BAKU, Azerbaijan, July 16. Global demand for
battery energy storage systems rose by more than 70% in 2025,
reaching 330 GWh (110 GW), according to the International Energy
Agency (IEA).
In its "Global Critical Minerals Market Review 2026," the IEA
said battery energy storage accounted for more than 20% of the
global battery market. Around 80% of new capacity installed in 2025
consisted of utility-scale battery storage systems.
The agency said China, the United States and Europe remained the
leading markets for new battery storage capacity, while Australia
and Saudi Arabia also recorded significant growth.
According to the report, China’s newly installed battery storage
capacity increased by about one-third in 2025.
“Around 90% of new installations were utility-scale projects,
while the distributed storage segment continued to expand alongside
the growth of solar power generation,” the IEA said.
In the United States, newly installed battery storage capacity
increased by 75% from the previous year, with utility-scale systems
accounting for about 85% of demand.
In Europe, total newly installed battery storage capacity
declined by about 20% year on year. However, utility-scale systems
accounted for 75% of all new installations.
In Australia, new battery storage capacity nearly reached 8 GW,
almost nine times the level recorded a year earlier. Across the
Middle East, newly installed battery storage capacity reached 3 GW,
tripling from 2024, with Saudi Arabia accounting for the largest
share of the increase, the IEA said.
