Li-Ion Battery Ternary Precursor Market Size, Share, Growth, and Industry Analysis, By Type (NCM Type and NCA Type), By Application (New Energy Vehicles, 3C Electronics and Others), Regional Insights and Forecast From 2025 To 2033

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LI-ION BATTERY TERNARY PRECURSOR MARKET OVERVIEW

The global Li-Ion Battery Ternary Precursor Market size was USD 4.82 billion in 2025 and market is projected to touch USD 11.88 billion by 2034, exhibiting a CAGR of 10.54% during the forecast period from 2025 To 2034.

The United States Li-ion Battery Ternary Precursor market size is projected at USD 1.52 Billion in 2025, the Europe Li-ion Battery Ternary Precursor market size is projected at USD 1.20 Billion in 2025, and the China Li-ion Battery Ternary Precursor market size is projected at USD 1.46 Billion in 2025.

The global li-ion battery ternary precursor is also known as, nickel-manganese-cobalt. It is a type of material that is used as a cathode in lithium-ion batteries. It is called a ternary precursor because it is made up of three different elements, usually including nickel, manganese, and cobalt. NMC is a common type of cathode material used in many lithium-ion batteries due to its high energy density, good cycle life, and relative safety compared to other cathode materials. NMC cathodes are used in a wide range of applications, including electric vehicles, portable electronic devices, and renewable energy storage systems. Growing demand for electric vehicles is driving the market.

The global li-ion battery ternary precursor market progression can be credited to the upsurge in the demand due to increasing demand for consumer electronics. It is widely used in consumer electronics such as smartphones, laptops, and tablets. The growing demand for these devices is driving demand for power and energy materials. In addition to their role as a cathode material, Li-ion battery ternary precursor materials also play a critical role in determining the performance characteristics of the battery.

KEY FINDINGS

COVID-19 IMPACT

Pandemic Led to Decrease Demand for Electronics and Electric Vehicles

The global COVID-19 pandemic has been unprecedented and staggering, with the li-ion battery ternary precursor market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels once the pandemic is over.

The effects of the COVID-19 pandemic are already being felt on a global level, the market was significantly influenced. The outbreak of COVID-19 had a negative impact on several markets. Various countries went into lockdown. With sudden pandemic, all kinds of businesses observed disruptions. The pandemic had a significant impact on the power and energy as well. The pandemic has caused a global economic slowdown, leading to reduced demand for consumer electronics and electric vehicles, two major markets for Li-ion battery ternary precursor materials. This has led to a decrease in the demand for these materials, causing a slowdown in production and a reduction in prices. The long-term trend towards renewable energy and sustainable transportation is expected to drive continued growth in the industry in the coming years.

LATEST TRENDS

Growing investment in recycling to attract major growth in the global market

As the Li-ion battery industry continues to grow, there is a growing focus on developing recycling technologies to recover valuable materials from used batteries. This is particularly important for Li-ion battery ternary precursor materials, which contain valuable metals such as nickel, manganese, and cobalt. Several companies and organizations are investing in research and development of recycling technologies to recover these materials and reduce the environmental impact of the industry.

• According to India’s NITI Aayog (a government think‑tank), in 2023 India's advanced chemistry cell (ACC) battery manufacturing initiatives supported 100 % reliance on critical minerals supply chains (lithium, cobalt, nickel) to promote domestic production of ternary precursors

• A joint ICEA‑Accenture report states that Li‑ion battery demand in India is projected to increase by up to 48 % by 2030, driven in large part by expanding demand for NCM/NCA cathode precursors

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LI-ION BATTERY TERNARY PRECURSOR MARKET SEGMENTATION

By Type

Based on type, the global li-ion battery ternary precursor market is divided into NCM type and NCA type.

• NCM Type (Nickel Cobalt Manganese): NCM precursors are widely used in EV batteries due to their balanced energy density, thermal stability, and cost-efficiency.

• NCA Type (Nickel Cobalt Aluminum): NCA precursors offer higher energy density and longer lifespan, making them ideal for high-performance electric vehicles and energy storage systems.

By Application

Based on application, the market is divided into new energy vehicles, 3C electronics and Others

• New Energy Vehicles: Ternary precursors are extensively used in lithium-ion batteries for electric vehicles, offering high energy density and extended driving range.

• 3C Electronics: In consumer electronics (Computers, Communications, and Consumer devices), these materials support compact, long-lasting battery solutions.

• Others: This includes applications like energy storage systems and industrial equipment, where stable and efficient battery performance is critical.

