Volatile Lead Prices Challenge the Motive Lead Acid Market

Lead is the primary raw material in motive lead acid (MLA) batteries and its cost, which comprises close to 85 percent of the battery cost, has a significant impact on the profitability of MLA battery vendors. One solution to control costs is to vertically integrate by acquiring lead and plastic recycling units. If that is not viable, vendors will have to bear the burden of increased production costs unless they can successfully transfer it to the customer. However, this might not be a good strategy because reasonable pricing is the deciding purchase factor in the increasingly competitive MLA battery market with its limited product differentiation in terms of design and construction. Global competition also implies that higher quality, rigorous after-sales service, and enhanced features will be necessary for vendors to fetch a premium on products and maintain profitability.

This Frost & Sullivan research analyzes the world motive lead acid battery markets and provides a comprehensive coverage of key drivers and challenges at industry level. Revenue and pricing trends in various application segments enable market participants to craft reliable business growth plans. Application, geographic, and competitive analyses explore emerging opportunities and latest developments in this market.

Manufacturing Sector Promises Steady Demand for Motive Power Battery Manufacturers

The global economic resurgence is increasing the opportunities available for MLA batteries. Since demand for MLA batteries is interlinked to the growth of related industries, positive developments in the manufacturing sector encourage battery sales. "Increased capital expenditure in the form of new equipment purchases, replacements, or upgrades in heavy duty equipment bodes well for MLA battery demand," says the analyst of the research.

Growing economies such as the Asia Pacific and parts of Eastern Europe offer tremendous opportunities for MLA battery vendors. The Asia Pacific region is a fast growing market for a wide range of products from high-tech electronics and consumer durables to manufacturing, all leading to an increased demand in power requirements.

Electric Powered Vehicles Stir Demand for MLA Batteries

The automotive industry's focus on environment-friendly energy sources coupled with the volatile demand-supply equation in global petroleum markets is pushing the case for MLA batteries in an upward direction. Lead acid batteries are a reliable and recyclable energy solution since new batteries typically contain 60 to 80 percent of recycled lead and plastics. Further, increasing automation is popularizing the demand for automated guided and other high capacity electric vehicles, spurring the volume growth of MLA batteries.

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Comprehensive Guide to the MLA Battery Market

This research service contains revenue and growth forecasts for the world motive lead acid (MLA) battery market. Revenue analysis based on the distribution channel and type of construction of MLA batteries enables the participant to understand the potential target and market size. This analysis also focuses on revenues from different application segments and geographic regions.

Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research:

• Flooded motive lead acid battery market
• Sealed motive lead acid battery market

The following technologies are covered in this research:

• Motive Lead Acid Batteries: MLA batteries are the earliest form of energy storage solutions to generate electricity from a chemical composition. These batteries consist of two electrodes of opposite polarities and an electrolyte. The spongy lead at the negative electrode and the lead alloy at the positive electrode react with sulphuric acid, resulting in the discharge of ions at the electrodes. MLA batteries are grouped into flooded lead acid and valve-regulated lead acid (VRLA), based on the construction
• Flooded MLA Batteries: These batteries contain two electrodes of opposing polarities and a liquid electrolyte. On usage, the level of the liquid reduces and distilled water needs to be added regularly to maintain the level of electrolyte in the battery. Flooded batteries are rugged in nature and not overly sensitive to fluctuations in charging parameters.
• VRLA MLA Batteries: VRLA batteries made their entry during the early 1970s as a reliable source of backup power. They were used in a variety of applications such as telecommunication and power tools, to name a few. In VRLA batteries, the electrolyte is either in an absorbed condition or in the form of a gel. Also, VRLA cells contain a vent that regulates the internal pressure within the battery in case of overcharging.

Click here to view the analyst presentation:

A713 presentation.ppt

Chapter 2

• Motive Lead Acid Battery Market: Market Drivers Ranked in Order of Impact (World), 2003-2010
• Motive Lead Acid Battery Market: Market Restraints Ranked in Order of Impact (World), 2003-2010
• Motive Lead Acid Battery Market: Unit Shipment and Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Percent of Revenues by Distribution Channel (World), 2000-2010
• Motive Lead Acid Battery Market: OE Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Aftermarket Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Percent of Revenues by Construction Type (World), 2000-2010
• Motive Lead Acid Battery Market: Flooded Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Sealed Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Percent of Revenues by Geographic Region (World), 2000-2010
• Motive Lead Acid Battery Market: Revenue Forecasts (North America), 2000-2010
• Motive Lead Acid Battery Market: Revenue Forecasts (Europe), 2000-2010
• Motive Lead Acid Battery Market: Revenue Forecasts (Asia Pacific), 2000-2010
• Motive Lead Acid Battery Market: Revenue Forecasts (Rest-of-World), 2000-2010
• Motive Lead Acid Battery Market: Competitive Structure (World), 2003
• Motive Lead Acid Battery Market: Company Market Share by Revenues (World), 2003

Chapter 3

• Motive Lead Acid Battery Market: Percent of Revenues by End-user (World), 2000-2010
• Motive Lead Acid Battery Market: Heavy-duty Equipment End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Mining Applications End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Railroad Applications End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Golf Cart Applications End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Recreational Vehicle (RV) / Motor Home Applications End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Electric Vehicle Applications End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Other Applications End-user Revenue Forecasts (World), 2000-2010
• Motive Lead Acid Battery Market: Competitive Structure (World), 2003
• Motive Lead Acid Battery Market: Company Market Share by Revenues (World), 2003

List of Charts

Chapter 1

• Total Motive Lead Acid Battery Market: Total End User Application Segments (2003)

Chapter 2

• Total Motive Lead Acid Battery Market: Market Engineering Measurements (World), 2003
• Total Motive Lead Acid Battery Market: Revenue Forecast (World), 2003
• Total Motive Lead Acid Battery Market: Percent of Revenues by Distribution Channel (World), 2003
• Total Motive Lead Acid Battery Market: Percent of Revenues by Construction Type (World), 2003
• Motive Lead Acid Battery Market: Percent of Revenues by Voltage (World), 2003
• Total Motive Lead Acid Battery Market: Percent of Revenues by Geographic Region (World), 2003
• Motive Lead Acid Battery Market: Company Market Share by Revenues (World), 2003
• Motive Lead Acid Battery Market: Product Differentiation Innovation Award (World), 2003
• Motive Lead Acid Battery Market: Product Line Strategy Leadership (World), 2003

Chapter 3

• Motive Lead Acid Battery Market: Percent of Revenues by End-user Application (World), 2003