- Chinese companies now account for 76% of the global battery energy storage system market, with eight of the world’s top 10 integrators based in China.
- Tesla and Sungrow retained the top two positions globally, while BYD climbed to third place.
- Policy changes in the United States and Europe are expected to reshape future competition by encouraging local manufacturing and reducing reliance on Chinese supply chains.
Chinese system integrators strengthened their dominance of the global battery energy storage system (BESS) market in 2025, capturing 76% of worldwide market share, according to Wood Mackenzie’s Global Energy Storage System Integrator Market Share 2026 report.
The report shows that eight of the world’s 10 largest BESS integrators are now headquartered in China, underlining the country’s growing influence across the global energy storage industry.
“China has expanded its global BESS footprint at remarkable speed. Now, eight of the top 10 global integrators are headquartered in China. Tesla and Sungrow retained the top two positions for the third consecutive year, while BYD climbed five places to third,” said Jiayue Zheng, Senior Research Analyst at Wood Mackenzie.
Although the combined market share of the top three companies declined from 36% in 2024 to 30% in 2025, Zheng said this reflects rapid market expansion and the emergence of more mid-tier suppliers rather than weaker performance from the market leaders.
Tesla maintained its leading position in North America, supported by its Megapack battery platform, Autobidder software and domestic manufacturing capacity in the United States. NextEra Energy entered the region’s top three for the first time, benefiting from its vertically integrated business model and reduced exposure to trade tariffs.
The report notes that the United States’ One Big Beautiful Bill Act introduces Foreign Entity of Concern compliance requirements for projects seeking the Section 48E Investment Tax Credit. From 2026, projects must source at least 55% of their costs from non-Foreign Entity of Concern suppliers, increasing to 75% by 2030. The changes are expected to significantly limit the role of Chinese manufacturers in the United States market.
In Europe, Sungrow retained the leading position while BYD moved from fifth to second place and Huawei entered the top three. Chinese companies now occupy all three leading positions in the region.
Growth is also broadening beyond traditional markets such as the United Kingdom, Germany and Italy, with Bulgaria, Romania, Belgium, Spain, the Netherlands and Greece emerging as important new markets for energy storage deployment.
Wood Mackenzie said European policy measures including the Net Zero Industry Act, the Industrial Accelerator Act and the EU Batteries Regulation are placing greater emphasis on local manufacturing while increasing compliance requirements for imported products.
In the Asia Pacific region, CRRC retained the top ranking for a third consecutive year, followed by HyperStrong and Envision. China accounted for about 85% of the regional BESS market.
The report identifies Southeast Asia as an important growth market, with the Philippines, Vietnam, Indonesia, Thailand and Malaysia strengthening regulatory frameworks and procurement programmes for energy storage projects. Australia continues to offer opportunities for non-Chinese integrators because of its rigorous technical standards and financing requirements.
The Middle East also recorded significant growth in utility scale battery storage procurement. The United Arab Emirates announced a 5.2 GW solar project paired with 19 GWh of battery storage, while Saudi Arabia launched two BESS procurement rounds totalling 5 GW and 20 GWh. BYD and Sungrow together accounted for 87% of the regional market.
In Latin America, Chile remains the region’s most mature energy storage market. BYD has secured contracts with Grenergy covering a total of 6.5 GWh across all phases of the Oasis de Atacama project.
According to Wood Mackenzie, competition among global BESS integrators is increasingly being shaped by factors beyond manufacturing scale. Regulatory compliance, grid forming capabilities, software-based revenue optimisation and access to project financing are becoming critical competitive advantages.
“Integrators that can meet these demands across diverse regulatory environments will build the most durable market positions through the remainder of the decade,” Zheng said.
Author: Bryan Groenendaal
