According to QYResearch
The high demand for pouch films from the battery market will give South Korea and China to increase their market share in a market traditionally dominated by Japan, according to data from QYResearch.
The analyst firm said the market for pouch film was worth US$59.5 million last year, but will grow to US$3.4247 billion in 2027, propelled by high demand.
Specifically, the market for pouch film used in electric vehicles will increase 20% on average per year, QYResearch said in its forecast.
The analyst firm noted that out of the top 20 electric vehicle models sold in Europe last year, 15 models used pouch batteries.
Currently, Japan’s Dai Nippon Printing and Showa Denko together control around 80% of the market share in pouch film.
However, QYResearch said the pair’s speed of expanding their production capacities isn’t matching the speed of increasing demand, which will allow their rivals in South Korea and China to expand their market share.
South Korea’s Youlchon Chemical, the first company in the country to produce pouch film, is planning to supply its films to large-sized batteries.
Other companies eyeing the market include Korea Aluminum and BTL Advanced Material.
Chinese companies are also equally aggressive. Zhejiang New Material is collaborating with Chinese battery companies to test pouch films for electric vehicle batteries.
Selen Science & Technology is planning to build two production lines in Changzhou within the year. The Chinese firm, in 2016, acquired Japan’s T&T to secure technology in pouch film.
Crown Material is also expanding into pouch films for electric vehicles and energy storage systems.
Pouch batteries usually offer higher energy density over cylinder and prismatic batteries.
LG Energy Solution, SK On and CATL manufacture pouch batteries.
Pouch films are used to cover pouch batteries to protect the material inside. The film also affects the heat levels of batteries and accounts for around 10% of battery unit costs.