor cycling stability. Therefore, binder-free electrodes provide a great opportunity for high performance in terms of both improved electronic conductivity and electrochemical reaction reversibility. There is R&D on binder-free electrodes as it can solve problems such as weak interaction and interface problems between the binder and the active material. Thus, growth in demand for binder-free electrodes is expected to restrain the growth of lithium-ion battery binders.
Opportunity: Advancement in battery binder technology
Several R&D activities are being carried out by various institutes and leading companies to improve the characteristics of lithium-ion battery binders. The purpose of these activities is to enhance the properties of binders to make them more effective and increase the battery capacity substantially. Some research activities are specifically aimed at new forms of battery binders to make them more effective, which adds to the overall efficiency of the battery. There is also a growing inclination toward aqueous base materials such as modified styrene butadiene copolymer (SBR) hydrophilic binders. Aqueous base materials can be used for both the anode as well as cathode electrodes and have advantages such as lower cost of manufacturing and pollution-free compared to the use of PVDF, which uses NMP solvents. Hence, the development of battery binders will create growth opportunities for battery binder manufacturers.
Challenge: Underdeveloped infrastructure for electric vehicles
The international sales of EVs are increasing year after year, and many countries are focused on meeting their targets for sustainable surroundings. However, there may be an extended way for the automotive industry to seriously shift from conventional to electric vehicles. The elements that restrict the expansion of the EV industry are its upfront cost, lack of charging infrastructure, range anxiety, and lengthy charging time. The challenge of range anxiety may be dealt with if enough public and personal charging centers are developed for EV charging. The present scenario is completely different as the charging infrastructure is limited to accommodate the changing needs of an EV. Thus, there is a need for supportive infrastructure for the growth of electric vehicles, which can lead to a growth in demand for lithium-ion battery binders.
Based on type, anode binders segment is the largest market during the forecast period
Based on type, lithium-ion battery binders are segmented into anode lithium-ion battery binders and cathode lithium-ion battery binders. Lithium-ion batteries have anode that has binders for better performance of the battery. There is a significant growth in demand for lithium-ion batteries in consumer electronics, electric vehicles, and other industries. This has created a boost in demand for lithium-ion batteries which has led to an increase in demand for lithium-ion battery binders.
Based on battery chemistry, lithium cobalt oxide segment is expected to account for the largest market share during the forecast period
The lithium cobalt oxide segment accounted for the largest segment, by battery chemistry during the forecast period, in terms of value. The lithium cobalt oxide (LCO) battery is one of the most popular types of lithium-ion batteries due to its high energy density. It is majorly used as a power source for smartphones, tablets, laptops, and digital cameras, among others. Lithium cobalt oxide batteries are mainly used in consumer electronics due to their high energy. A short life span (two to three years), low thermal stability, and limited power density make them unsuitable for most other applications. Growing usage of lithium cobalt oxide in consumer electronics is expected to fuel the demand for lithium-ion battery binders.
Based on material, styrene butadiene copolymer segment is expected to hold the highest CAGR during the forecast period
The styrene butadiene copolymer segment is expected to hold the highest CAGR, by material during the forecast period, in terms of value. Styrene butadiene copolymer is a hydrophilic binder consisting of styrene and butadiene in an approximate proportion. Compared to natural rubber, styrene butadiene copolymer has better processability; heat aging; abrasion resistance; and environment-friendliness, cleanliness, and pollution-free. Styrene butadiene copolymer is a water-based binder mainly used to prepare anode electrodes for lithium-ion batteries. There is no need for environmental control in the preparation of styrene butadiene copolymer hydrophilic binder, and no recovery equipment is needed, resulting in lower facility requirements and costs.
Based on end-use, automotive segment is the fastest growing market during the forecast period
The automotive sector is expected the fastest growing market, by end-use during the forecast period, in terms of value. In recent years, lithium-ion batteries have become the primary choice for use in electric and hybrid vehicles. They are lower in weight and require less maintenance than other automotive batteries. The demand for lithium-ion batteries in the automotive industry is increasing due to the rapid growth and development of electric vehicles. According to EV-Volumes, there has been a significant growth in demand for electric vehicles in the past few years. Thus, growth in demand for electric vehicles will enhance the market for lithium-ion battery binders.
