“There is the potential to increase the number of electric passenger cars from just over 2 million in 2016 to 200 million in 2030.”, says a recent analysis on the electric vehicle (EV) industry by the International Renewable Energy Agency (IRENA). With sustained government efforts and improvements in the technology and reduction in the cost of such automobiles, this number seems to be within the grasp.

If it is any encouragement, the International Energy Agency (IEA)’s Global EV Outlook 2020 report says that already in 2019, 7.2 million such vehicles were in operation around the world! P&S Intelligence cites this as the key factor in the growth of the battery management system (BMS) market from $5,661.0 million in 2020 to $22,279.6 million in 2030, at a 15.0% CAGR between 2021 and 2030. This is because EVs require, among numerous components, an electric battery to serve as the main power source.

Since batteries, just like other machines and electrical devices, have limitations, they need a BMS to monitor and control their operations and elongate their operational life. Apart from the operations, BMSs also look after the charging and discharging of the battery. Thus, due to the rising installation of BMSs in EVs, renewable energy plants, and consumer electronics, Asia-Pacific (APAC) has been the largest BMS market till now, and the demand for such systems will also increase the fastest here in the near future.

Moreover, not just EVs but conventional automobiles also require BMSs because they also have a battery for auxiliary functions, such as starting and stopping, lighting, infotainment and dashboard systems, heating, ventilation, and air conditioning (HVAC) systems. Thus, being the largest automotive and consumer electronics market, APAC will continue generating a high demand for BMSs.

Therefore, the more batteries become important in various applications, the higher the procurement rate of BMSs will be.