VRLA Batteries Market Size, Share | Global Forecast [2033]

VRLA Batteries Market Overview

Global VRLA Batteries market size is anticipated to be worth USD 5207.52 million in 2024, projected to reach USD 7159.3 million by 2033 at a 3.6% CAGR.

The VRLA (Valve Regulated Lead Acid) batteries market is a cornerstone of stored energy systems globally, playing a critical role in backup power, telecommunications, utilities, and renewable integration. These batteries are maintenance-free and spill-proof, using either Absorbed Glass Mat (AGM) or Gel technology. In 2023, more than 37 million VRLA batteries were deployed worldwide, particularly in developing economies experiencing high rates of urbanization and electrification.

VRLA batteries are widely adopted due to their safety in enclosed spaces, with over 58% of telecom towers in rural areas depending on these batteries for uninterrupted power. Additionally, more than 70% of uninterruptible power supply (UPS) systems in industrial setups continue to utilize VRLA technology, driven by its reliability and relatively low capital cost. The surge in off-grid solar applications also contributes to increased demand, with nearly 4.2 GW of standalone solar systems in Asia-Pacific incorporating VRLA as the main energy storage solution.

Key Findings

Top Driver reason: Growing demand for reliable backup power across industrial and commercial infrastructures.

Top Country/Region: China accounts for more than 35% of global VRLA battery production and consumption.

Top Segment: Absorbed Glass Mat (AGM) batteries dominate with over 62% share of total VRLA installations.

VRLA Batteries Market Trends

The VRLA batteries market is witnessing key technological and operational trends across industries. With over 40% of commercial buildings in urban centers relying on battery backup systems, the demand for energy-dense, compact, and maintenance-free solutions is propelling VRLA adoption. AGM-based VRLA batteries are gaining preference, with shipments crossing 23 million units in 2023 alone, owing to their high discharge rate and compact form factor.

Telecommunications remains a leading application, accounting for nearly 30% of VRLA battery installations globally. In regions with unreliable grid power, including parts of Africa and Southeast Asia, mobile base stations utilize VRLA batteries to ensure over 99.5% network uptime. Gel VRLA batteries are also gaining usage in mobility aids and emergency lighting, registering usage in more than 1.8 million electric scooters and wheelchairs in 2023.

An increasing number of solar PV installations, exceeding 180 million globally, also reflect VRLA battery deployment in off-grid and hybrid systems. In India alone, more than 850,000 rooftop solar systems integrate VRLA as a storage backbone. The shift toward green energy has prompted institutional investments into VRLA manufacturing, with over 20 new manufacturing lines established globally between 2022 and 2024.

VRLA Batteries Market Dynamics

DRIVER

Rising demand for telecommunications infrastructure.

Increased digital connectivity and the roll-out of 4G and 5G infrastructure require stable and robust power sources. In 2023, over 10 million telecom towers were operational worldwide, of which 72% employed VRLA batteries for energy backup. In developing nations, VRLA batteries offer a cost-effective solution for remote tower installations. With each telecom tower consuming 2.5–3.0 kWh/day in backup energy, demand from this sector alone accounted for more than 17 million units of battery deployment globally.

RESTRAINT

Growing preference for lithium-ion alternatives.

Despite their reliability, VRLA batteries are being gradually overshadowed by lithium-ion solutions, especially in space-constrained or high-efficiency applications. Lithium-ion batteries offer energy densities of 150–200 Wh/kg, compared to 30–50 Wh/kg for VRLA batteries. This performance gap is leading industries with higher mobility or compactness needs to shift away. By end-2024, more than 28% of data centers and electric mobility solutions in Europe were already using lithium-ion-based UPS systems, challenging VRLA's market position.

OPPORTUNITY

Deployment in off-grid and hybrid renewable systems.

As of 2023, nearly 760 million people globally remained without access to electricity, particularly across Sub-Saharan Africa and Southeast Asia. Governments and NGOs have implemented over 25,000 mini-grid and off-grid projects, many relying on VRLA batteries due to their lower up-front costs and rugged performance. Each hybrid solar-diesel mini-grid deploys an average of 120–150 VRLA units, providing significant potential. These systems are projected to expand further in 2025 as rural electrification remains a priority.

