Battery Diagnostics and Repair Market Size and Outlook 2031

Report Description

Forecast Period	2027-2031
Market Size (2025)	USD 1.98 Billion
CAGR (2026-2031)	8.16%
Fastest Growing Segment	Services
Largest Market	Europe
Market Size (2031)	USD 3.17 Billion

Market Overview

The Global Battery Diagnostics and Repair Market will grow from USD 1.98 Billion in 2025 to USD 3.17 Billion by 2031 at a 8.16% CAGR. The Global Battery Diagnostics and Repair Market consists of specialized solutions and services designed to evaluate battery health, detect anomalies, and perform maintenance or component replacements to restore optimal performance. Primary drivers fueling this sector include the imperative to extend the operational life of high-value battery assets to maximize return on investment and the increasing regulatory pressure to enforce circular economy principles that minimize hazardous waste. These economic and environmental necessities are pushing fleet operators and automotive manufacturers to prioritize repairability over premature replacement.

However, the market confronts a significant challenge in the form of a severe shortage of qualified technicians proficient in handling high-voltage systems and interpreting complex diagnostic data. This workforce gap creates a bottleneck that complicates the ability to service the rapidly expanding electric vehicle fleet. According to the European Automobile Manufacturers' Association, in 2024, the total market share for battery-electric cars in the European Union stood at 13.6 percent. This robust adoption rate highlights the critical urgency for the repair sector to scale its capabilities to meet the mounting service requirements of this growing vehicle population.

Key Market Drivers

Accelerating Global Adoption of Electric and Hybrid Vehicle Fleets is fundamentally restructuring the service sector by creating a substantial volume of battery assets that require specialized maintenance and health assessment. As these vehicles age and enter the secondary market, the imperative for accurate diagnostics to verify remaining capacity and safety becomes a prerequisite for resale and valuation. This expanding fleet ensures a sustained demand trajectory for repair services, a scale supported by the International Energy Agency (IEA), April 2024, in the 'Global EV Outlook 2024', which projected that global electric car sales would reach approximately 17 million units in 2024. The surging volume of vehicles transitioning from first owners to the used market further intensifies this need; according to Cox Automotive, in 2024, the number of electric vehicles sold via the Manheim Marketplace increased by 58% year-over-year in 2023, driving an immediate requirement for reliable battery health scoring solutions.

Stringent Environmental Regulations Promoting Circular Economy and Waste Reduction are acting as a parallel force, compelling the industry to prioritize life-extension strategies over disposal. Governments are increasingly enforcing mandates that require high material recovery rates and responsible end-of-life management, thereby making diagnostics and module-level repair economically and legally essential to defer recycling. These regulatory pressures are driving tangible industrial investments in closed-loop systems designed to retain critical raw materials. According to Mercedes-Benz Group, October 2024, in a press announcement regarding its Kuppenheim facility, the company opened a battery recycling plant with an annual capacity of 2,500 tonnes and a recovery rate of more than 96%, demonstrating the sector's shift towards maximizing material retention and minimizing hazardous waste.

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Key Market Challenges

The severe shortage of qualified technicians proficient in handling high-voltage systems significantly impedes the expansion of the global battery diagnostics and repair market. This workforce gap creates a functional bottleneck where the capacity to service vehicles lags behind the rapid integration of battery-electric technology. Service providers face operational constraints as they cannot scale their maintenance volume to match fleet growth, leading to extended downtime for assets. When diagnostic expertise is unavailable, operators are often forced to default to full component replacements rather than attempting repairs, which directly limits the revenue potential of the diagnostics sector.

The disparity between technical requirements and skilled labor availability is evident in recent industry figures. According to the Institute of the Motor Industry, in 2024, only 22 percent of the automotive workforce held the qualifications required to work safely on electric vehicles. This statistic underscores the depth of the skills deficit facing the industry. As the population of electric vehicles expands, this lack of certified human capital restricts the ability of service networks to implement diagnostic solutions effectively, thereby slowing the overall maturity of the repair ecosystem.

