Battery Demand in U.S. Nearly $15 Billion by 2011 Apr 18, 2007

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U.S. demand for primary and secondary batteries is forecast by The Freedonia Group to increase 4.3 percent annually through 2011 to $14.9 billion. Growth drivers include strong demand for battery using products like cell phones and digital cameras, as well as heightened production of light motor vehicles. Market gains will arise from an ongoing shift to more expensive batteries, particularly rechargeable lithium cells, which deliver better performance for high-drain consumer electronics.

In the new study, Batteries, the market research firm said sales of primary batteries are expected to rise faster than secondary types through 2011, bolstered by the increase in the use of primary lithium and other high-performance battery chemistries in high-drain applications like cameras.

The recent introduction of nickel oxyhydroxide primary battery chemistry, for more power and longer run-time in many applications, will also support primary battery growth.

Consumer applications will still account for 72 percent of primary battery sales value in 2011. Demand for replacement primary batteries will benefit from the burgeoning number of battery-powered portable devices, such as digital cameras. Primary battery sales gains will be aided by rising durable goods production levels, which will stimulate demand in the industrial sector.

Although alkaline batteries will remain the dominant primary battery type, accounting for 70 percent of sales in 2011, other types such as primary lithium and zinc-air will grow faster, the research firm said.

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