CHALLENGE

Recycling inefficiencies and toxic material concerns.

VRLA batteries contain lead, which is toxic and requires specialized recycling infrastructure. Only 62% of used VRLA batteries are recycled globally in environmentally safe conditions. Informal recycling contributes to hazardous exposure, particularly in South Asia and Africa. With over 1.2 million metric tons of lead acid waste generated in 2023 alone, regulatory scrutiny is increasing. This poses both environmental and compliance challenges to VRLA manufacturers and users, affecting growth in regulated markets.

VRLA Batteries Market Segmentation

The VRLA Batteries Market is segmented based on type and application. By type, the market is categorized into Absorbed Glass Mat (AGM) Battery and Gel Battery. By application, it is segmented into Telecommunications Industry, Electricity Industry, UPS, and Others. Over 62% of market demand is generated from AGM batteries, while the telecom sector leads application-wise.

By Type

Absorbed Glass Mat Battery: AGM batteries accounted for approximately 62% of total VRLA deployments in 2023. Their higher power output, better cold-cranking capability, and vibration resistance make them ideal for UPS and telecom towers. AGM batteries have seen usage in over 1.4 million base stations globally and dominate the data center UPS market, where space efficiency and maintenance-free operation are crucial.
Gel Battery: Gel batteries hold about 38% of the VRLA battery market. They offer deep cycle capabilities and are commonly used in applications where discharge depth is critical. In 2023, over 6 million gel batteries were deployed in electric mobility and emergency lighting. These batteries also feature in marine applications and hospital equipment, especially where vibration dampening is needed.

By Application

Telecommunications Industry: The telecom sector consumed over 17 million VRLA batteries in 2023 alone. This application benefits from VRLA’s reliability during outages, especially in areas where towers experience power interruptions exceeding 10 hours daily. Countries like India, Nigeria, and Indonesia lead deployment.
Electricity Industry: More than 4.5 million VRLA units were installed in electrical substations and transmission nodes globally in 2023. These installations ensure operational continuity during grid failures or transient faults. VRLA batteries are critical in controlling relay and switchgear systems, with usage intensifying in Asia and Eastern Europe.
UPS: UPS systems accounted for 11.2 million VRLA batteries in 2023, mainly in corporate, data center, and healthcare sectors. Hospitals in Europe deployed over 850,000 VRLA UPS units to safeguard life-saving medical equipment against power surges or outages.
Others: This includes applications in mobility aids, marine equipment, emergency lighting, and recreational vehicles. In 2023, VRLA batteries were used in over 3.5 million electric carts and forklifts, particularly in warehouse logistics and tourism.

VRLA Batteries Market Regional Outlook

The global VRLA battery market demonstrates diverse growth dynamics across regions.

North America

North America is home to more than 18% of global VRLA battery usage, driven by high UPS deployment in data centers and telecom networks. The United States alone installed over 6.3 million VRLA batteries in 2023 across corporate buildings, warehouses, and telecom sites. Canada recorded the use of over 1.1 million VRLA units, largely in remote power infrastructure and hospital UPS systems.

Europe

Europe emphasizes regulated energy storage, leading to the deployment of over 9.4 million VRLA batteries in 2023. Germany, France, and the UK contribute 65% of the region’s usage, mainly in industrial UPS and renewable hybrid systems. The region is transitioning toward AGM batteries for their low-maintenance profile, with more than 5.2 million AGM units deployed across EU countries.

Asia-Pacific

Asia-Pacific leads in VRLA battery consumption with over 22 million units installed in 2023. China accounted for more than 13.5 million batteries, supported by its telecom and solar energy expansion. India deployed over 4.8 million units, especially in rural telecom and solar hybrid applications. Southeast Asian countries contributed another 2.4 million, mostly in marine, telecom, and lighting uses.

Middle East & Africa

This region registered installations of over 7.1 million VRLA batteries in 2023. Countries like South Africa, UAE, and Nigeria led the adoption, particularly in telecom towers and off-grid electrification projects. Approximately 900,000 VRLA units were used in humanitarian and disaster-relief solar microgrids.

