Chinese Companies Dominate Global ESS Market... Korean Battery Share at 4%
by Kang Heejong
Published 28 Jan.2026 10:16(KST)
Updated 28 Jan.2026 15:57(KST)
Last Year, Global ESS Battery Market Grew 79%
China Accounted for 64% of the Market, North America 16%
Top 7 Spots Dominated by Chinese Companies, 83.3% Market Share
Korean Companies Converting North American Plants for ESS Production
It has been found that Chinese battery companies are also leading the global energy storage system (ESS) market. Last year, Chinese companies occupied all of the top seven spots in terms of market share, while Korean companies accounted for only 4%. However, Korean battery manufacturers are now targeting the ESS market, particularly in North America, which is expected to bring changes to the market landscape in the future.
On January 28, SNE Research, a market research firm specializing in electric vehicles and lithium-ion secondary batteries, announced that global shipments of lithium-ion batteries for ESS in 2025 reached 550 gigawatt-hours (GWh).
Shipments of lithium-ion batteries for ESS recorded a high growth rate of 79% compared to the previous year (307 GWh). By region, China accounted for the largest share, with 352 GWh, representing 64% of the total. The Chinese market grew by 117% year-on-year.
The North American market accounted for 16% of the total, with 88 GWh, but only achieved a growth rate of 12% compared to the previous year. SNE Research explained, "This is because the U.S. government's high tariff policy against China has caused problems in the supply of low-cost Chinese lithium iron phosphate (LFP) batteries to the United States."
Looking at the market share of lithium-ion batteries for ESS by manufacturer, Chinese companies occupied all of the top seven positions. The combined market share of the top seven reached 83.3%. CATL ranked first, shipping 167 GWh in 2025 and achieving a market share of 30%.
The combined market share of Korean lithium-ion battery companies stood at about 4%, down from 7% in the same period the previous year. Samsung SDI and LG Energy Solution each recorded a 2% market share, ranking 7th and 8th, respectively.
The high market share of Chinese companies is due to the fact that LFP batteries, which China has focused on, are well-suited for ESS applications.
ESS units installed outdoors do not require as high an energy density as batteries for electric vehicles. Instead, safety and low cost are considered more important criteria. This is why there is a higher preference for LFP batteries compared to ternary batteries such as nickel-cobalt-manganese (NCM) and nickel-cobalt-aluminum (NCA), which Korean companies have mainly produced.
Recently, as the growth of the electric vehicle market slows, Korean battery companies are also converting their North American electric vehicle battery production lines to LFP batteries in order to target the North American ESS market.
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