DRIVING FACTORS

Increasing demand for electric vehicles to drive growth in the market

The demand for electric vehicles is increasing globally due to concerns over air pollution and the need for cleaner transportation options. Li-ion batteries are a popular choice for electric vehicles, and the demand for these materials is therefore also increasing.

• According to ICEA, rising adoption of EVs, consumer electronics, and stationary energy storage applications is set to fuel a 48 % surge in lithium-ion battery demand by 2030 in India—boosting precursor production needs

• Industry sources report that Huayou Cobalt and GEM Co., Ltd have collectively secured supply contracts for over 250,000 tons of ternary precursors in the next 3–4 years, underscoring escalating supply commitments

Increasing growth of renewable energy to offer lucrative growth opportunities

The growth of renewable energy sources such as wind and solar power is also driving the demand for li-ion batteries, which are used to store energy for later use. This is particularly true in regions with high renewable energy penetration, such as Europe and North America.

Increasing support of government to boost the product adoption

Many governments around the world are offering incentives and subsidies for the production and use of li-ion batteries, particularly in the context of electric vehicles and renewable energy storage. This is driving demand for li-ion battery ternary precursor materials as manufacturers seek to take advantage of these incentives.

RESTRAINING FACTORS

High cost and limited availability of raw materials to hinder market progress

The production of these materials involves complex chemical processes and requires expensive equipment and raw materials. This results in higher production costs, which can make the final product more expensive for end-users. Some of the raw materials used in the production of li-ion battery ternary precursor materials, such as lithium and cobalt, are relatively scarce and expensive. This can constrain the supply chain and increase production costs.

• India's current 100 % dependence on lithium imports, as highlighted in government-backed reports, poses supply chain risks for ternary precursor production

• Accumulating end-of-life (EoL) Li‑ion battery waste is emerging as a restraint: India is projected to face substantial volumes of spent batteries unless recycling solutions scale rapidly

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LI-ION BATTERY TERNARY PRECURSOR MARKET REGIONAL INSIGHTS

China to dominate the market owing to the regions access to excess supplies of raw materials

China captured the largest share. China has access to abundant supplies of raw materials needed to produce ternary precursors, such as lithium, nickel, and cobalt. The country also has a strong presence in the rare earth elements market, which are critical for the production of some types of ternary precursors. China is the world's largest market for electric vehicles, and the demand for these vehicles is expected to continue to grow in the coming years. Ternary precursors are a critical component of high-performance li-ion batteries used in electric vehicles, which creates a large market for Chinese companies producing these materials.

Unites State is likely to hold the second-largest share in the market. Like many countries around the world, the United States is seeing a growing demand for electric vehicles. Li-ion batteries are a critical component of these vehicles, and ternary precursors are necessary for high-performance batteries. As the demand for electric vehicles increases, so too does the demand for ternary precursors. It has a strong research and development infrastructure and a significant investment in battery technology. This investment has led to several breakthroughs in the development of high-performance batteries, including ternary precursors.

KEY INDUSTRY PLAYERS

Market Players adopting various strategies to gain competitive edge in the market

The report delivers information about the list of market players and their operations in the industry. The information is collected and reported with proper research, technological developments, acquisitions, mergers, expanding production lines, and partnerships. Other aspects examined for this market include companies producing and introducing new products, regions they conduct their operations in, automation, technology adoption, generating the most revenue, and making a difference with their products.

• GEM Co., Ltd has signed long-term supply contracts totaling >250,000 tons of cathode precursor materials with partners including ECOPRO BM, Ronbay, XTC and others

• CNGR Corporation has entered agreements with firms like EASPRING and Farasis, expected to deliver >500,000 tons of ternary precursors over the coming years

List of Top Li-Ion Battery Ternary Precursor Companies

• GEM Co., Ltd (HQ: China)
• Umicore (HQ: Belgium)
• CNGR Corporation (HQ: China)
• Brunp Recycling (HQ: China)
• Tanaka Chemical Corporation (HQ: Japan)
• Kelong New Energy (HQ: China)
• Zhejiang Huayou Cobalt (HQ: China)
• Fangyuan (HQ: Taiwan)
• Greatpower Technology (HQ: China)
• Ronbay Technology (HQ: China)

REPORT COVERAGE

This research profiles a report with extensive studies that take into description of the firms that exist in the market affecting the forecasting period. With detailed studies done, it also offers a comprehensive analysis by inspecting the factors like segmentation, opportunities, industrial developments, trends, growth, size, share, restraints, and others. This analysis is subject to alteration if the key players and probable analysis of market dynamics changes.