Global AGM Batteries for Cars Market Size, Share, and Trends Analysis Report – Industry Overview and Forecast to 2032

AGM Batteries for Cars Market Size

• The global AGM batteries for cars market size was valued at USD 12.96 billion in 2024 and is expected to reach USD 18.86 billion by 2032, at a CAGR of 4.80% during the forecast period
• The market growth is largely fueled by the growing adoption of fuel-efficient and start-stop vehicles, coupled with technological progress in battery management systems and charging infrastructure, leading to increased deployment of AGM (Absorbent Glass Mat) batteries across automotive applications
• Furthermore, rising consumer demand for maintenance-free, vibration-resistant, and high-performance batteries—especially in premium passenger cars and commercial vehicles—is establishing AGM batteries as the preferred energy storage solution. These converging factors are accelerating the uptake of AGM batteries for cars, thereby significantly boosting the industry's growth

AGM Batteries for Cars Market Analysis

• AGM (Absorbent Glass Mat) batteries, known for their superior performance, durability, and maintenance-free operation, are becoming increasingly vital in the automotive sector—especially in vehicles requiring high electrical load support, such as start-stop systems, luxury cars, and electric vehicles
• The growing demand for fuel-efficient and start-stop-enabled vehicles, along with the need for high-performance power solutions, is significantly driving the adoption of AGM batteries across passenger and commercial car segments globally
• North America dominated the AGM batteries for cars market with the largest revenue share of 38.4% in 2024, driven by widespread automotive electrification, strong aftermarket demand, and the presence of major automotive OEMs and battery manufacturers. The U.S. leads regional growth due to increasing deployment in SUVs, pickup trucks, and hybrid vehicles
• Asia-Pacific is expected to be the fastest-growing region in the AGM batteries for cars market, projected to register a CAGR of 9.1% from 2025 to 2032, owing to rapid urbanization, increasing vehicle production, and rising adoption of advanced battery technologies in countries such as China, Japan, South Korea, and India
• The motive segment dominated the AGM batteries for cars market with a 64.5% revenue share in 2024, driven by strong demand from the automotive sector

 Report Scope and AGM Batteries for Cars Market Segmentation       

AGM Batteries for Cars Market Trends

Rising Demand Due to Vehicle Electrification and Start-Stop Technology

• A significant and accelerating trend in the AGM (Absorbent Glass Mat) batteries for cars market is the growing adoption of start-stop systems and micro-hybrid technologies in modern vehicles. These systems rely heavily on AGM batteries due to their ability to handle frequent starts, deep cycling, and high power demands
• Automobile manufacturers are increasingly integrating AGM batteries into new vehicle models to improve fuel efficiency, reduce emissions, and meet stringent regulatory standards such as the U.S. CAFE standards and EU CO₂ targets. AGM batteries support regenerative braking and other energy recovery systems essential for eco-friendly driving
• In March 2024, Clarios, a leading battery manufacturer, announced the expansion of its AGM battery production capacity in the U.S. to meet rising OEM and aftermarket demand. The investment aims to support the growing number of vehicles requiring advanced battery technology capable of handling complex electrical architectures
• Fleet operators and commercial vehicle owners are also shifting towards AGM batteries due to their long service life, vibration resistance, and minimal maintenance requirements—factors that reduce operational downtime and total cost of ownership
• The aftermarket segment is witnessing strong growth as consumers replace conventional lead-acid batteries with AGM alternatives to support added electronic components such as infotainment systems, driver-assist technologies, and enhanced lighting systems in both new and older vehicle models
• As more vehicles come equipped with energy-hungry electronics, the demand for AGM batteries is expected to surge, especially in regions such as North America, Europe, and Asia-Pacific. The availability of dual-purpose AGM batteries, which combine starting and deep cycling functions, is further strengthening their position in the automotive battery landscape
• Major market players such as Exide Technologies, East Penn Manufacturing, and GS Yuasa are investing in R&D to improve energy density, thermal performance, and charging speed, positioning AGM batteries as a critical component in the transition to cleaner, smarter mobility solutions

AGM Batteries for Cars Market Dynamics

Driver

Growing Demand Due to Electrification Trends and Enhanced Vehicle Performance Requirements

• The increasing shift towards vehicle electrification and the growing consumer preference for high-performance automotive solutions are key drivers fueling the demand for AGM (Absorbent Glass Mat) batteries. These batteries provide superior power, enhanced durability, and reliable performance under start-stop conditions—crucial for modern vehicles
• For instance, in March 2024, East Penn Manufacturing announced the expansion of its AGM battery production facilities in the U.S. to meet rising demand from both OEMs and aftermarket channels. This investment supports the global push toward more energy-efficient and emission-compliant automotive solutions
• AGM batteries offer longer service life, better vibration resistance, and deep-cycle capabilities, making them highly suitable for both traditional internal combustion engine (ICE) vehicles and hybrid electric vehicles (HEVs)
• In addition, the widespread use of electronic components in modern cars—including infotainment systems, navigation units, and safety electronics—is increasing the requirement for robust and stable power sources such as AGM batteries
• The growing demand for luxury and premium vehicles across emerging markets is also contributing to the adoption of AGM batteries, as automakers seek to meet consumer expectations for performance, comfort, and reliability

