The market for lithium-ion batteries is set to grow at a compound annual growth rate of 11 percent, hitting $US53.8 billion ($A77 billion) by 2024, according to a new report.

Industry information provider Research and Markets has released a new report on the state of the lithium-ion battery market outlining the growth.

While there are variations of lithium-ion batteries out there with varying degrees of other metals including cobalt, nickel, titanate, and copper — lithium-ion batteries as a whole aren’t going out of fashion any time soon.

They are closely aligned to the growth of electric vehicles around the world and, increasingly, power grids around the world.

READ: Lithium set for mini-boom on increased grid demand?

Lithium-ion batteries have higher energy density than rival battery technologies, which means they can store and power electricity over a longer time period.

They also usually involve little to no maintenance, making them an even more attractive proposition for those looking to integrate the technology into the grid.

The addition of different minerals to the standard lithium-ion battery means they can be augmented for different end uses — such as batteries for electric vehicles or smartphones.

READ: Ever wonder what’s in your smart phone?

One of the nearer-term drivers of lithium-ion batteries is the increasing regulation of combustion engine vehicles.

For example, Europe has instituted a number of no-go zones in the CBDs of capital cities for petrol-powered vehicles, wanting to cut smog and traffic from dense areas.

 

This content does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.