The world’s largest battery maker, Chinese CATL, expects sodium-ion batteries to enter large-scale deployment from 2026. The technology will not replace lithium, but it could play a decisive role in making electric mobility more affordable, safer, and less reliant on scarce raw materials, particularly in Europe.

When CATL outlines a new technological direction, it usually signals more than a distant research ambition. The company has confirmed that it will roll out sodium-ion batteries at scale from 2026, including for ‘affordable’ electric vehicles.

Lithium-ion batteries remain the backbone of the EV transition, but their dominance has exposed structural vulnerabilities. Lithium prices are volatile, supply chains are geographically concentrated, and demand is rising sharply as electrification accelerates worldwide.

CATL’s message is not that lithium is nearing its end, but that relying on a single battery chemistry creates economic and geopolitical risks. Sodium-ion batteries offer an alternative rooted in material abundance.

As abundant as salt

Sodium is widely available, inexpensive, and found worldwide, including in Europe. Its availability is closely linked to its most familiar form: salt. Ordinary table salt is sodium chloride (NaCl), a compound made of sodium and chlorine that exists in vast quantities in seawater and mineral deposits.

While batteries do not use salt directly, the sodium extracted from these sources is the same as that used in sodium-ion cells. Unlike lithium, which is unevenly distributed and concentrated in a small number of mining regions, sodium can be sourced almost anywhere.

This makes it far less vulnerable to supply bottlenecks, geopolitical tensions, or speculative price swings, a key reason manufacturers see sodium-ion not as a replacement for lithium, but as a strategic complement that could stabilise battery supply chains as electrification scales up.

Lower energy density

Performance remains the main limitation. Sodium-ion batteries still have a lower energy density than lithium-based cells, making them less suitable for long-range vehicles.

However, CATL says its latest sodium-ion cells are approaching the performance of lithium iron phosphate (LFP) batteries, which already dominate the lower-cost EV segment. In return, sodium-ion offers advantages in safety, durability, and cold-weather performance — attributes that align well with everyday European driving conditions.

More thermally stable

Safety and usability are central to the technology’s appeal. Sodium-ion chemistry is inherently more thermally stable, reducing the risk of thermal runaway in case of damage or overheating.

The cells are not prone to lithium plating during fast charging or in cold conditions and retain more usable capacity at low temperatures than LFP batteries. While their energy density remains slightly lower, they are already well suited to urban cars, delivery vans, and entry-level models, where cost and robustness matter more than maximum range.

Crucially, sodium-ion is not being scaled for passenger cars alone. Analysts note that the industry is moving from early commercialisation to broader deployment, with current use concentrated in stationary energy storage, low-range mobility, and auxiliary vehicle systems.

These applications prioritise cost, safety, durability, and temperature tolerance over energy density, areas where sodium-ion already performs well.

First commercial sodium-ion battery brand

In April 2025, CATL underscored this strategy by launching Naxtra, its first commercial sodium-ion battery brand, and confirming that large-scale production had begun. The product range includes passenger-vehicle power batteries and a 24-volt integrated solution for heavy trucks, designed to operate reliably between –40 °C and +70 °C.

Cost dynamics add to the momentum. Battery packs still account for roughly a third of an electric car’s production cost. While sodium-ion batteries are not yet cheaper than LFP at today’s volumes, their long-term cost ceiling is lower because sodium is abundant and less exposed to supply constraints.

Industry reports suggest that by 2025, average sodium-ion cell prices will already be significantly below lithium-ion equivalents, and forecasts point to strong market growth through 2030, driven first by energy storage and commercial applications.

What about Europe?

Europe, however, is likely to adopt the technology cautiously. While battery developers and carmakers are investing in research and pilot projects, no European-market production car with a sodium-ion battery has yet been announced.

Most observers expect the first applications to appear between 2027 and 2030, initially in city cars, fleet vehicles, and cost-sensitive segments. This reflects the long validation cycles required in the European automotive industry, as well as the billions already invested in lithium-ion gigafactories.

Strategically, sodium-ion could nevertheless prove highly significant. Europe risks replacing dependence on fossil fuels with dependence on imported lithium. By diversifying battery chemistries, sodium-ion offers a way to ease pressure on lithium reserves while strengthening industrial resilience. It is not a breakthrough solution, but it may become a stabilising force as electric mobility scales up.