Key Market Trends

The Integration of AI and Machine Learning for Predictive Analytics is transforming battery diagnostics from a reactive maintenance model to a proactive health management system. Advanced algorithms are now capable of ingesting vast amounts of telemetry data to identify thermal runaway risks and degradation patterns before they manifest as critical failures, addressing the complexity that human technicians cannot manually analyze. This shift is exemplified by recent hardware advancements; according to Autel IMEA, December 2024, in the press release regarding its Annual Partners Summit, the company introduced the MaxiSYS MS Ultra S2, an AI-powered diagnostic tool designed with a 13.7-inch display to enhance fault detection precision for technicians. By leveraging such intelligent systems, service providers can optimize battery longevity and reduce warranty claims, fundamentally altering the economics of fleet maintenance.

The Rise of Second-Life Battery Grading and Repurposing Solutions is establishing a new value chain where retired electric vehicle assets are systematically validated for stationary energy storage applications. Rather than immediately sending degraded packs to recycling, companies are developing industrial-scale facilities to grade and reassemble these units for grid stabilization, thereby monetizing the residual capacity of batteries that no longer meet automotive standards. This trend is gaining significant industrial traction; according to Element Energy, November 2024, in the announcement regarding its grid-connected battery installation in Texas, the project utilizes 900 retooled electric vehicle batteries to provide 53 MWh of storage capacity, effectively demonstrating the commercial viability of large-scale repurposing. This industrialization of reuse creates a secondary market revenue stream that offsets the initial high cost of battery production and supports sustainable energy infrastructure.

Segmental Insights

The Services segment establishes itself as the fastest-growing category in the Global Battery Diagnostics and Repair Market due to the rising necessity for periodic maintenance of aging electric vehicle fleets. Operators prioritize professional third-party diagnostics to manage complex high-voltage systems and avoid the substantial costs associated with full battery replacement. This growth is further propelled by sustainability mandates promoting the refurbishment and second-life utilization of battery packs. Consequently, the reliance on specialized service providers to extend battery operational life and ensure safety compliance drives the rapid expansion of this market segment.

Regional Insights

Europe holds a dominant position in the global battery diagnostics and repair market due to stringent regulatory frameworks and a strong commitment to circular economy principles. The European Commission has implemented the comprehensive EU Battery Regulation, which mandates rigorous sustainability standards and performance monitoring throughout the battery lifecycle. This legislative environment compels automotive stakeholders to prioritize repair and second-life applications over disposal. Consequently, service providers in the region are increasingly adopting diagnostic solutions to ensure compliance and support the maintenance needs of a rapidly expanding electric vehicle fleet.

Recent Developments

In August 2025, TWAICE announced a three-year partnership with Fullmark Energy to deploy its battery analytics platform across a portfolio of energy storage assets in Southern California. The collaboration focused on utilizing predictive analytics software to monitor the health and performance of battery energy storage systems totaling 290 MWh capacity. By turning raw system data into actionable insights, the software enabled the independent power producer to optimize state-of-charge calculations, ensure compliance with market regulations, and prevent performance issues. This agreement highlighted the increasing reliance on advanced diagnostics to ensure the reliability and profitability of large-scale stationary storage projects.
In June 2025, Autocraft EV Solutions launched "Latent-IQ," a new diagnostic testing technology capable of identifying hidden faults within electric vehicle batteries at the cell level. This breakthrough aimed to help original equipment manufacturers avoid large-scale recalls by detecting latent defects—such as torn tabs or separator damage—that traditional testing methods often missed. By utilizing digital twin technology and deep-level analysis, the system allowed for the precise identification of compromised components, enabling targeted repairs instead of full battery pack replacements. The company positioned this solution as a means to significantly reduce financial costs and environmental waste associated with premature battery scrappage.
In March 2025, Cox Automotive and DHL Supply Chain established a strategic partnership to open a new electric vehicle battery service facility in Rugby, United Kingdom. This collaboration involved the launch of a 35,000-square-foot center dedicated to battery repair, remanufacturing, and storage within DHL's existing EV Centre of Excellence. As part of the initiative, DHL invested over £800,000 in a battery energy storage system to support the site's operations by recirculating energy from discharged batteries. The facility was designed to address the growing industry need for compliant, large-scale battery lifecycle management and to support manufacturers and fleet operators in meeting safety and environmental standards.
In January 2024, Robert Bosch GmbH introduced a new cloud-based service known as "Usage Certificate To Go" at the CES trade fair in Las Vegas. This innovative addition to the company's existing "Battery in the Cloud" portfolio was designed to analyze battery data and determine the condition of electric vehicle batteries. The service aimed to extend battery service life by up to 20 percent through optimization and provide a transparent certificate of the battery's health, which is crucial for the valuation of used electric vehicles. This development underscored the company's commitment to enhancing battery longevity and resource efficiency in the mobility sector.

