The market research firm's outlook values the sector at $15.4 billion in 2025 and $17.2 billion in 2026, implying an 11.8% CAGR as battery reuse gains traction in storage and charging applications.
Custom Market Insights said the global second-life battery market was valued at about USD 15.4 billion in 2025, is expected to reach USD 17.2 billion in 2026, and is projected to rise to around USD 46.9 billion by 2035, representing a compound annual growth rate of about 11.8% over 2026 to 2035. The report describes second-life batteries as used energy storage systems, mainly from electric vehicles, that no longer meet transport performance requirements but still retain 50% to 80% of their original capacity and can be repurposed for less demanding applications such as EV charging, commercial and industrial energy storage, residential storage, off-grid systems, and grid-related uses. It frames sustainability goals, circular economy policies, decarbonization commitments, and the need for lower-cost storage for intermittent renewable power and decentralized energy systems as key growth drivers. North America held the largest market share in 2025, supported by clean-energy incentives, funding through the Inflation Reduction Act, pilot projects, and demand linked to grid resilience and extreme weather risks, while Asia Pacific is expected to record the fastest CAGR because of strong EV production and growing adoption of green technology. The report also notes that Moment Energy announced the close of a US$15 million Series A funding round in January 2024, co-led by the Amazon Climate Pledge Fund and Voyager Ventures.