Contemporary Amperex Technology Co. Ltd. (CATL) anticipates that at least 10,000 electric vehicles (EVs) will be equipped with its sodium-ion batteries by the end of the current year. This projection highlights the accelerated adoption of this alternative battery chemistry, which uses sodium instead of the more common and often volatile lithium.
CATL, the world's largest battery maker, has been making substantial investments in sodium-ion technology. The company recently launched a new sodium battery storage system, with initial deliveries in China slated for September. Total shipments for this TENER system are expected to reach one gigawatt-hour by year-end, with global deliveries commencing in June 2027. Furthermore, CATL announced an investment of 650 million euros (approximately $742 million) to expand annual sodium-cell capacity by 40 GWh at a plant in Fuding, Fujian province, adding to a previously committed 160 GWh annual production facility in Shandong province.
The strategic shift toward sodium-ion batteries is partly driven by increasing price volatility and supply chain disruptions for lithium, with some countries imposing export bans. Sodium is abundant in rocks and seawater, offering a more stable and accessible raw material. While sodium-ion batteries currently have lower energy density and shorter lifespans compared to lithium-ion cells, their resilience to cold temperatures and reduced fire risk make them an attractive alternative, especially for cost-sensitive segments and energy storage solutions.
In April 2026, CATL also secured a three-year deal to supply 60 GWh of sodium-ion batteries to Beijing HyperStrong Technology Co., a domestic power equipment manufacturer. The company began commercial production of sodium-ion batteries for vehicles in January, initially targeting light commercial vehicles, with plans for passenger EV packs offering 500 km range by the second quarter.