Key Market Players

DV Power
Keysight Technologies
Exponential Power
AVILOO GmbH
CycloChrome
SUN Mobility
Midtronics, Inc.
Bosch Automotive Service Solutions Inc.
ENERSYS
Saft

By Component	By Vertical	By Test Type	By Region
Hardware Software Services	Automotive Power Grid Consumer Electronics Industrial Applications Others	Battery Cell Test Battery Pack/Module Test	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Battery Diagnostics and Repair Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Battery Diagnostics and Repair Market, By Component:

Hardware
Software
Services

Battery Diagnostics and Repair Market, By Vertical:

Automotive
Power Grid
Consumer Electronics
Industrial Applications
Others

Battery Diagnostics and Repair Market, By Test Type:

Battery Cell Test
Battery Pack/Module Test

Battery Diagnostics and Repair Market, By Region:

North America

United States
Canada
Mexico

Europe

France
United Kingdom
Italy
Germany
Spain

Asia Pacific

China
India
Japan
Australia
South Korea

South America

Brazil
Argentina
Colombia

Middle East & Africa

South Africa
Saudi Arabia
UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Battery Diagnostics and Repair Market.

Available Customizations:

Global Battery Diagnostics and Repair Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

Detailed analysis and profiling of additional market players (up to five).

Global Battery Diagnostics and Repair Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1. Product Overview

1.1. Market Definition

1.2. Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study

2.2. Baseline Methodology

2.3. Key Industry Partners

2.4. Major Association and Secondary Sources

2.5. Forecasting Methodology

2.6. Data Triangulation & Validation

2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market

3.2. Overview of Key Market Segmentations

3.3. Overview of Key Market Players

3.4. Overview of Key Regions/Countries

3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Battery Diagnostics and Repair Market Outlook

