Market Trends of Automotive Battery Management Systems Industry
This section covers the major market trends shaping the Automotive Battery Management Systems Market according to our research experts:
Increasing Demand for Intelligent Battery Management System
Features like start/stop, electric power steering, and electronic braking systems have increased the battery's power load. Therefore, prioritizing all these electrical loads on a scale from comfort to safety level has been a significant issue in a vehicle's electrical system. Intelligent battery management systems (IBMSs) have been gaining attention among automakers and are being widely adopted across all regions. IBMS consists of advanced electronics, such as battery sensors that measure the state of charge (SOC), state of health (SOH), and temperature across a cell, connected in series and parallel arrays in a vehicle battery pack.
All three measurements by IBMS have been taken simultaneously to ensure accurate measurements, even during rapidly changing vehicle conditions. The usage of IBMS aids in shutting down these electric vehicle systems in a logical order and warning the drivers about the impending battery problem to keep them safe from battery explosions. The prominent suppliers of intelligent battery sensors include Continental AG, Hella, and Bosch.
Growing Demand for Electric Vehicles in Asia-Pacific and Europe
Apart from conventional IC engine vehicles, the demand for electric vehicles is anticipated to boost the growth of the battery management system market. With stringent emission regulations across every region, the electrical vehicle demand is likely to increase during the forecast period. Global electric vehicle sales increased dramatically to more than 109% in 2021 compared to 2020.
The battery is the primary source of power for electric vehicles, which is likely to drive the demand for an efficient and advanced battery management system. The Asia-Pacific region covered a significant share of the battery management system market in 2021. For instance,
- In June 2021, Hella announced its joint venture (JV) with Evergrande Group, HELLA Evergrande Electronics (Shenzhen) Co., to develop and produce high-voltage battery management systems. Hella is primarily contributing to the field of battery electronics and jointly developing high-class battery management systems.
- In June 2021, Sharda Motor Industries Limited (SMIL) and Kinetic Green Energy and Power Solutions Limited, a Kinetic Group company, entered a joint venture (JV) agreement to develop battery packs with battery management systems for electric vehicles and stationary applications in India.
The market in Europe registered a faster growth rate due to its rapidly increasing electric vehicle sales in 2021-2022. The market in Europe is anticipated to grow further during the forecast period, with the EU government strictly monitoring the emission standards and planning to impose a ban on manufacturing IC engine vehicles by 2025 in a few European countries, like Norway and the Netherlands.
