The sodium-ion battery market is estimated to be valued at US$ 354.78 Bn in 2023 and is expected to exhibit a CAGR of 15.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Sodium-ion batteries utilize sodium ions as charge carriers instead of lithium ions. Sodium is widely available and low-cost compared to lithium. Sodium-ion batteries offer sustainable energy storage solutions for consumer electronics, electric vehicles, and grid-scale applications. They provide high energy density and can be safely charged and discharged hundreds of times.
The sodium-ion battery market is witnessing high growth owing to the rising demand for sustainable energy storage solutions across various industries. Sodium is considered to be a viable alternative to lithium owing to abundant availability and low cost of the metal. Moreover, sodium-ion batteries offer comparable energy storage performance to lithium-ion batteries with high power density. According to International Energy Agency, renewable energy sources are estimated to account for over 50% of global energy supply by 2050. This growing adoption of renewable energy sources is boosting the demand for sustainable energy storage solutions, thereby driving the sodium-ion battery market growth over the forecast period.
Strength: Sodium-ion batteries have a high energy density and fast charge capability. They use low-cost sodium as the electrode material instead of lithium. Sodium is widely available across the globe. Sodium-ion batteries are safer than lithium-ion batteries as they do not use toxic and flammable electrolytes.
Weakness: Sodium-ion battery technology is still at a nascent stage of development. Production costs of sodium-ion batteries are currently higher compared to lithium-ion batteries. Performance metrics such as cycle life, charging rate, and battery life require further improvements through ongoing R&D.
Opportunity: Growing adoption of electric vehicles worldwide presents a massive market opportunity for sodium-ion batteries. Declining battery costs will further drive the adoption of sodium-ion batteries for consumer electronics, energy storage applications in the coming years. Initiatives to developlarge-scale sodium-ion battery manufacturing facilities are underway.
Threats: Established lithium-ion battery technology still dominates the rechargeable battery market. Aggressive cost reduction strategies by lithium-ion battery manufacturers pose a threat. Raw material supply risk and geopolitical factors may impact sodium availability and prices in the long run.
Global Sodium-Ion Battery Market Size is expected to witness high growth, exhibiting CAGR of 15% over the forecast period, due to increasing adoption of electric vehicles and focus on developing cost-effective energy storage solutions. The market size is projected to reach US$ 5144.49 Bn by 2030 from US$ 354.78 Bn in 2023.
Regional analysis: Asia Pacific dominates the global sodium-ion battery market and is expected to maintain its leading position over the forecast period. China, South Korea, and Japan are major countries driving the regional market growth attributed to large automotive manufacturing bases and presence of key battery players in the region.
Key players operating in the sodium-ion battery market are Natron Energy Inc., Faradion Limited, Altris AB, AMTE Power PLC, Contemporary Amperex Technology Co. Limited, NGK Insulators Ltd., and TIAMAT SAS. Key players are investing heavily in developing low-cost and high-performance sodium-ion battery technology to gain a competitive edge in the rapidly growing market.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it