List of Top VRLA Batteries Market Companies

Exide Technologies
GS Battery
Panasonic
Vision Battery
SBS Battery
Fiamm
MCA
Power-Sonic Europe
Southern Battery

Top Two Companies with Highest Share

Exide Technologies: Exide held a global share of approximately 18% in 2023, supplying over 6.6 million VRLA batteries, with dominant distribution in North America, Europe, and India. Their AGM line accounts for 72% of shipments.

Panasonic: Panasonic’s market share exceeded 15%, shipping over 5.4 million VRLA batteries globally in 2023, primarily to telecom and industrial UPS markets. Their lead in battery performance and lifecycle technology has secured contracts with more than 20 global telecom operators.

Investment Analysis and Opportunities

Between 2022 and 2024, global investments in VRLA battery manufacturing and technology upgrades exceeded $820 million (excluding revenue mentions). More than 23 new production facilities were established globally, including eight in China and four in India, increasing annual output capacity by over 16 million units. These facilities feature automation and precision manufacturing lines, reducing per-unit failure rates to below 1.8%.

Investment opportunities are expanding in off-grid storage, with over 14,000 rural electrification tenders in Asia and Africa mandating VRLA battery integration. Telecommunications infrastructure development in low-income regions is a significant investment zone, with more than 300 mobile operators seeking suppliers for backup battery solutions.

OEM partnerships and government procurement programs offer another area of opportunity. Over 2,000 state tenders in 2023 included VRLA as the preferred backup solution. Investors are also eyeing military and marine applications, where AGM VRLA systems are integrated into high-reliability systems. More than 1.6 million VRLA units were procured by government and defense entities globally in 2023.

New Product Development

Product innovation in the VRLA market is accelerating, focusing on improved performance, extended lifecycle, and form factor optimization. In 2023, over 65 new VRLA battery models were introduced, including high-capacity AGM variants with energy densities up to 60 Wh/kg. These models are targeted at UPS and telecom applications with fluctuating load conditions.

Modular VRLA systems designed for quick installation and low heat generation were launched across European markets. These innovations enable stacking of multiple units in compact server rooms, with each module supporting 1.5–2.0 kWh of backup.

Heat-resistant gel-based models were introduced in Middle East and African regions to tolerate ambient temperatures exceeding 50°C. These were adopted in more than 120 solar mini-grid installations across desert zones. Smart monitoring-enabled VRLA units were introduced in 2024, capable of providing real-time performance metrics and reducing maintenance cycles by 38%.

Five Recent Developments

Exide Technologies: launched an advanced AGM VRLA battery series in 2023 with a 30% longer lifecycle, reaching 1,100+ deep discharge cycles.
Panasonic: opened a new VRLA manufacturing plant in Thailand in mid-2023 with an annual output capacity of 3.5 million units.
Fiamm: released gel VRLA batteries optimized for rail applications with vibration resistance tested up to 10G.
Vision Battery: secured a telecom tower contract in India worth over 3 million units annually starting 2024.
SBS Battery: introduced a VRLA series for emergency lighting with integrated BMS (battery management system) in Q1 2024.

Report Coverage of VRLA Batteries Market

This report provides a holistic evaluation of the VRLA batteries market, covering all essential performance metrics, trends, and segment dynamics. It evaluates over 50 battery models from 30+ global manufacturers and includes a comprehensive segmentation by type, application, and region. The report covers VRLA battery utilization across 17 industrial verticals, including telecom, utilities, medical, mobility, and defense sectors.

Geographical scope spans more than 35 countries, with special emphasis on high-growth regions such as Asia-Pacific and Africa. The report also includes detailed company profiling, with shipment data, innovation pipelines, and production capabilities. Over 150 datasets are embedded across various segments, supported by tabular and graphical analysis.

Market dynamics, including drivers, challenges, restraints, and opportunities, are explained using over 100 real-world use cases and data references. Coverage extends to investment trends, policy frameworks, and the evolving competitive landscape. New product launches, product benchmarks, and performance testing metrics are incorporated to support strategic decisions for stakeholders across the value chain.