Battery Racks Market
Battery Racks Market
Battery Racks Market to Reach US$ 4.9 bn by 2032, driven by growth in data center and telecommunications applications: Global Insight Services
New York, July 2023: According to a new research study by Global Insight Services (GIS), the global battery racks market is expected to grow rapidly over the next 10 years to reach a value of more than the US $4.9 billion by 2032.
Battery racks are battery storage systems. They are used to store batteries safely and are utilized for maintenance, installation, and operation of the batteries. In addition, it is becoming the product of choice for numerous industries including, utility, data centers, and telecom among others owing to its high-performance benefits. Besides, momentous innovations in the area of battery racks are anticipated to create lucrative opportunities for the battery racks market players in the upcoming years.
Request Sample Pages of this Research Report:
Battery Racks Market: Key Trends and Drivers
There has been an increase in demand for grid energy storage systems due to the ongoing grid modernization. This in turn is expected to lead to the growth of the battery racks market. In addition, wind and solar energy are the major renewable energy types which can be stored in grids. But, the hiding of the sun by clouds or inconsistent wind currents lead to deviations in the process of energy generation. Hence, such fluctuations generate the need for flexible grid systems to store energy. Therefore, battery energy storage systems along with battery racks & spill containment products are becoming an integral part of grid energy storage. The adoption of these systems enhances the flexibility and reliability of electricity supply systems. Further, escalating focus of governments globally towards modernizing the utility sector is projected to lead to growing adoption of batteries, and thereby the battery racks products. In addition, financings in the energy storage are expected to grow drastically all over the world as governments are creating new policies to augment the quality & reliability of the power distribution facilities to the industrial sectors. These aspects lead to the expansion in the deployment of battery energy storage systems such as battery racks in public utility & telecom end uses
Battery Racks Market Report Findings
The steel segment is likely to hold dominant battery racks market share and growing at a substantial CAGR during the forecast period.
The steel segment is driving the growth of the battery racks market due to its exceptional properties and benefits. As a sturdy and durable material, steel ensures the structural integrity of battery racks, making them reliable and long-lasting. Its high tensile strength and resistance to corrosion and wear guarantee the safe containment and support of various battery types. Moreover, steel’s versatility allows for the customization of racks to fit specific battery configurations, meeting the diverse needs of industries and applications. The steel segment’s cost-effectiveness and low maintenance requirements make it an attractive choice for businesses seeking efficient and economical storage solutions. As the demand for energy storage systems increases across sectors like renewable energy, automotive, and telecommunications, the steel-based battery racks market is poised to see continued expansion in the coming years.
The VRLA segment is likely to hold dominant battery racks market share and growing at a substantial CAGR during the forecast period.
Based on product type, it is analyzed across standard, seismic, VRLA, and others. The VRLA (Valve Regulated Lead Acid) battery segment is a driving force in the battery racks market. The VRLA (Valve Regulated Lead Acid) battery segment is a driving force in the battery racks market. VRLA batteries are known for their maintenance-free operation and sealed design, making them ideal for various applications. Their versatility and reliability have led to increased demand across industries, such as telecommunications, data centers, renewable energy systems, and emergency backup power solutions. As businesses and consumers seek efficient and environmentally friendly energy storage options, VRLA batteries, housed in sturdy and efficient battery racks, have emerged as a preferred choice. The growing need for uninterrupted power supply in critical infrastructures has further bolstered the demand for VRLA-based battery racks, contributing significantly to the market’s expansion.
The horizontal battery racks segment is anticipated to hold majority of the battery racks market size throughout the study period.
By placement it is categorized into horizontal and vertical. The demand of horizontal battery racks market is expected to grow significantly in the forecast period. The horizontal battery racks can accommodate any type of battery and have horizontal mounting cells.In the forecast period, the demand for horizontal battery racks is projected to experience a substantial upsurge, driven by several key factors. The rapid expansion of renewable energy sources, such as solar and wind, has created a pressing need for efficient energy storage solutions. Horizontal battery racks offer a space-saving and easily scalable option for storing large quantities of batteries, making them ideal for commercial and industrial applications.
Additionally, the rising adoption of electric vehicles (EVs) worldwide is expected to fuel the demand for horizontal battery racks as charging infrastructure continues to develop. Moreover, the increasing use of battery energy storage systems in off-grid and remote areas further bolsters market growth. Technological advancements leading to enhanced battery performance and safety will also contribute to the market’s expansion. Furthermore, the growing awareness of sustainable practices and the need to reduce carbon footprints in various industries are likely to boost the adoption of horizontal battery racks. Government initiatives and incentives promoting energy storage installations are expected to play a vital role in driving the market forward. Lastly, the ability of horizontal battery racks to facilitate seamless battery maintenance and replacement will add to their appeal, further stimulating demand in the forecast period.
