Sodium-Ion Battery Market By Type (Sodium Sulfur Battery, Sodium Salt Battery); By Technology (Aqueous, Non-aqueous); By End User (Energy Storage, Automotive, Consumer Electronics, Industrial, Others); By Geography, Segment Revenue Estimation, Forecast, 2024–2032.

The Global Sodium-ion Battery Market is projected to grow from $483.5 million in 2024 to $1.3 billion by 2030, registering a CAGR of 17.2% during the forecast period. The market growth is driven by the abundance and low cost of sodium, safety advantages, government support, and rising demand for grid-scale energy storage.

 

Sodium-ion Battery Market Dynamics:

Market Drivers

• Lower Production Costs

The production of sodium-ion batteries is expanding rapidly and is expected to reach 140 gigawatt-hours by 2030, a nearly thirteenfold increase from its current level. Sodium-ion batteries are advancing more rapidly than other long-duration energy storage (LDES) technologies and are on track to become as affordable as the most cost-effective dispatchable power sources. Sodium-ion batteries have shown remarkable progress, with an improvement rate of approximately 57% in 2024. The average cost of sodium-ion cells is $87 per kilowatt-hour (kWh), making them slightly more affordable than lithium-ion cells, which are priced at $89/kWh. With comparable capital expenditures, sodium-ion batteries are projected to drop to around $10/kWh by 2028, surpassing lithium-ion cells in affordability. The primary factor driving the market for sodium-ion batteries is their potential to rival lithium-ion batteries in cost competitiveness.

 

Market Restraints

• Lower Energy Density & Shorter Life Cycle

Sodium-ion batteries are gaining significant traction in energy storage & electric mobility. However, various limitations still need to be addressed before they can be widely adopted. One significant drawback of sodium batteries is their energy density. Sodium batteries have a comparatively low energy density, ranging from 140 Wh/kg - 160 Wh/kg, whereas lithium-ion batteries offer a higher range of 180 Wh/kg - 250 Wh/kg. Another major challenge limiting the widespread adoption of sodium batteries is their short life cycles. Their rapid degradation stems from the larger mass of sodium ions, which is three times that of lithium ions.

 

Market Opportunities

• Growing Demand for Energy Storage & Environmental Sustainability

Advancing next-generation batteries plays a crucial role in shaping the future of energy storage, which is essential for decarbonization & the transition to sustainable energy. With the increasing demand for energy storage solutions, particularly for renewable energy and electric vehicles, adopting sodium-ion battery technology could offer a more sustainable alternative. An international team of interdisciplinary researchers, including the Canepa Research Laboratory at the University of Houston, developed a novel material for sodium-ion batteries. This innovation enhances efficiency & energy performance, contributing to a more sustainable and cost-effective energy future. The material, sodium vanadium phosphate (NaxV2(PO4)3), significantly improves sodium-ion battery capabilities by increasing energy density—stored energy per kilogram—by over 15%. Research institutions, governments & industry stakeholders are working together on collaborative initiatives to explore novel materials and battery designs aimed at enhancing the performance of sodium-ion technology.

 

Sodium-ion Battery Market: Recent Developments

• On April 21, 2025, China's CATL announced the launch of its new sodium-ion battery brand, Naxtra, which is set to enter mass production by December. The company also introduced the second generation of its fast-charging battery designed for electric vehicles.

 

• On March 28, 2025, Chinese power battery manufacturer Hina Battery unveiled a new sodium-ion battery solution aimed at the commercial vehicle sector. At an event in Fuyang, Anhui province, the company introduced "Hina Battery · Haixing," along with four new products. The K150 and K210 are primarily designed for short-distance transportation applications, while the K280 and K350 are mainly intended for the logistics transportation sector. The battery cells in this solution boast an energy density exceeding 165 Wh/kg and can achieve a full charge within 20 to 25 minutes.

 

• At EES Europe 2025, Aeson Power introduced its new sodium battery energy storage lineup. The product range includes the SIBPOM-4850 for telecommunications, the SIBPOM-12100 for UPS applications, and the SIBPOM-125kWh energy storage cabinet designed for commercial and industrial-scale use.

 

• In late 2024, the U.S. Department of Energy (DOE) allocated $50 million over five years to create the Low-cost Earth-abundant Na-ion Storage (LENS) Consortium. Supported by the DOE Vehicle Technologies Office, LENS focuses on the discovery, development, and demonstration of a new generation of sodium-ion batteries (NIBs). These NIBs aim to equal or exceed the specific energy and energy density of existing graphite/lithium iron phosphate (LFP) batteries while offering long lifespan and cost efficiency.

