Due to the acceleration of the global energy transition, energy storage has become a new focus for the energy sector. In the medium to long term, the growth of global energy storage installations may be guaranteed because of renewable energy targets around the world. TrendForce expects that the global installed capacity of energy storage will reach 86GW/221GWh in 2025, a year-on-year growth of 27%/36%, with an average energy storage duration of about 2.6 hours.
1/Outlook for Global Energy Storage Market Installed Capacity in 2025
Looking back to 2024, a number of driving factors such as high growth of wind and solar installed capacity, accelerated power reform process, price drop of energy storage system and clear top-level policy affected the development of energy storage. The bidding/planning volume of energy storage projects continues to grow, and the length of distribution storage is steadily improving. The global energy storage market has ushered in a period of high-speed development.
Figure: Global Energy Storage Installed Capacity in 2025
According to TrendForce, in terms of total volume, from 2020 to 2023, the global installed capacity of new energy storage rapidly increased from 11.3GWh to 110GWh, with a CAGR as high as 113%, presenting a rapid upward trend.
TrendForce expects that from 2024 to 2025, although the installations for energy storage still maintain a relatively high growth trend, but the CAGR will slow down significantly to 27%. The global installed capacity of energy storage will reach about 86GW/221GWh in 2025, a year-on-year growth of 27%/36%.
2/Global Installed Capacity for Energy Storage Market Segments
Under the background of energy transition, global energy storage installation is growing vigorously, and many overseas countries and regions have released energy storage plans. In terms of market distribution, TrendForce expects the key regional market pattern to remain unchanged. China, Europe, and the U.S. still are the major markets, and the new installed capacity of energy storage in China, the U.S., and Europe account for 85% of the world's total, continuing to lead the growth of global energy storage demand.
In China, it is expected that in 2024/2025, the new energy storage installed capacity will be 81/110GWh, because of the acceleration of large scale energy storage, and the strongly growth of industrial and commercial storage.
The United States, is expected to install 37/44GWh energy storage systems in 2024/2025, and the installed capacity is still dominated by large storage.
It is expected that Europe will have 26/37GWh new energy storage installed capacity in 2024/2025. The withdrawal of subsidies in some areas has led to a reduction in installations for household storage, but large scale storage is expected to take off.
Figure: Distribution of Global Energy Storage Installed Capacity
Reading More: TrendForce: Global Installations Outlook for Energy Storage Market in 2025 (Part Two)