Global Energy Storage Batteries Usher in Explosive Growth

The global energy storage battery market is expanding at an astonishing pace, serving as a core pillar for the energy transition. As the installed capacity of renewable energy continues to grow, energy storage batteries, as a critical solution to the intermittency issues of wind and solar power generation, are experiencing explosive development. According to data from the CESA Energy Storage Application Branch, in the first half of 2025, global energy storage battery shipments reached 246.4 GWh, a year-on-year increase of 115.2%; among them, Chinese companies led the world with shipments of 232.03 GWh, up 118.4%.

Chinese companies hold a dominant position in the international energy storage sector. In the first half of 2025, the top ten global energy storage cell (multiple cells connected in series and parallel to form energy storage batteries) shipment companies were all monopolized by Chinese firms, collectively accounting for 91.2% of the global market share. CATL remains in the leading position, followed closely by Hithium Energy Storage, Eve Energy, BYD, and others, forming a complete industrial chain system. At the same time, Chinese companies secured 199 new overseas energy storage orders in this period, with a total capacity exceeding 160 GWh, representing a 220% year-on-year growth.

Why is the growth of energy storage batteries so rapid? Policy support is a major driver of market expansion. In February this year, China's National Development and Reform Commission and National Energy Administration jointly issued the "Notice on Deepening the Marketization Reform of New Energy On-Grid Electricity Prices to Promote High-Quality Development of New Energy," which introduced a "difference settlement mechanism" for existing projects, directly triggering a surge in energy storage demand. In addition, technological advancements have led to continuous cost reductions, with the global average cost of battery energy storage dropping below $300 per kilowatt-hour, and lithium-ion energy storage system prices declining by nearly 80% over the past three years. Cost optimizations have made energy storage economically viable in more application scenarios. The "China New Energy Storage Development Report (2025)" indicates that lithium-ion battery energy storage currently dominates the market, accounting for about 96.4% of the installed new energy storage capacity.

Looking ahead, energy storage technologies will evolve toward higher energy density and lower levelized cost of electricity. Companies are rapidly transitioning from 300Ah+ cells (Ah is the battery capacity unit; larger capacity means greater storage) to 500Ah+ high-capacity cells, with the latter poised to become the mainstream. All-solid-state batteries are regarded as the core direction for next-generation energy storage technologies, while diversified paths such as sodium-ion batteries and flow batteries are also accelerating development. Leading companies are accelerating global capacity layouts, establishing production bases in Europe, America, Southeast Asia, and other regions to tap new growth points and counter increasingly stringent trade barriers. Companies like CATL and Envision Energy have already entered the first tier of mass production.

Benefiting from the ongoing introduction of supportive policies in various countries and the continuous improvement in the economic viability of energy storage, the energy storage battery industry will maintain high-speed growth, providing strong support for the global energy transition. Consulting firm Rystad Energy predicts that by 2040, global battery storage capacity will grow ninefold, exceeding 4 TW, becoming a vital component of the energy system.