5.1. Market Size & Forecast

5.1.1. By Value

5.2. Market Share & Forecast

5.2.1. By Component (Hardware, Software, Services)

5.2.2. By Vertical (Automotive, Power Grid, Consumer Electronics, Industrial Applications, Others)

5.2.3. By Test Type (Battery Cell Test, Battery Pack/Module Test)

5.2.4. By Region

5.2.5. By Company (2025)

5.3. Market Map

6. North America Battery Diagnostics and Repair Market Outlook

6.1. Market Size & Forecast

6.1.1. By Value

6.2. Market Share & Forecast

6.2.1. By Component

6.2.2. By Vertical

6.2.3. By Test Type

6.2.4. By Country

6.3. North America: Country Analysis

6.3.1. United States Battery Diagnostics and Repair Market Outlook

6.3.1.1. Market Size & Forecast

6.3.1.1.1. By Value

6.3.1.2. Market Share & Forecast

6.3.1.2.1. By Component

6.3.1.2.2. By Vertical

6.3.1.2.3. By Test Type

6.3.2. Canada Battery Diagnostics and Repair Market Outlook

6.3.2.1. Market Size & Forecast

6.3.2.1.1. By Value

6.3.2.2. Market Share & Forecast

6.3.2.2.1. By Component

6.3.2.2.2. By Vertical

6.3.2.2.3. By Test Type

6.3.3. Mexico Battery Diagnostics and Repair Market Outlook

6.3.3.1. Market Size & Forecast

6.3.3.1.1. By Value

6.3.3.2. Market Share & Forecast

6.3.3.2.1. By Component

6.3.3.2.2. By Vertical

6.3.3.2.3. By Test Type

7. Europe Battery Diagnostics and Repair Market Outlook

7.1. Market Size & Forecast

7.1.1. By Value

7.2. Market Share & Forecast

7.2.1. By Component

7.2.2. By Vertical

7.2.3. By Test Type

7.2.4. By Country

7.3. Europe: Country Analysis

7.3.1. Germany Battery Diagnostics and Repair Market Outlook

7.3.1.1. Market Size & Forecast

7.3.1.1.1. By Value

7.3.1.2. Market Share & Forecast

7.3.1.2.1. By Component

7.3.1.2.2. By Vertical

7.3.1.2.3. By Test Type

7.3.2. France Battery Diagnostics and Repair Market Outlook

7.3.2.1. Market Size & Forecast

7.3.2.1.1. By Value

7.3.2.2. Market Share & Forecast

7.3.2.2.1. By Component

7.3.2.2.2. By Vertical

7.3.2.2.3. By Test Type

7.3.3. United Kingdom Battery Diagnostics and Repair Market Outlook

7.3.3.1. Market Size & Forecast

7.3.3.1.1. By Value

7.3.3.2. Market Share & Forecast

7.3.3.2.1. By Component

7.3.3.2.2. By Vertical

7.3.3.2.3. By Test Type

7.3.4. Italy Battery Diagnostics and Repair Market Outlook

7.3.4.1. Market Size & Forecast

7.3.4.1.1. By Value

7.3.4.2. Market Share & Forecast

7.3.4.2.1. By Component

7.3.4.2.2. By Vertical

7.3.4.2.3. By Test Type

7.3.5. Spain Battery Diagnostics and Repair Market Outlook

7.3.5.1. Market Size & Forecast

7.3.5.1.1. By Value

7.3.5.2. Market Share & Forecast

7.3.5.2.1. By Component

7.3.5.2.2. By Vertical

7.3.5.2.3. By Test Type

8. Asia Pacific Battery Diagnostics and Repair Market Outlook

8.1. Market Size & Forecast

8.1.1. By Value

8.2. Market Share & Forecast

8.2.1. By Component

8.2.2. By Vertical

8.2.3. By Test Type

8.2.4. By Country

8.3. Asia Pacific: Country Analysis

8.3.1. China Battery Diagnostics and Repair Market Outlook

8.3.1.1. Market Size & Forecast

8.3.1.1.1. By Value

8.3.1.2. Market Share & Forecast

8.3.1.2.1. By Component

8.3.1.2.2. By Vertical

8.3.1.2.3. By Test Type

8.3.2. India Battery Diagnostics and Repair Market Outlook

8.3.2.1. Market Size & Forecast

8.3.2.1.1. By Value

8.3.2.2. Market Share & Forecast

8.3.2.2.1. By Component

8.3.2.2.2. By Vertical

8.3.2.2.3. By Test Type

8.3.3. Japan Battery Diagnostics and Repair Market Outlook

8.3.3.1. Market Size & Forecast

