(MENAFN- GlobeNewsWire - Nasdaq) The global cathode materials market is set to expand from USD 37.78 billion in 2025 to USD 65.15 billion by 2030, at an 11.5% CAGR. Essential in rechargeable batteries, cathode materials like lithium nickel manganese cobalt and lithium iron phosphate optimize performance. Demand is driven by electric vehicles, electronics, and energy storage, with North America and industrial applications playing key roles. The lead-acid segment remains significant, spurred by cost-effectiveness and reliability. Major players include XTC New Energy Materials and BASF, focusing on joint ventures and innovations amidst growing government incentives and sustainable energy drives.Dublin, Nov. 20, 2025 (GLOBE NEWSWIRE) -- The "Cathode Materials Market by Battery Type, Material, End Use, and Region - Global Forecast to 2030" report has been added to ResearchAndMarkets's offering.
The global cathode materials market is projected to grow from USD 37.78 billion in 2025 to USD 65.15 billion by 2030, at a CAGR of 11.5%
The report is expected to help the market leaders/new entrants by providing them with the closest approximations of revenue numbers of the cathode materials market and its segments. This report is also expected to help stakeholders obtain an improved understanding of the market's competitive landscape, gain insights to improve the position of their businesses, and develop suitable go-to-market strategies. It also enables stakeholders to understand the market's pulse and provides information on key market drivers, restraints, challenges, and opportunities.
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The cathode materials market is expanding rapidly as these compounds remain essential to the performance and reliability of modern rechargeable batteries. Serving as the positive electrode, cathode materials govern critical battery characteristics such as energy density, voltage output, and cycle life. Key chemistries include lithium nickel manganese cobalt (NMC), lithium iron phosphate (LFP), nickel cobalt aluminum (NCA), lithium cobalt oxide (LCO), and lithium manganese oxide (LMO), each offering distinct balances of cost, stability, and energy capacity.
Demand spans major battery types, particularly lithium-ion, which dominates applications in electric vehicles, portable electronics, and stationary energy storage systems. End-use industries such as automotive, consumer electronics, and industrial power continue to grow, requiring ever more advanced chemistries and large-scale production. At the same time, improvements in manufacturing processes, including solid-state synthesis and co-precipitation, are enhancing product consistency and scalability.
Rising investments in gigafactories, government incentives for clean energy adoption, and ongoing research into high-nickel and cobalt-free cathodes reinforce market momentum. These combined factors position cathode materials as a cornerstone of the global transition toward electrification and sustainable energy solutions.
XTC New Energy Materials (Xiamen) Co., Ltd. (China), Shenzhen Dynanonic Co., Ltd. (China), Hunan Yuneng New Energy Battery Materials Co., Ltd. (China), LANDF CORP. (South Korea), POSCO FUTURE M (South Korea), and BASF (Germany) are some of the major players operating in the cathode materials market. The key players have adopted agreements, joint ventures, partnerships, expansions, acquisitions, investments, memorandum of understanding (MoU), collaborations, and contracts to increase their market share and business revenue.
Lead-acid segment is estimated to account for the second-largest share of the market, by battery type, during the forecast period.
The lead-acid segment is expected to secure the second-largest share of the cathode materials market owing to its enduring role in reliable, cost-effective energy storage across multiple industries. Lead-acid batteries remain the preferred choice for automotive starter-lighting-ignition (SLI) systems, backup power supplies, uninterruptible power systems (UPS), and off-grid renewable installations where high surge currents and dependable performance are critical. Their comparatively low cost, mature recycling infrastructure, and proven safety profile make them attractive for large-scale use, particularly in regions where advanced lithium-ion solutions are still cost-prohibitive.
Continuous improvements in lead-acid battery design, including enhanced flooded batteries and absorbent glass mat (AGM) technologies, have increased cycle life and reduced maintenance requirements, strengthening their competitiveness in industrial and commercial applications. Expanding telecommunications networks, data centers, and grid-support projects further sustain demand, while robust recycling practices ensure a secure supply of key raw materials and align with circular economy goals. Together, these factors allow the lead-acid segment to maintain a substantial market presence, driving steady consumption of cathode materials and complementing the rapid growth of lithium-ion technologies in the broader energy storage landscape.
By end-use, the industrial segment is estimated to account for the second-largest share during the forecast period.
The industrial segment is anticipated to capture a significant share of the cathode materials market as businesses worldwide seek reliable, high-capacity energy storage for diverse operations. Industrial applications include backup power for manufacturing plants, uninterruptible power supplies for critical infrastructure, grid stabilization, renewable energy storage, mining equipment, and heavy-duty machinery, all of which require batteries with consistent performance and long service life. Cathode materials play a central role by enabling the high energy density, durability, and safety needed for these demanding environments.
The rise of renewable energy projects and the need for stable power in remote or off-grid locations further strengthen demand for advanced lithium-ion chemistries such as NMC, LFP, and emerging high-manganese or cobalt-free options. Additionally, industrial automation, expanding data centers, and large-scale telecommunications networks are creating continuous requirements for dependable stationary energy storage. Investments in modern manufacturing processes like co-precipitation and solid-state synthesis enhance material consistency and scalability, supporting these high-volume industrial needs. By providing critical power solutions across sectors ranging from utilities to heavy engineering, the industrial end-use segment drives sustained growth of the cathode materials market and reinforces its importance in global energy infrastructure.
North America is estimated to account for the second-largest share during the forecast period.
North America is projected to hold the second-largest share of the cathode materials market, supported by a strong battery manufacturing ecosystem and rapidly growing demand across key industries. Expanding electric vehicle adoption, driven by federal and state incentives as well as stricter emission standards, is a primary factor boosting the need for high-performance lithium-ion batteries and their associated cathode chemistries such as NMC, LFP, and emerging cobalt-free formulations.
The region's well-established consumer electronics sector - covering smartphones, laptops, and connected devices - adds steady demand, while large-scale renewable energy projects and grid storage installations further amplify requirements for durable, high-energy cathodes. Significant investments in gigafactories and recycling infrastructure are strengthening local supply chains, reducing reliance on imports, and ensuring secure access to critical raw materials like lithium and nickel.
In parallel, ongoing research and development initiatives in advanced cathode materials, including solid-state and high-nickel technologies, position North America as a center of innovation. This combination of policy support, technological advancement, and diversified end-use applications allows North America to remain a major force in the global cathode materials market, reinforcing its role as the second-largest regional market and a key driver of industry growth.
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Product Development/Innovation: Detailed insights on upcoming technologies and research & development activities in the cathode materials market. Market Development: Comprehensive information about lucrative markets - the report analyses the cathode materials market across varied regions. Market Diversification: Exhaustive information about new products, various types, untapped geographies, recent developments, and investments in the cathode materials market. Competitive Assessment: In-depth assessment of market shares, growth strategies, and product offerings of leading players
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