Asia Pacific is the largest lithium-ion battery binders market in terms of value
Asia Pacific accounted for the largest share in terms of value, in 2021. There is a significant growth in demand for consumer electronics such as phones, tablets, and laptops along with a surge in demand for electric vehicles. Government initiatives in order to boost the demand for electric vehicles in major economies such as India, China, and South Korea has fueled the demand for lithium-ion battery, this has led to an increase in demand for lithium-ion battery binders. Data centers have also witnessed growth due to an increase in telecom sector. Data centers are shifting their preference from lead acid batteries to lithium-ion batteries which is expected to enhance the market for lithium-ion battery binders in the Asia Pacific region.
To know about the assumptions considered for the study, download the pdf brochure
Lithium-ion Battery Binders Market Players
Major companies in the lithium-ion battery binders market include Arkema (US), Solvay (Belgium), LG Chem (South Korea), ENEOS Corporation (Japan), and Zeon Corporation (Japan), among others. A total of 21 major players have been covered. These players have adopted joint ventures, expansions, agreements, partnerships, and contracts as the major strategies to consolidate their position in the market.
Lithium-ion Battery Binders Market Report Scope
Report Metric |
Details |
Market Size Available for Years |
2018–2027 |
Base Year Considered |
2021 |
Forecast Period |
2022–2027 |
Forecast Units |
Value (USD Million/Billion) and Volume (Ton) |
Segments Covered |
Type, Material, Battery Chemistry, End-use, and Region |
Geographies Covered |
Asia Pacific, Europe, North America, Middle East & Africa, and South America |
Companies Covered |
The major market players include Arkema (US), Solvay (Belgium), LG Chem (South Korea), ENEOS Corporation (Japan), and Zeon Corporation (Japan), among others. |
This research report categorizes the Lithium-ion battery binders market based on material, battery type, end-use, and region.
Based on type, the lithium-ion battery binders market has been segmented as follows:
- Anode Binders
- Cathode Binders
Based on battery chemistry, the lithium-ion battery binders market has been segmented as follows:
- Lithium iron phosphate
- Lithium iron phosphate
- Lithium nickel manganese cobalt
- Lithium titanate oxide
- Others
Based on material, the lithium-ion battery binders market has been segmented as follows:
- Polyvinylidene fluoride
- Carboxymethyl cellulose
- Polymethyl Methacrylate
- Styrene Butadiene Copolymer
- Others
Based on end-use, the lithium-ion battery binders market has been segmented as follows:
- Automotive
- Consumer electronics
- Industrial
- Energy Storage
- Others
Based on Region, the lithium-ion battery binders market has been segmented as follows:
- Asia Pacific
- Europe
- North America
- Middle East & Africa
- South America
Recent Developments
- In December 2022, Fujian Blue Ocean & Black Stone Technology Co., Ltd. launched a new range of BATTBOND binders to serve customers outside China. These include both cathode and anode binders.
- In June 2022, BASF SE extended its series of Licity anode binders for lithium-ion battery manufacturing. The second-generation styrene butadiene rubber (SBR) binder Licity 2698 X F enables higher capacity, increased number of charge/discharge cycles, and reduced charging times.
- In June 2021, Arkema announced a new range of renewable PVDF grades for lithium-ion batteries, Kynar CTO PVDF grades, which will be produced first in Arkema's Pierre-Bénite factory in France.
Frequently Asked Questions (FAQ):
What is the current size of the global lithium-ion battery binders market?
The lithium-ion battery binders market is projected to grow from USD 1.6 billion in 2022 to USD 3.7 billion by 2027, at a CAGR of 18.7% during the forecast period.
Who are the leading players in the global lithium-ion battery binders market?
Some of the key players operating in the lithium-ion battery binders market are Arkema (US), Solvay (Belgium), LG Chem (South Korea), ENEOS Corporation (Japan), and Zeon Corporation (Japan), among others. .
To speak to our analyst for a discussion on the above findings, click Speak to Analyst
The study involved four major activities in estimating the current size of the lithium-ion battery binders market. Exhaustive secondary research was done to collect information on the market, peer markets, and parent market. The next step was to validate these findings, assumptions, and sizing with the industry experts across the lithium-ion battery binders value chain through primary research. Both top-down and bottom-up approaches were employed to estimate the complete market size. Thereafter, market breakdown and data triangulation were used to estimate the market size of segments and subsegments.