Restraint/Challenge

High Initial Costs and Limited Recycling Infrastructure

• The relatively higher cost of AGM batteries compared to conventional flooded lead-acid batteries remains a significant barrier to their mass adoption, especially in price-sensitive markets. This price gap can deter consumers from choosing AGM options despite their performance advantages
• For instance, while AGM batteries offer better efficiency and lower maintenance, their upfront cost can be nearly double that of traditional batteries, affecting purchasing decisions for budget-conscious vehicle owners and fleet operators
• Another pressing challenge is the lack of widespread recycling infrastructure for AGM batteries. Due to their complex internal structure and the presence of absorbed electrolytes, the recycling process is more intricate and costlier than conventional lead-acid batteries
• This limited recycling ecosystem may lead to increased environmental impact if not addressed, and also adds to the total lifecycle cost of these batteries
• To overcome these challenges, battery manufacturers are investing in cost-reduction strategies, including economies of scale and localized production, while governments and environmental agencies are promoting better end-of-life management through regulations and incentives for battery recycling initiatives

AGM Batteries for Cars Market Scope

The market is segmented on the basis of type, voltage, engine type, sales channel, and vehicle type.

• By Type

On the basis of type, the AGM batteries for cars market is segmented into stationary and motive. The motive segment dominated the market with a 64.5% revenue share in 2024, driven by strong demand from the automotive sector.

The stationary segment is projected to register the fastest CAGR of 8.9% from 2025 to 2032, due to its rising use in backup and renewable energy storage systems.

• By Voltage

On the basis of voltage, the AGM batteries for cars market is segmented into less than 10 Volts, 10 Volts to 12 Volts, and above 12 Volts. The 10 Volts to 12 Volts segment held the largest share of 53.1% in 2024, being the industry standard in vehicles.

The above 12 Volts segment is expected to grow at the highest CAGR of 9.4% from 2025 to 2032, supported by demand in electric and commercial vehicles.

The less than 10 Volts segment held 18.2%, primarily serving niche and compact applications.

• By Engine Type

On the basis of engine type, the AGM batteries for cars market is segmented into IC engines and electric vehicles. The IC engines segment dominated with a 72.8% revenue share in 2024, reflecting the current dominance of combustion engine vehicles globally.

The electric vehicles segment is anticipated to register the fastest CAGR of 10.8% from 2025 to 2032, due to rapid EV adoption and growing use of AGM batteries for auxiliary loads.

• By Sales Channel

On the basis of sales channel, the AGM batteries for cars market is segmented into OEM and aftermarket. The OEM segment captured a 59.6% market share in 2024, driven by pre-installation in new vehicles and strong partnerships with automakers.

The aftermarket segment is projected to grow at a CAGR of 7.5% from 2025 to 2032, as consumers increasingly upgrade to AGM batteries for replacements.

• By Vehicle Type

On the basis of vehicle type, the AGM batteries for cars market is segmented into passenger cars and electric cars. The passenger cars segment dominated with a 66.3% revenue share in 2024, fueled by high-volume sales and replacement needs in traditional vehicles.

The electric cars segment is expected to witness the fastest CAGR of 9.9% from 2025 to 2032, driven by global electrification efforts and demand for high-performance 12V auxiliary systems.

AGM Batteries for Cars Market Regional Analysis

• North America dominated the AGM batteries for cars market with the largest revenue share of 38.4% in 2024
• Driven by increasing adoption of start-stop systems in vehicles, growing automotive aftermarket demand, and the presence of leading battery manufacturers
• Consumers and automakers in the region prefer AGM batteries due to their superior performance, maintenance-free design, and compatibility with modern vehicle electronics

U.S. AGM Batteries for Cars Market Insight

The U.S. AGM batteries for cars market captured the largest revenue share of 89% in 2024 within North America, driven by rising production of luxury and high-performance vehicles, growing penetration of hybrid powertrains, and robust replacement demand. AGM batteries are being increasingly used in commercial fleets, electric vehicles, and off-road applications due to their enhanced durability, vibration resistance, and longer service life. Government regulations to improve fuel economy and reduce carbon emissions are further boosting adoption across the U.S.