8.3.3.1.1. By Value

8.3.3.2. Market Share & Forecast

8.3.3.2.1. By Component

8.3.3.2.2. By Vertical

8.3.3.2.3. By Test Type

8.3.4. South Korea Battery Diagnostics and Repair Market Outlook

8.3.4.1. Market Size & Forecast

8.3.4.1.1. By Value

8.3.4.2. Market Share & Forecast

8.3.4.2.1. By Component

8.3.4.2.2. By Vertical

8.3.4.2.3. By Test Type

8.3.5. Australia Battery Diagnostics and Repair Market Outlook

8.3.5.1. Market Size & Forecast

8.3.5.1.1. By Value

8.3.5.2. Market Share & Forecast

8.3.5.2.1. By Component

8.3.5.2.2. By Vertical

8.3.5.2.3. By Test Type

9. Middle East & Africa Battery Diagnostics and Repair Market Outlook

9.1. Market Size & Forecast

9.1.1. By Value

9.2. Market Share & Forecast

9.2.1. By Component

9.2.2. By Vertical

9.2.3. By Test Type

9.2.4. By Country

9.3. Middle East & Africa: Country Analysis

9.3.1. Saudi Arabia Battery Diagnostics and Repair Market Outlook

9.3.1.1. Market Size & Forecast

9.3.1.1.1. By Value

9.3.1.2. Market Share & Forecast

9.3.1.2.1. By Component

9.3.1.2.2. By Vertical

9.3.1.2.3. By Test Type

9.3.2. UAE Battery Diagnostics and Repair Market Outlook

9.3.2.1. Market Size & Forecast

9.3.2.1.1. By Value

9.3.2.2. Market Share & Forecast

9.3.2.2.1. By Component

9.3.2.2.2. By Vertical

9.3.2.2.3. By Test Type

9.3.3. South Africa Battery Diagnostics and Repair Market Outlook

9.3.3.1. Market Size & Forecast

9.3.3.1.1. By Value

9.3.3.2. Market Share & Forecast

9.3.3.2.1. By Component

9.3.3.2.2. By Vertical

9.3.3.2.3. By Test Type

10. South America Battery Diagnostics and Repair Market Outlook

10.1. Market Size & Forecast

10.1.1. By Value

10.2. Market Share & Forecast

10.2.1. By Component

10.2.2. By Vertical

10.2.3. By Test Type

10.2.4. By Country

10.3. South America: Country Analysis

10.3.1. Brazil Battery Diagnostics and Repair Market Outlook

10.3.1.1. Market Size & Forecast

10.3.1.1.1. By Value

10.3.1.2. Market Share & Forecast

10.3.1.2.1. By Component

10.3.1.2.2. By Vertical

10.3.1.2.3. By Test Type

10.3.2. Colombia Battery Diagnostics and Repair Market Outlook

10.3.2.1. Market Size & Forecast

10.3.2.1.1. By Value

10.3.2.2. Market Share & Forecast

10.3.2.2.1. By Component

10.3.2.2.2. By Vertical

10.3.2.2.3. By Test Type

10.3.3. Argentina Battery Diagnostics and Repair Market Outlook

10.3.3.1. Market Size & Forecast

10.3.3.1.1. By Value

10.3.3.2. Market Share & Forecast

10.3.3.2.1. By Component

10.3.3.2.2. By Vertical

10.3.3.2.3. By Test Type

11. Market Dynamics

11.1. Drivers

11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)

12.2. Product Launches (If Any)

12.3. Recent Developments

13. Global Battery Diagnostics and Repair Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry

14.2. Potential of New Entrants

14.3. Power of Suppliers

14.4. Power of Customers

14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. DV Power

15.1.1. Business Overview

15.1.2. Products & Services

15.1.3. Recent Developments

15.1.4. Key Personnel

15.1.5. SWOT Analysis

15.2. Keysight Technologies

15.3. Exponential Power

15.4. AVILOO GmbH

15.5. CycloChrome

15.6. SUN Mobility

15.7. Midtronics, Inc.

15.8. Bosch Automotive Service Solutions Inc.

15.9. ENERSYS

15.10. Saft

16. Strategic Recommendations

17. About Us & Disclaimer

Report Description

Table of content

Figures and Tables

Frequently asked questions

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