The domestic production of electrolytic manganese dioxide is driven by favorable legislative norms and technological innovations. Increasing dependence on domestic production is expected to reduce reliance on imported minerals. Increasing adoption of electric vehicles (EV) characterized by growing acceptance of electric and hybrid vehicles, coupled with government incentives promoting EV technology is projected to have a positive impact on the growth of global electrolytic manganese dioxide market, during the forecast period.

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Based on application, battery was the largest segment in the global electrolytic manganese dioxide market, in terms of volume, in 2015, on account of rapidly growing demand for batteries in the electric vehicles industry in North America. Additionally, the rising demand for batteries in emerging countries such as China and India is expected to further spur the growth of global electrolytic manganese dioxide market, over the forecast period. Alkaline batteries have the highest market penetration globally, on account of their long-lasting performance; increasing consumption in U.S., U.K. and Switzerland; and growing applications in electronic products such as remote controls, clocks and radios.

Asia-Pacific market for electrolytic manganese dioxide is expected to witness the fastest growth, during the forecast period, owing to increasing demand in battery application, high potential in the rechargeable segment and growing primary battery demand in electronic products. China and India are the largest contributors to the Asia-Pacific electrolytic manganese dioxide market, in terms of revenue, due to increasing primary and secondary battery manufacturing industries in China, growing consumption in the battery segment and favorable government initiatives, including the Make in India initiative and easing FDI flow in various industrial sectors that has opened lucrative opportunities for future investments.

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Alkaline batteries offer more energy, lesser chances of electrolyte leakages and high run-time, making it suitable for digital cameras, hand held games and MP3 players. Lithium-ion batteries is expected to grow at the fastest rate, on account of increasing demand from EV and electric components industry, and high energy density and light weight applications such as notebook computers and cellular phones.

The global market for electrolytic manganese dioxide is highly fragmented in nature, with companies like Xiangtan Electrochemical Scientific Ltd., ERACHEM Comilog, Tosoh Corporation, Delta EMD Ltd. and Cegasa, Tronox Ltd. operating in the same.