Europe AGM Batteries for Cars Market Insight

The Europe AGM batteries for cars market is projected to expand at a substantial CAGR throughout the forecast period, fueled by stringent CO₂ emission norms, strong presence of premium automobile manufacturers, and rapid adoption of advanced driver assistance systems (ADAS) which require reliable power sources. AGM batteries are preferred in European vehicles equipped with start-stop and regenerative braking technologies, and demand is rising from both OEM and aftermarket sectors.

U.K. AGM Batteries for Cars Market Insight

The U.K. AGM batteries for cars market is anticipated to grow at a noteworthy CAGR during the forecast period, driven by increasing demand for low-emission vehicles, expanding hybrid car ownership, and consumer shift toward premium battery technologies. The growing awareness of AGM batteries’ reliability and efficiency in cold weather and urban driving conditions further supports market growth across the U.K.

Germany AGM Batteries for Cars Market Insight

The Germany AGM batteries for cars market is expected to expand at a considerable CAGR during the forecast period, due to the country’s leadership in automotive innovation and high demand for technologically advanced vehicles. German automakers’ focus on sustainability and fuel efficiency is driving the integration of AGM batteries in both internal combustion engine (ICE) and hybrid vehicles. Strong government support for clean energy mobility adds momentum to the market.

Asia-Pacific AGM Batteries for Cars Market Insight

The Asia-Pacific AGM batteries for cars market is poised to grow at the fastest CAGR of 9.1% during the forecast period of 2025 to 2032, owing to rapid urbanization, rising disposable incomes, and expanding vehicle ownership in emerging economies. Countries such as China, India, Japan, and South Korea are witnessing strong growth in automotive production and exports. OEM preference for AGM batteries in passenger cars, combined with favorable government initiatives for EV and hybrid adoption, is fueling regional demand.

Japan AGM Batteries for Cars Market Insight

The Japan AGM batteries for cars market is gaining momentum, driven by the country’s strong hybrid vehicle penetration, technological expertise, and preference for high-efficiency energy storage solutions. Japanese automakers are increasingly equipping vehicles with AGM batteries to support advanced infotainment systems, regenerative braking, and ADAS. The country’s focus on clean and smart mobility continues to drive market expansion.

China AGM Batteries for Cars Market Insight

The China AGM batteries for cars market accounted for the largest market revenue share in Asia-Pacific in 2024, due to its massive automotive industry, rising hybrid and EV sales, and strong domestic battery production capabilities. Government policies encouraging green transportation, coupled with consumer demand for durable and maintenance-free batteries, are accelerating the adoption of AGM solutions across passenger and electric vehicles in urban and semi-urban regions.

AGM Batteries for Cars Market Share

The AGM Batteries for Cars industry is primarily led by well-established companies, including:

• Fullriver Battery (U.S.)
• East Penn Manufacturing Company (U.S.)
• Robert Bosch LLC (U.S.)
• FIAMM Energy Technology S.p.A. (Italy)
• ACDelco (U.S.)
• Guangdong Aokly Group Co., Ltd. (China)
• XS Power Batteries (U.S.)
• VMAX USA (U.S.)
• Mighty Max Battery (U.S.)
• ENERSYS (U.S.)
• XINFU TECHNOLOGY (CHINA) CO., LIMITED (China)
• Clarios (U.S.)
• Braille Battery (U.S.)
• Power Sonic Corporation (U.S.)
• RENOGY (U.S.)
• Exide Technologies (U.S.)
• Leoch International Technology Limited Inc. (China)
• Jiangxi Jingjiu Power Science & Technology Co. Ltd. (China)
• Universal Power Group (U.S.)
• Zeus Battery Products (U.S.)
• Duracell Automotive (U.S.)

Latest Developments in Global AGM Batteries for Cars Market

• In November 2024, Exide Technologies expanded its AGM battery lineup by launching two new B24 AGM battery models tailored for start-stop and hybrid vehicles. These additions increased its European vehicle reach by nearly one million units, underlining Exide's strategic focus on high-demand automotive segments
• In January 2025, Exide Technologies introduced the AGM auxiliary battery model EK013, enhancing EV and start-stop system coverage across Europe by an additional five million vehicles. This launch underscores the company's commitment to supporting next-gen automotive requirements
• In March 2025, Ahlstrom unveiled a cutting‑edge Absorbent Glass Mat (AGM) battery separator platform at its facility in Turin, Italy. The separator innovations—featuring micro-glass and synthetic fibre blends—are engineered to boost battery charge acceptance, longevity, and overall efficiency
• In April 2022, EnerSys announced a strategic alliance with Orogenic ApS, a Danish battery supplier, to bolster its distribution and sales of motive power products across Denmark, Iceland, Greenland, and the Faroe Islands. This partnership aims to enhance EnerSys’s market share and expand its presence in the Nordic region, tapping into new growth opportunities

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