Key Insights

The Indonesian battery market, valued at $233.20 million in 2025, is poised for robust growth, exhibiting a Compound Annual Growth Rate (CAGR) exceeding 14.30% from 2025 to 2033. This expansion is driven by several key factors. The burgeoning electric vehicle (EV) sector in Indonesia, supported by government initiatives promoting sustainable transportation, is a significant catalyst. Increased demand for energy storage solutions, particularly in the telecom and UPS sectors, further fuels market growth. Furthermore, the rising adoption of portable electronics and the expansion of industrial applications, including motive power, contribute to the overall market dynamism. The dominance of Lithium-ion batteries is expected to continue, although Lead-acid batteries will retain a significant market share due to their cost-effectiveness in specific applications. However, challenges remain, including potential supply chain disruptions and the need for robust battery recycling infrastructure to address environmental concerns.

Growth within specific application segments will vary. The automotive battery segment (HEV, PHEV, and EV) is projected to experience the most rapid expansion, mirroring the growth of the Indonesian EV market. The stationary battery segment, primarily driven by the increasing demand for reliable power backups in the telecom and UPS sectors, will also contribute significantly. While the SLI (Starting, Lighting, and Ignition) battery segment will maintain its relevance, its growth rate might be comparatively slower than other segments due to market saturation. Competition amongst key players, including Furukawa Battery, CATL, Energizer, and GS Yuasa, will intensify, necessitating strategic investments in research and development, and expansion of manufacturing capacity to meet the rising demand. Indonesia's strategic location and growing manufacturing base position it well to become a significant player in the global battery supply chain.

This comprehensive report provides an in-depth analysis of the Indonesia battery market, covering market size, segmentation, growth drivers, challenges, and key players. The study period spans from 2019 to 2033, with 2025 serving as the base and estimated year. The report offers actionable insights for industry stakeholders, investors, and businesses operating within or seeking entry into this dynamic market.

Indonesia Battery Market Concentration & Innovation

The Indonesian battery market exhibits a moderately concentrated landscape, with a few dominant players holding significant market share. The Furukawa Battery Co Ltd, Contemporary Amperex Technology Co Limited (CATL), Energizer Holdings Inc, PT New Indobatt Energy Nusantara, FDK Corporation, PT Motobatt Indonesia, GS Yuasa Corporation, and PT Century Batteries Indonesia are some of the key players, although the market is not exclusively defined by these firms. The exact market share distribution for each company is xx%, but further analysis indicates that the top 6 players control approximately 64% of the market (2024 data).

Innovation in the Indonesian battery market is driven by the increasing demand for electric vehicles (EVs), the growth of renewable energy sources, and government initiatives promoting energy storage solutions. The regulatory framework, although evolving, is gradually fostering innovation. The emergence of lithium-ion batteries as a leading technology is significantly impacting the market, while lead-acid batteries remain prevalent in certain segments. Mergers and acquisitions (M&A) activity within the sector is steadily increasing, reflecting the high demand for strategic acquisitions and technological advancements. However, specific M&A deal values are currently unavailable (xx Million). End-user trends are moving towards higher energy density, longer lifespan, and cost-effective battery solutions.

Indonesia Battery Market Industry Trends & Insights

The Indonesian battery market is experiencing robust growth, fueled by the rising demand for EVs, increasing investments in renewable energy infrastructure, and supportive government policies. The Compound Annual Growth Rate (CAGR) for the period 2025-2033 is estimated at xx%, with market penetration rapidly expanding across various segments. Technological disruptions, particularly the increasing adoption of lithium-ion batteries, are driving significant market transformation. Consumer preferences are shifting towards longer-lasting, higher-performing, and environmentally friendly battery options. Competitive dynamics are characterized by intense rivalry among domestic and international players, leading to price competition and technological innovation. The market size in 2025 is estimated at xx Million USD, poised to reach xx Million USD by 2033.

Dominant Markets & Segments in Indonesia Battery Market

The Indonesian battery market is witnessing significant growth across several segments.

• Technology: Lithium-ion batteries are experiencing the fastest growth, driven by the EV boom and energy storage applications. Lead-acid batteries remain dominant in the SLI (starting, lighting, ignition) segment. Other technologies, such as solid-state batteries, are still emerging but hold immense future potential.

• Application: Automotive batteries (HEV, PHEV, and EV) represent the fastest-growing application segment, driven by government incentives and rising EV adoption. Industrial batteries (motive, stationary) also hold significant market share, particularly in the telecom and UPS sectors. Portable batteries and SLI batteries maintain a substantial presence in the consumer and automotive sectors respectively.

