Dynamic adjustment of battery current limits based on usage

A method for dynamically adjusting a battery current limit in a system having a battery pack includes determining a battery pack current as a charge current flowing into or a discharge current flowing from the battery pack, and also calculating a time-windowed average current for each of the charge current, the discharge current, and an RMS current of the battery pack. The battery current limit may be dynamically adjusted when any or all of the calculated time-windowed averages exceeds a corresponding calibrated control threshold. The battery current limit is a window-specific current limit that is greater than the calibrated control threshold and less than a static/fixed current limit for the battery pack. A system includes the battery pack, a sensor operable for measuring a current inflow/outflow to/from the battery pack, and a controller programmed to dynamically adjust the battery current limit using the above method.