Secondary Research
Secondary sources for this research study include annual reports; press releases, and investor presentations of companies; white papers; certified publications; and articles by recognized authors, gold- and silver-standard websites, lithium-ion battery binders manufacturing companies, regulatory bodies, trade directories, and databases. The secondary research was mainly used to obtain key information about the industry’s supply chain, the total pool of key players, market classification, and segmentation according to industry trends to the bottom-most level and regional markets. It has also been used to obtain information about key developments from a market-oriented perspective.
Primary Research
The lithium-ion battery binders market comprises several stakeholders, such as raw material suppliers, processors, end-use industries, and regulatory organizations in the supply chain. The demand side of the market is characterized by the presence of lithium-ion battery binders manufacturers, importers/exporters, and manufacturers engaged in the production of various products. The supply side is characterized by key technology providers for lithium-ion battery binders, end-users, researchers, and service providers.
In the primary research process, various primary sources from the supply and demand sides of the market have been interviewed to obtain qualitative and quantitative information. The primary interviewees from the demand side included key opinion leaders, executives, vice presidents, and CEOs of manufacturing companies. The primary sources from the supply side included research institutions involved in R&D activities to introduce new technologies, key opinion leaders, distributors, and lithium-ion battery binders manufacturing companies.
Breakdown of the Primary Interviews
Notes: Other designations include sales managers, engineers, and regional managers.
Tier 1 company—revenue >USD 5 billion, tier 2 company—revenue between USD 1 billion and USD 5 billion, and tier 3 company—revenue <USD 1 billion
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
Both the top-down and bottom-up approaches have been used to estimate and validate the total size of the lithium-ion battery binders market. These approaches have also been used extensively to estimate the size of various dependent subsegments of the market. The research methodology used to estimate the market size included the following:
The following segments provide details about the overall market size estimation process employed in this study
- The key players in the market were identified through secondary research.
- The market shares in the respective regions were identified through primary and secondary research.
- The value chain and market size of the lithium-ion battery binders market, in terms of value and volume, were determined through primary and secondary research.
- All percentage shares, splits, and breakdowns were determined using secondary sources and verified through primary sources.
- All possible parameters that affect the market covered in this research study were accounted for, viewed in extensive detail, verified through primary research, and analyzed to obtain the final quantitative and qualitative data.
- The research included the study of annual and financial reports of the top market players and interviews with industry experts, such as CEOs, VPs, directors, sales managers, and marketing executives, for key insights, both quantitative and qualitative.
Global Lithium-ion battery binders Market Size: Bottom-Up Approach
To know about the assumptions considered for the study, Request for Free Sample Report
Data Triangulation
After arriving at the overall market size from the estimation process explained below, the total market was split into several segments and subsegments. The data triangulation and market breakdown procedures were employed, wherever applicable, to complete the overall market engineering process and arrive at the exact statistics for all the segments and subsegments. The data was triangulated by studying various factors and trends from both the demand and supply sides. Along with this, the market was validated using both the top-down and bottom-up approaches.
Report Objectives
Market Intelligence
- To analyze and forecast the size of the lithium-ion battery binders market in terms of value and volume
- To define, describe, and forecast the market size by material, type, battery chemistry, end-use, and region
- To forecast the market size with respect to five main regions, namely, Asia Pacific, Europe, North America, Middle East & Africa, and South America
- To provide detailed information about the key factors influencing the growth of the market (drivers, restraints, opportunities, and challenges)
- To strategically analyze the market segments with respect to individual growth trends, prospects, and their contribution to the market
- To analyze the opportunities in the market for stakeholders and provide a competitive landscape for market leaders
- To analyze competitive developments, such as product launches, joint ventures and expansions in the lithium-ion battery binders market
Competitive Intelligence
- To identify and profile the key players in the lithium-ion battery binders market
- To determine the top players offering various products in the lithium-ion battery binders market
- To provide a comparative analysis of the market leaders based on the following:
- Product offerings
- Business strategies
- Strengths and weaknesses
- Key financials
- To understand the competitive landscape of the market and identify the key growth strategies adopted by the leading players across key regions
Available Customizations
MarketsandMarkets offers the following customizations for this market report:
- Product matrix, which gives a detailed comparison of the product portfolio of each company
Growth opportunities and latent adjacency in Lithium-ion Battery Binders Market