CATL'S Sodium-Ion Batteries Cost Advantage Over Lithium

China’s Contemporary Amperex Technology Co. Limited (CATL), the world’s largest battery manufacturer, is preparing to ramp up mass production of its sodium-ion (Na-ion) batteries in 2026. The shift comes as rising lithium prices once again make sodium-based cells cheaper to produce than conventional lithium iron phosphate (LFP) batteries.

Why Sodium-Ion Is Competitive Again

After a steep fall from its 2022 peak, the price of battery-grade lithium carbonate had made further investment in sodium-ion battery production harder to justify. CATL and other manufacturers deprioritized Na-ion projects even though the technology had begun approaching the performance of LFP cells.

That situation is changing. Lithium prices have started to recover, helped in part by production constraints as some mining operations in China saw their licenses frozen. With lithium costs rising again, sodium-ion cells are regaining their core advantage: lower production costs based on far more abundant raw materials.

Naxtra: CATL’s High-Density Sodium-Ion Platform

CATL’s latest sodium battery platform, branded Naxtra, is designed for large-scale deployment across several sectors:

• Electric vehicles (EVs)

• Stationary energy storage systems

• Commercial vehicles

• Battery swap stations

The Naxtra line targets applications that need robust performance in challenging environments without the cost and supply volatility associated with lithium.

Energy Density Close to LFP

One of the most important milestones for Naxtra is its energy density. CATL states that its mass-produced Na-ion packs can reach around 175 Wh/kg, placing them close to today’s mainstream LFP batteries used in many EVs and stationary storage solutions. This narrows the gap between sodium and lithium technologies while preserving sodium’s cost and safety advantages.

Wide Operating Temperature Range

Naxtra batteries are engineered for stable performance across a broad temperature window, from approximately -40°C to 70°C. This wide operating range is a key selling point for EVs and grid storage in regions with harsh winters or hot summers, where battery degradation and performance loss can be a concern.

Certified to Meet China’s New Safety Standards

Citing recent test results, CATL reports that Naxtra is the first commercial-grade sodium-ion battery to fully comply with China’s latest, more demanding safety and performance standard. This certification helps pave the way for wider adoption in vehicles and energy infrastructure within the country and potentially in export markets.

From Concept to Mass Deployment in 2026

CATL plans to begin delivering Naxtra sodium-ion battery packs to multiple customers in 2026. While the company has not yet disclosed which automakers or energy companies will be among the first adopters, the technology is expected to appear in:

• Electric cars targeting cost-sensitive segments

• Commercial fleets where total cost of ownership is critical

• Grid-scale and behind-the-meter energy storage

• Battery swap stations designed for rapid turnaround

Over 300 Miles of Range, Even in the Cold

According to CATL, EVs equipped with Naxtra sodium-ion packs could achieve more than 300 miles of driving range on a single charge, even in extreme cold conditions. Real-world validation of this claim is expected once the first customer vehicles and systems roll out in 2026.

Sodium-Ion Beyond EVs: Early Consumer Examples

Sodium-ion technology is already starting to appear in smaller-scale products. For example, sodium-based starter batteries for cars are available on retail platforms such as Amazon, where they are promoted for maintaining capacity better than conventional 12 V lead-acid units in low temperatures. These early products hint at how sodium-ion may gradually move into more mainstream automotive and consumer applications.

Outlook: Sodium-Ion as a Strategic Complement to Lithium

While sodium-ion batteries are unlikely to replace lithium-based chemistries across the board, CATL’s Naxtra rollout shows how they can play a strategic role in the broader energy storage mix. With competitive energy density, improved cold-weather performance, and potentially lower costs thanks to abundant raw materials, Na-ion technology is positioned as a strong alternative for cost-sensitive EVs and large-scale storage projects.

As lithium markets tighten again, the return of sodium-ion to cost leadership could accelerate its adoption and further diversify the battery supply chain in the second half of this decade.