Key drivers for the dominance of these segments include:

• Government policies: Incentives for EV adoption and renewable energy integration.
• Infrastructure development: Investments in charging stations and grid modernization.
• Economic growth: Increased purchasing power and industrial expansion.

Detailed analysis suggests the Automotive Battery segment dominates in terms of revenue, while the SLI battery segment holds the largest market volume.

Indonesia Battery Market Product Developments

Recent product developments focus on enhancing energy density, lifespan, safety, and cost-effectiveness of battery technologies. Lithium-ion battery innovations, including advancements in cathode and anode materials, are significantly improving performance. The integration of advanced battery management systems (BMS) is optimizing battery efficiency and lifespan. These developments are tailored to meet the growing demand for high-performance batteries in EVs, energy storage systems, and other applications. The market shows a clear trend towards sustainable and environmentally friendly battery solutions.

Report Scope & Segmentation Analysis

This report segments the Indonesian battery market based on technology (Lithium-ion Battery, Lead-acid Battery, Other Technologies) and application (SLI Batteries, Industrial Batteries, Portable Batteries, Automotive Batteries, Other Applications). Each segment’s growth projections, market sizes (xx Million USD), and competitive dynamics are analyzed. For example, the lithium-ion battery segment is projected to experience a xx% CAGR, driven by strong demand from the EV sector. Similarly, the automotive battery segment is expected to dominate the market in terms of revenue, fueled by the government’s push for EV adoption. The detailed breakdown of market size and growth projections for each segment is presented in the complete report.

Key Drivers of Indonesia Battery Market Growth

The Indonesian battery market's growth is driven by several factors:

• Government initiatives: Policies promoting EV adoption and renewable energy integration are significant drivers.
• Technological advancements: Innovations in battery technologies are enhancing performance and reducing costs.
• Economic growth: A growing economy and rising middle class are fueling demand for consumer electronics and vehicles.
• Nickel reserves: Indonesia's abundant nickel reserves, a crucial material for EV batteries, provide a strategic advantage.

Challenges in the Indonesia Battery Market Sector

The Indonesian battery market faces challenges including:

• Regulatory hurdles: Navigating evolving regulatory frameworks can be complex for businesses.
• Supply chain issues: Securing raw materials and managing complex supply chains pose significant operational challenges.
• Price volatility: Fluctuations in raw material prices can impact profitability.
• Competition: Intense competition from both domestic and international players. These challenges can significantly impact market growth and profitability, requiring careful strategic management.

Emerging Opportunities in Indonesia Battery Market

Emerging opportunities include:

• Growth of renewable energy: The expansion of renewable energy necessitates energy storage solutions, driving demand for batteries.
• EV adoption: Continued growth in EV sales will significantly boost battery demand.
• Technological innovation: Advancements in battery technology, such as solid-state batteries, offer immense potential.
• Government support: Continued government support for the sector will create favorable conditions for growth. These opportunities highlight the significant potential for future expansion in the Indonesian battery market.

Leading Players in the Indonesia Battery Market Market

• The Furukawa Battery Co Ltd
• Contemporary Amperex Technology Co Limited
• Energizer Holdings Inc
• PT New Indobatt Energy Nusantara
• FDK Corporation
• PT Motobatt Indonesia
• GS Yuasa Corporation
• PT Century Batteries Indonesia

Key Developments in Indonesia Battery Market Industry

• May 2023: Volkswagen announced a USD 5 Billion investment in an Indonesian plant for battery raw materials, aiming to establish an EV supply chain.
• Mar 2023: PT Vale Indonesia and Huayou signed a nickel agreement with Ford Motor, supporting global sustainable EV battery production. These developments showcase the significant investments and partnerships shaping the Indonesian battery market's trajectory.

Strategic Outlook for Indonesia Battery Market Market

The Indonesian battery market presents significant growth potential, driven by strong government support, abundant natural resources, and the global shift towards electrification. The increasing demand for EVs and energy storage systems, coupled with ongoing technological advancements, will fuel market expansion. Strategic partnerships, investments in infrastructure, and a focus on sustainable practices will be crucial for companies seeking to capitalize on this dynamic market's opportunities. The market is expected to continue its robust growth trajectory throughout the forecast period.

Indonesia Battery Market Segmentation

• 1. Technology
  • 1.1. Lithium-ion Battery
  • 1.2. Lead-acid Battery
  • 1.3. Other Technologies
• 2. Application
  • 2.1. SLI Batteries
  • 2.2. Industri
  • 2.3. Portable Batteries (Consumer Electronics, etc.)
  • 2.4. Automotive Batteries (HEV, PHEV, and EV)
  • 2.5. Other Applications

Indonesia Battery Market Segmentation By Geography

• 1. Indonesia