Two-Wheeler Battery Market – Global Industry Size, Share, Trends Opportunity, and Forecast Segmented By Vehicle Type (Motorcycles, Mopeds, Scooters, Electric Bikes), By Battery Type (Lead Acid, Lithium-Ion, and Other), By Drive Type (IC Engines and Electric Vehicles), By Region and By Competition 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 7.12 Billion
CAGR (2026-2031)	7.34%
Fastest Growing Segment	Lead Acid
Largest Market	Asia Pacific
Market Size (2031)	USD 10.89 Billion

Market Overview

The Global Two-Wheeler Battery Market will grow from USD 7.12 Billion in 2025 to USD 10.89 Billion by 2031 at a 7.34% CAGR. The Global Two-Wheeler Battery Market comprises the manufacturing and distribution of electrochemical energy storage systems, primarily lead-acid and lithium-ion variants, designed to power starting, lighting, and ignition functions in internal combustion engines or provide propulsion for electric motorcycles and scooters. The market is fundamentally supported by rapid urbanization in emerging economies, increasing demand for affordable personal mobility, and the global regulatory shift toward zero-emission vehicles. This expansion is evidenced by robust vehicle production numbers which directly correlate with battery demand. According to the Society of Indian Automobile Manufacturers, in the period between April and September 2024, domestic two-wheeler sales reached 10.16 million units, illustrating the substantial volume of new vehicles requiring energy storage solutions.

However, a significant challenge that could impede market expansion is the volatility of raw material prices, particularly for lithium, nickel, and cobalt used in advanced battery chemistries. Instability in the supply chain for these critical minerals often leads to fluctuating production costs, which can negatively impact the final pricing of batteries and limit their adoption in cost-sensitive markets where price parity with traditional vehicles remains a crucial factor for consumer acceptance.

Key Market Drivers

The Surging Global Adoption of Electric Two-Wheelers serves as the primary catalyst propelling the global two-wheeler battery market. As nations transition away from internal combustion engines to mitigate urban pollution, the manufacturing volume of electric scooters and motorcycles has risen exponentially, creating a direct, parallel demand for lithium-ion and advanced lead-acid energy storage units. This trend is particularly visible in high-growth developing regions where two-wheelers are the primary mode of transport and fleet electrification is prioritizing this segment. For instance, according to the Federation of Automobile Dealers Associations, November 2024, in the 'Vehicle Retail Data - October 2024' report, registered electric two-wheeler sales in India surged to 139,031 units, underscoring the massive monthly requirement for battery packs to equip these new vehicles.

Favorable Government Incentives and Subsidies for EV Procurement further accelerate this market expansion by offsetting the high upfront costs associated with battery technology. Financial mechanisms such as direct purchase grants, scrappage bonuses, and manufacturing-linked incentive schemes make electric variants price-competitive, thereby stimulating consumer uptake and sustaining production orders. According to the Press Information Bureau, September 2024, in the 'Cabinet approves PM E-DRIVE Scheme' release, the Government of India sanctioned a financial outlay of INR 10,900 crore to subsidize electric vehicle adoption and charging infrastructure, securing long-term capital flow into the battery ecosystem. This state-level support is evident globally; according to Xinhua News Agency, January 2025, in the 'China unveils new policies for electric bicycle trade-ins' article, the national subsidy program facilitated the exchange of over 1.38 million electric bicycles in 2024, driving substantial replacement battery demand.

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Key Market Challenges

The primary challenge impeding the Global Two-Wheeler Battery Market is the volatility of raw material prices, particularly for critical minerals like lithium, nickel, and cobalt. This instability creates significant unpredictability in manufacturing costs, which is detrimental in a sector where consumer demand is highly price-sensitive. Two-wheeler buyers often operate with limited budgets, meaning that even marginal increases in battery pack costs—driven by sudden spikes in mineral prices—can disrupt the price parity between electric and internal combustion engine vehicles. Manufacturers struggle to maintain stable, affordable pricing structures when their supply chains are subject to erratic cost fluctuations, leading to hesitation in production scaling and potential delays in vehicle rollouts.

The industry's heavy dependence on these specific minerals exacerbates the risk, as the market is exposed to supply chain bottlenecks that trigger these price swings. This high exposure significantly hampers the ability of manufacturers to secure consistent long-term supplies at predictable rates. According to the International Energy Agency, in 2024, the global demand for lithium specifically for battery applications increased to approximately 140 kilotonnes during the preceding year. This substantial volume of reliance underscores how supply chain instability and material scarcity directly threaten the manufacturing consistency required for sustained market growth.

Key Market Trends

The proliferation of Battery-as-a-Service (BaaS) and swapping ecosystems is fundamentally reshaping the Global Two-Wheeler Battery Market by decoupling energy storage costs from vehicle ownership. This model effectively addresses the high upfront acquisition price of electric two-wheelers—a critical barrier in cost-sensitive regions—while simultaneously mitigating range anxiety through rapid refueling infrastructure. By enabling users to subscribe to energy plans and exchange depleted packs for charged ones in minutes, the industry is fostering a scalable, shared-resource economy that enhances asset utilization rates compared to fixed-battery architectures. This operational expansion is evident in the rapid growth of swapping networks; according to ElectroRide, June 2024, in the 'ElectroRide Partners with Battery Smart to Expand EV Swapping Network' announcement, Battery Smart has established a robust network of 1,000 swap stations across 30 cities, facilitating over 35 million total battery swaps, underscoring the high throughput and consumer acceptance of this ecosystem.

