Absorbent Glass Mat (AGM) Battery Market Scenario Highlighting Major Drivers and Trends, 2021-2031

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Absorbent Glass Mat (AGM) Battery: Introduction

• Absorbed glass mat (AGM) battery is an advanced technology battery compared to lead-acid flooded battery. AGM batteries are constructed in such a way that the electrolyte is suspended between the glass mat (primarily made of fiberglass) and battery plates. The amount of electrolyte is minimal in such batteries. These batteries contain only enough electrolyte to keep the mat wets. AGM battery uses saturated absorbent glass mats between the plates in place of gelled or liquid electrolytes. AGM batteries have very low internal resistance and are able to deliver high currents on demand.
• AGM batteries are far more efficient than the traditional lead-acid batteries due to their design and construction, better lifespan, resistance to vibrations, no spillage or leakage. and higher capacity

Key Drivers and Restraints of Global Absorbent Glass Mat (AGM) Battery Market

• Longer battery life, vibration resistance, start-stop applications, high electrical loads, quick recharge, and long lifecycle are key drivers of the AGM battery market. AGM batteries are also non-spillable and maintenance-free, and designed for harsh climates and tough conditions. However, higher initial investments costs than traditional batteries is a key restraint of the AGM battery market.
• Implementation of strict regulations related to carbon emission is one of the major drivers of the AGM battery market. In the automotive industry, trucks are beginning to install AGM battery, since it requires minimal maintenance. Rise in demand for renewable energy components/systems such as solar power is completely dependent on energy storage batteries. Thus, these factors are expected to drive the demand for AGM batteries in the next few years.
• Increase in penetration of renewable energy across grids has boosted the need for efficient and flexible energy storage solutions with long operating life. Deep-cycle batteries are a popular choice for renewable energy applications due to their ability to withstand the demands of solar energy such as unstable grid energy, heavy cycling (charging and discharging), and irregular full recharging. AGM battery, with its attractive features, has become the most preferred energy storage technology for energy storage, as large-sale solar and wind plants require technologies that can cost-effectively store renewable energy for future use at any location. These batteries are viable for storage, as they are maintenance-free. AGM batteries are also reliable, cost-effective solutions, which make battery storage affordable for the utility sector. Adoption of AGM batteries is expected to rise significantly during the forecast period  with growth in investments and increase in number of renewable energy projects across the globe.

Absorbent Glass Mat (AGM) Battery: Type Segment

• In terms of type, the global AGM battery market can be segmented into automobile battery, inverter battery, solar energy battery, and alternate energy
• The automobile battery segment is expected to account for significant share of the global AGM battery market during the forecast period. It is anticipated to be followed by the inverter battery segment.
• The solar energy battery segment is likely to expand at a rapid pace during the forecast period, due to expansion of waste water treatment plants around the globe

Covid-19 Impact on Absorbent Glass Mat (AGM) Battery Market

• On January 30, 2020, the International Health Regulations Emergency Committee of the World Health Organization (WHO) declared the coronavirus disease (COVID-19) outbreak a public health emergency of international concern. Originating in China, the virus has spread to at least 213 countries and territories around the world. Several governments and private sector businesses are operating at a limited capacity or have ceased operations completely due to recent events surrounding the COVID-19 pandemic.
• Manufacture of various consumer goods and other products across the globe has come to a halt due to the unavailability of raw materials, shortage of labor, etc. This is expected to hamper the AGM battery market.

Asia Pacific to Dominate Absorbent Glass Mat (AGM) Battery Market

• In terms of region, the global AGM battery market can be divided into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
• Europe accounts for significant share of the global AGM battery market. Growth of the market in the region can be primarily ascribed to its status as a hub for the automotive industry. High degree of environmental awareness and imposition of strict government norms by the European Union to boost battery consumption are factors driving the demand for AGM batteries in Europe. Asia Pacific is the fastest growing region of the AGM battery market. Rapid industrialization and rise in demand for advanced technology products are factors boosting the AGM battery market in Asia Pacific. China is the leading manufacturer and consumer of AGM battery in Asia Pacific. China holds major share of the AGM battery market in Asia Pacific, owing to the expansion of manufacturing facilities of batteries in the country. North America also accounts for key share of the AGM battery market due to the strong presence of battery manufacturers in the region. Several developing regions in Middle East & Africa and Latin America are investing significantly in the automotive sector. Thus, demand for AGM battery in Middle East & Africa and Latin America is expected to rise at a moderate pace during the forecast period.