In 2021, the utility segment held the dominant place in the battery racks market.
The growth of the utility segment can be attributed to the need to accomplish the requirement of peak electricity. The utility sector is expected to hold a significant share of the market due to rise in deployment of power storage battery racks in small, medium, and large organizations globally. In addition, there has been an increase in demand for efficient and reliable electricity supply in several regions globally. The escalating demand for electricity and renewable energy are accountable for the high demand for battery energy storage racks in the utility sector. Thus, the demand of battery racks market for utility would rise in the forecast period.
The Asia-Pacific region is estimated to exhibit the highest growth rate during the battery racks market forecast period.
Region-wise, it is studied across North America, Europe, Asia-Pacific, and LAMEA. APAC accounts for the largest market share in the battery racks market owing to countries like China, India, Japan South Korea, and others, are investing in the R&D of battery storage devices. In addition, factors such as rapid development across manufacturing industries, and growing demand for effective battery racks are anticipated to propel the growth of the Asia-Pacific battery racks market. In addition, steady growth in industrialization and development in telecommunications industry are also expected to lead to the growth of the market. Moreover, presence of several medium to large players in the region is also attributable to rapid revenue growth. Thus, the demand for battery racks market would have positive influence in the forecast period.
Have a question for our analyst:
The major players operating in the global battery racks industry report include Vertiv Holdings Co., EnerSys, Amphenol Network Solutions, Eagle Eye Power Solutions, LLC, Schneider Electric, EnviroGuard, Mesa Technical Associates, Inc., Newton Instrument Co., EATON, YHI Power, C&C Power, Inc., Narada Power, STEELMAXenergy, AIB KUNSTMANN Reserve GmbH and Alliance Metal Solutions.
Recent Developments in the Battery Racks Market:
- In March 2022, U.S.-based ESS Tech, Inc., which deals in long-duration batteries for commercial energy storage & utility-scale applications, announced that it is expanding its operations into Europe in order to meet the robust demand in the region for its long-duration energy storage (LDES) solutions.
- In November 2021, in the U.S., Eaton has introduced an innovative lithium-ion-powered UPS battery racks. This LXP-P series battery racks are light-weight battery cabinets which are designed for large users requiring Megawatts of backup power and are integrated with pre-installed lithium-ion batteries.
- In June 2021, South Korea-based LG Energy Solution, a company dealing in advanced lithium-ion batteries, supplied its latest state-of-the-art Transportable Rack (TR1300) to Moss Landing Energy Storage Facility of Vistra.
- In May 2021, Schneider Electric, a global provider of energy management & automation solutions, has introduced high-quality and cost-effective Easy Rack Series solely in the Commonwealth of Independent States (CIS) and the Europe. This series is available in a variety of sizes, and is easy to install, and simple to scale & customize. It serves mission-critical applications, such as industrial environments and data centers.
Battery Racks Market Report Coverage
- The report offers a comprehensive quantitative as well as qualitative analysis of the current Battery Racks Market outlook and estimations from 2022 to 2032, which helps to recognize the prevalent opportunities.
- The report also covers qualitative as well as quantitative analysis of Battery Racks Market in terms of revenue ($Million).
- Major players in the market are profiled in this report and their key developmental strategies are studied in detail. This will provide an insight into the competitive landscape of the Battery Racks Industry.
- A thorough analysis of market trends and restraints is provided.
- By region as well as country market analysis is also presented in this report.
- Analytical depiction of the Battery Racks Market along with the current trends and future estimations to depict imminent investment pockets. The overall Battery Racks industry opportunity is examined by understanding profitable trends to gain a stronger foothold.
- Porter’s five forces analysis, SWOT analysis, Pricing Analysis, Case Studies, COVID-19 impact analysis, Russia-Ukraine war impact, and PESTLE analysis of the Battery Racks Market are also analyzed.
Global Battery Racks Market Segments
- Plastic Coated
By Product Type
- Valve Regulated Lead Acid (VRLA)
- Data Center
- Industrial Manufacturing
- North America
- The U.S.
- The U.K.
- Rest of Europe
- The Asia-Pacific
- South Korea
- Rest of Asia-Pacific
- Rest of the World
- Latin America
- The Middle East
- Vertiv Holdings Co.
- Amphenol Network Solutions
- Eagle Eye Power Solutions, LLC
- Schneider Electric
- Mesa Technical Associates, Inc.
- Newton Instrument Co.
- YHI Power
- C&C Power, Inc.
- Narada Power
- AIB Kunstmann Reserve GmbH
- Alliance Metal Solutions.