 

Sodium-ion Battery Market Segmentation: A Comprehensive Overview

By Type

• Sodium Sulfur Battery

• Sodium Salt Battery

 

By Technology

• Aqueous

• Non-aqueous

 

By End User

• Energy Storage

• Automotive

• Consumer Electronics

• Industrial

• Others

 

By Region

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East & Africa

 

Segmentation Analysis – Sodium-ion Battery Market

By Type:

Sodium Sulfur Batteries currently lead the market due to their mature deployment in large-scale energy storage applications, particularly in grid systems. Sodium-sulfur batteries are well-suited for supporting the electric grid and stand-alone renewable energy systems. Several major projects utilizing sodium-sulfur batteries are located in Asia. One such project was built in Mongolia in 2021, featuring batteries manufactured by the Japanese company NGK Insulators (NGK). NGK is set to provide a 600kW/3,600kWh NAS battery energy storage system for Mongolia's western Zavkhan Province.

 

Sodium Salt Batteries are the fastest-growing segment, driven by advancements in technology, improved safety & increasing interest as a cost-effective alternative to lithium-ion batteries.

 

By Technology:

Non-aqueous sodium-ion batteries dominate due to their higher energy density and suitability for a broader range of applications. Research groups and defense contractors are testing non-aqueous SIBs for drones and communication satellites that require lightweight and energy-dense power sources capable of operating in low temperatures and vacuum. CATL unveiled a sodium-ion battery for EVs in 2021 using a non-aqueous electrolyte system. The battery achieved 160 Wh/kg, sufficient for urban electric cars and scooters, with better low-temperature performance than many lithium-ion batteries.

 

Aqueous technologies are gaining momentum as the fastest-growing segment because of their safety, lower cost, and potential for stationary energy storage solutions.

 

By End User:

The Energy Storage sector is the leading segment, benefiting from the global push for renewable energy integration & the need for stable grid solutions. Japan leads the advancement of sodium-ion battery (SiB) R&D, driven by government-backed initiatives & substantial corporate investment. The New Energy & Industrial Technology Development Organization has played a crucial role in supporting large-scale NaS battery projects, successfully integrating them into the national grid. Recent collaborative trials with Korea Electric Power Corporation have demonstrated the viability of SiBs for long-duration energy storage.

 

The Automotive segment is the fastest-growing, spurred by the rapid expansion of electric vehicles & the search for more sustainable, cost-effective battery chemistries. CATL is revolutionizing the EV industry with the launch of sodium-ion batteries, presenting a groundbreaking shift in battery technology. Its strategic collaborations with leading automotive brands such as Tesla, Mercedes-Benz, Volkswagen & BMW highlight its significant impact on the EV industry. With its batteries already energizing over 18 Mn vehicles worldwide, the company is well-equipped to launch its sodium-ion technology on a global scale.

 

By Region:

APAC leads the market in terms of revenue and deployment, owing to strong government support, active R&D, and large-scale manufacturing. China has established itself as a dominant force in this industry, with patent filings related to the technology surging 109-fold over the past decade, surpassing those of Japan and the US. It has become the first nation to achieve mass production of EVs powered by these innovative cells, with two models currently available on the market. Japan has taken significant strides in SiB deployment through its collaboration with KEPCO on extensive trials. The success of these pilot projects further solidifies Japan's leadership in advancing SiB technology.

 

Europe emerges as the fastest-growing regional market, propelled by aggressive decarbonization targets, electric mobility initiatives, and investments in alternative battery technologies. Germany has embraced sodium-ion technology through the ENTISE initiative. Spearheaded by German battery supplier Varta, this project is focused on developing industrial-scale Sodium-ion Battery technology. With a substantial €7.5 million in funding, ENTISE is set to continue its efforts until mid-2027, highlighting Germany’s dedication to cutting-edge energy storage solutions.

 

Key Players in the Sodium-ion Battery Market

• Faradion

• CATL

• HiNa Battery Technology

• Natron Energy

• TIAMAT

• Altris

• Northvolt

• AMTE Power

• NGK Insulators

• SVOLT Energy Technology

 

Sodium-Ion Battery Market Report Coverage

Report Attribute	Details
Forecast Period	2024 – 2032
Market Size Value in 2024	USD 483.5 Million
Revenue Forecast by 2030	USD 1.3 Billion
Overall Growth Rate	CAGR of 17.2% (2024 – 2030)
Base Year for Estimation	2023
Historical Data	2017 – 2021
Unit	USD Million, CAGR (2024 – 2030)
Segmentation	By Type, By Technology, By End User, By Geography
By Type	Sodium Sulfur Battery, Sodium Salt Battery
By Technology	Aqueous, Non-aqueous
By End User	Energy Storage, Automotive, Consumer Electronics, Industrial, Others
By Region	North America, Europe, Asia-Pacific, Latin America, Middle East & Africa
Country Scope	U.S., Canada, Germany, China, Japan, India, South Korea, UK, Brazil, etc.
Market Drivers	Rising need for cost-effective alternatives to lithium-ion, increased investments in grid storage
Customization Option	Available upon request