China energy-storage market to quadruple, says Lux By Darius Snieckus Recharge News in London Friday, June 12 2015
Industrial-scale batteries will grow fast as China pursues more renewables
China's energy storage system (ESS) market will quadruple to $8.7bn in the next ten years, driven by a vast demand for electric vehicles and the fast-growing "stationary" facilities sector, according to new research from US analyst Lux.
Transportation's share of the ESS market will be dominant, worth some $7.4bn by 2015, according to the Boston-based group, accounting for almost 29GWh of a 31GWh demand.
But boosted by China's "aggressive deployment" of renewables, stationary storage such as industrial-scale batteries, though only totaling 2.3GWh, will grow at a much faster 30% CAGR.
"Besides understanding the market dynamics and producing cost-competitive products, most players in these markets will require strong partnerships to succeed," says Luxresearch associate Lilia Xie.
"Early leaders such as BYD will try their best to hold onto their positions but the diversification of the market will gradually create promising opportunities for those who operate with patience and savvy."
The stationary storage market, she adds, will be buoyed by an electricity sector that "preliminary policy developments suggest will implement pricing reforms, encouraging efficiency-boosting technologies including grid storage".