MarketsandMarkets: BESS Market to Exceed $105B by 2030

A comprehensive new report from MarketsandMarkets forecasts robust expansion for the global Battery Energy Storage System (BESS) market, projecting growth from USD 50.81 billion in 2025 to USD 105.

According to a new report from MarketsandMarkets, the global battery energy storage system market size is estimated to be USD 50.81 billion in 2025 and is projected to reach USD 105.96 billion by 2030, at a CAGR of 15.8% during the forecast period. The key growth drivers for the battery energy storage system market include the expanding adoption of lithium-ion batteries in renewable energy applications and the accelerated deployment of grid-scale storage within modernization projects. Nevertheless, the industry continues to face challenges such as installation complexities in island and remote locations, safety risks from overheating, and performance concerns related to the aging of lithium-ion batteries.

The off-grid connection type segment is estimated to hold a larger market share during the forecast period. The off-grid systems offer the advantage of fixed energy costs, eliminating utility bills while ensuring a reliable power supply for homes, businesses, and critical infrastructure in remote areas. These systems are fully self-sustaining and operate independently of the grid, providing resilience against power outages and enhancing energy security in interior and underserved regions. Off-grid solutions are also environmentally responsible, relying primarily on renewable energy sources such as solar, wind, and small-scale hydro, which significantly reduce greenhouse gas emissions and reliance on fossil fuels.

The flow battery segment is expected to grow to the highest CAGR during the forecast period. A flow battery is a rechargeable energy storage system in which two chemical components, dissolved in liquid electrolytes, are separated by a membrane. Unlike conventional batteries, which store energy in electrode materials, flow batteries store energy in the liquid electrolytes held in external tanks. This design enables the easy replacement of electrolytes, offering a key advantage that drives their adoption in battery energy storage systems. The size of the electrolyte tanks determines the storage capacity of flow batteries, enabling scalable solutions for diverse applications, from residential systems to large-scale grid storage. Meanwhile, the power output depends on the size of the electrochemical cell, while energy capacity is proportional to tank volume.

The Asia Pacific region is expected to be the fastest-growing region in the global battery energy storage system market during the forecast period. Rapid industrialization, urbanization, and economic expansion in the region have led to a substantial increase in power consumption, leading to the adoption of advanced energy storage solutions. The growing demand for reliable, sustainable, and renewable energy sources is further accelerating the deployment of BESS, particularly in regions with stressed or evolving power grids. Electrification initiatives on remote islands and rural areas are gaining momentum, while developing economies are introducing supportive policies and regulatory frameworks to ensure an uninterrupted and resilient electricity supply for residential, commercial, and industrial users.

Key players in the Battery Energy Storage System Market include:

LG Energy Solution, established as an independent entity in December 2020 following its separation from LG Chem, has rapidly emerged as a global leader in lithium-ion battery manufacturing. The company operates across three key business divisions—Advanced Automotive, Mobility and IT, and Energy Storage Systems—catering to various applications, including electric vehicles, portable electronics, and stationary storage. It has established an extensive global production network through partnerships with major automakers, including General Motors, Stellantis, Hyundai, and Honda, which enables large-scale supply and joint technology development.

SAMSUNG SDI has established itself as a key competitor in the battery energy storage system market, focusing strongly on energy solutions and electronic materials. Its Energy Solutions division supplies a diverse portfolio ranging from small batteries for mobile devices to large-scale automotive batteries and energy storage systems for commercial and residential use. The company supports sectors including telecommunications and uninterruptible power supplies, with products designed for efficiency and reliability. Samsung SDI operates globally with facilities and subsidiaries spanning Asia, Europe, and North America, giving it a broad international presence. The company balances organic innovation, investing 8 percent of its revenue into research and development in 2024, alongside strategic partnerships.