China's e-bike replacement cycle is providing a significant demand boost for lead-acid batteries, helping offset headwinds from the gradual shift toward electric vehicles. A combination of shifting LME/SHFE price differentials and strong e-bike replacement demand is supporting the lead market at a time when EV adoption is eroding growth in traditional internal combustion engine starter-battery consumption.
Beyond e-bikes, data center and 5G telecom backup power are emerging as new growth vectors. Mordor Intelligence forecasts increasing demand from these applications, which require reliable and cost-effective lead-acid battery solutions for uninterruptible power supplies. 'Lead-acid batteries are set to see increasing demand from data centers and 5G applications,' according to market intelligence reports cited by INN.
The diversification of lead demand is a positive structural shift. While automotive starter batteries remain the largest end-use (approximately 80% of total lead consumption), the growing stationary storage segment provides demand resilience. The North American lead-acid battery market is expected to grow at 7.73% CAGR during 2026-2031, driven by data center construction and grid modernization.