Concurrently, the accelerated commercialization of sodium-ion battery chemistry represents a strategic pivot toward supply chain resilience and cost efficiency, directly countering the volatility associated with lithium-based inputs. Manufacturers are increasingly validating sodium-ion technology for mass-market scooters and mopeds due to the global abundance of sodium precursors and their superior performance in low-temperature environments, which ensures reliable operation in diverse climatic zones. This technology is moving swiftly from the prototype phase to commercial integration, offering a viable, lower-cost alternative that maintains adequate performance for urban mobility applications. According to Yadea Technology Group, January 2025, in the 'Yadea Launches Sodium Battery Electric Two-Wheelers' press release, the company's newly integrated sodium-ion battery pack achieves an energy density of 145 Wh/kg and a cycle life of 1,500 cycles, signaling the technology's maturity for immediate deployment in the two-wheeler sector.

Segmental Insights

Based on insights from credible market intelligence, the Lead Acid segment—specifically the Valve Regulated Lead Acid (VRLA) category—is currently identified as the fastest-growing segment in the Global Two-Wheeler Battery Market. This accelerated expansion is primarily driven by robust demand from the aftermarket sector, where the shorter lifecycle of these batteries necessitates frequent replacements, thereby generating consistent transaction volume. Furthermore, in cost-sensitive developing economies across Asia-Pacific, Lead Acid remains the preferred energy storage solution for both internal combustion engines and entry-level electric scooters due to its superior affordability and established recycling infrastructure compared to alternative chemistries.

Regional Insights

Asia Pacific maintains a dominant position in the global two-wheeler battery market due to the high reliance on motorcycles and scooters for cost-effective personal mobility in emerging economies. This leadership is reinforced by established manufacturing hubs in China and India that ensure supply chain efficiency. Additionally, supportive regulatory frameworks, such as the FAME India Scheme, actively promote the transition to electric mobility by incentivizing battery-powered vehicles. Consequently, the combination of widespread consumer adoption and policy-driven market expansion secures the region's status as a primary revenue generator.

Recent Developments

• In January 2025, CBAK Energy Technology, Inc., through its subsidiary, secured substantial purchase orders for its Model 32140 cylindrical lithium-ion battery cells from Ather Energy, a prominent electric two-wheeler manufacturer in India. The agreement entailed the supply of high-performance battery cells designed to meet the rigorous operational demands of the Indian electric vehicle sector. This commercial arrangement highlighted the growing demand for specialized energy storage components within the Global Two-Wheeler Battery Market. The deal underscored the importance of robust supply chains and advanced cell chemistries in supporting the scaling production capabilities of major electric scooter original equipment manufacturers.
• In December 2024, BYD Company Ltd. formed a strategic alliance with TAILG, a leading electric two-wheeler manufacturer, to collaborate on the development of advanced battery technologies for electric motorcycles and scooters. The partnership focused on optimizing battery safety, efficiency, and lifespan specifically for the two-wheeler sector. By leveraging BYD’s expertise in lithium iron phosphate (LFP) battery innovation, the companies aimed to address industry-wide concerns regarding fire safety and energy density. This collaboration marked a significant advancement in the Global Two-Wheeler Battery Market, signaling a shift towards safer and more reliable energy storage solutions for personal mobility vehicles.
• In October 2024, Gogoro Inc. and its exclusive distribution partner, Cycle & Carriage, officially launched a battery-swapping ecosystem and electric smartscooters in Singapore. This commercial expansion introduced Gogoro’s proprietary battery-swapping technology to the city-state, directly supporting the Singapore Green Plan 2030. The partnership involved the installation of battery-swapping stations and the release of three electric scooter models, offering a sustainable refueling alternative for urban commuters. This development significantly contributed to the Global Two-Wheeler Battery Market by demonstrating the scalability of interoperable battery platforms and fostering the transition from internal combustion engines to electric propulsion in Southeast Asian markets.
• In June 2024, ElectroRide, a multi-brand electric vehicle retail chain, entered into a strategic partnership with Battery Smart, a major battery-swapping network for electric two-wheelers. The collaboration aimed to deploy battery-swapping stations at ElectroRide’s franchise outlets across India, initially targeting locations in Delhi and Uttar Pradesh. This initiative was designed to strengthen the infrastructure supporting the Global Two-Wheeler Battery Market by addressing critical challenges such as range anxiety and long charging times. By integrating swapping facilities into retail points, the companies sought to improve accessibility for riders and accelerate the adoption of electric mobility solutions in the region.

Key Market Players

• Amara Raja Batteries Limited
• Panasonic Corporation
• Exide Technologies
• VARTA
• Clarios
• GS Yuasa Corporation
• Hitachi Group Ltd
• Robert Bosch GmbH
• China Aviation Lithium Battery Co. Ltd
• Contemporary Amperex Technology Co. Limited

By Vehicle Type	By Battery Type	By Drive Type	By Region
Motorcycles Mopeds Scooters Electric Bikes	Lead Acid Lithium-Ion and Other	IC Engines and Electric Vehicles	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

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

• Two-Wheeler Battery Market, By Vehicle Type:

• Motorcycles
• Mopeds
• Scooters
• Electric Bikes

• Two-Wheeler Battery Market, By Battery Type:

• Lead Acid
• Lithium-Ion
• and Other

• Two-Wheeler Battery Market, By Drive Type:

• IC Engines and Electric Vehicles

• Two-Wheeler Battery 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