Power Tool Batteries Market

Power Tool Battery Market of size, share, growth analysis:

The global power tool batteries market was valued at 2.4 million in 2020 and is expected to reach 5.3 Billion USD by 2025, with a CAGR of 9.6% from 2020 to 2025. The power tool is an activated device by a battery power source. The most commonly used types of power tools are drills, hammers, saws, sanders, grinders, screwdrivers, and others. These tools are widely used by commercial users for drilling in industries as they do not require an additional power source for operation.The growth of the construction business and the need for efficient power tools for various operations has led to the increased penetration of power tools in the construction industry. Basic operations such as cutting, chipping, drilling, hammering, and grinding can be easily performed using cordless power tools with greater efficiency and ease. Therefore, the rise of power tools in the construction industry is expected to drive the growth of the power tool batteries market. In addition, recent product developments in terms of batteries, motors, and other technologies have improved product efficiency and accelerated the adoption of power tools.

Power Recent Developments in Industry:

• In 2019, Bosch Power Tools launched a modern range of cordless power tools like wireless screwdriver powered by lithium-ion batteries. These power tools will boost convenience to the workers 4 times when compared to the present screwdrivers, claimed Bosch.
• In 2020, Makita, maker of high-quality professional tools and accessories, is enthusiastic to launch the 18Volts X2 LXT Cordless/Corded Upright L.E.D. Area Light (DML810, tool only).

Power Tool Battery Market Drivers:

Cordless power tools comprise of wide range of battery-operated tools such as impact drills, impact wrenches, and circular saws, as well as nailers and staplers. The request for extra mobile, flexible and compact tools is driving the market for cordless tools. Lithium-ion batteries are replacing conventional nickel-cadmium and nickel metal hydride power tools. Advances in battery technology are the driving factors leading to the growth and adoption of cordless power tools with high-density batteries that can last longer when charged. Lithium-ion batteries provide higher energy density and longer life for power tools. These batteries are very light in weight and do not exhibit self-discharge. Hence, lithium ion batteries have become the most popular choice for powering cordless power tools. Additionally, with the appeal of cordless tools to the consumer, toolmakers are focusing on cordless power tools and bringing innovative products to market.

Power Tool market Restraints:

Power tools, like assembly tools need regular maintenance of their moving parts. Power tools must be recalibrated at regular intervals for accurate operations. Motors, batteries, electrical connections, and other components in power tools wear out and fail over time. Regular maintenance, for example greasing, sharpening and replacing parts and other repairs, is necessary for the proper functioning of the tools, which in turn results in high costs. End users, especially in developing countries, are reluctant to spend on power tool maintenance due to the availability of low-cost labour. Therefore, the high maintenance cost is holding back the growth of the power tool market. Also, the cost of owning power tools increases due to the need for maintenance and repairs. Therefore, consumers in developing countries are renting power tools, which also hampers the growth of the power tool market.

REPORT COVERAGE:

Power Tool Battery Market Segmentation:

Based on tools, the drills segment is expected to grow at a CAGR of more than 5% over the 2020-2025 period. The application of corded and battery drill accessories has penetrated DIY enthusiasts. Circular saw blades were the second dominant segment as they are primarily used for wood and metal work that requires precision cuts.

Based on application, the construction segment is expected to grow at a CAGR of more than 6% during the 2020-2025 period. The global construction industry is expected to grow 85% in 2030, with China, the United States and India expected to dominate the market. Along with new public and residential construction activities, renovation and modernization activities will increase the demand for power tools over the next five years.

Regional Analysis of Power Tool Batteries:

By region, the global power tool batteries market is categorised into North America, Europe, Latin America (LATAM), Asia Pacific (APAC), and the Middle East and Africa (MEA). North America has a significant share, due to the large manufacturing industry and increased automobile sales in this region. Also, the APAC region is expected to experience promising growth, due to the increasing number of construction and infrastructure projects and the shift in the manufacturing base of companies from developed economies to developing economies, due to the cheap workforce.

Power Tool Battery Market Key Players:

The major players in the power tool batteries market are Atlas Copco AB (Sweden), Apex Tool Group, LLC (US), Robert Bosch GmbH (Germany), Hilti Corporation (Liechtenstein), Makita Corporation (Japan), Ingersoll-Rand plc (Ireland), Stanley Black & Decker, Inc. (US), Techtronic Industries Co., Ltd. (Hong Kong), KOKI Holdings (Japan), and Snap-on Incorporated (US).

Impact of Covid-19 on Power Tool Batteries market:

COVID-19 has become a global pandemic that has spread to 215 countries around the world and has affected various industries around the world. The dynamics in which various industries operated will change radically. As the world continues to fight this crisis, many industries continue to experience steady decline. Among these industries, the automotive business had a diverse effect. Coronavirus has spread around the world, starting with APAC, then affecting Europe, and currently accelerating in North America. Nations like the United States, Russia, Brazil, India, the United Kingdom, Spain, Italy, and Germany have experienced a sharp increase in diagnosed cases. Globalization and the interconnected economies of most countries would be affected due to COVID-19.