In the realm of electric vehicles, lithium-ion batteries have long held sway, boasting various chemistries like NMC, NCA, and LFP. However, the spotlight has recently shifted to an alternative contender—sodium-ion batteries, touted as a "rising star" in a study published by the U.S. National Library of Medicine.
Across the globe, sodium-ion is making strides toward commercialization. BYD is investing $1.4 billion in a dedicated sodium-ion battery plant in China, while Northvolt in Sweden claims a breakthrough in energy storage with sodium-ion batteries rivaling some LFP counterparts.
Sodium's abundance globally, found in rock salts and brines, positions it as a promising candidate for batteries. Its role mirrors lithium-ion, with sodium ions shuttling between cathode and anode during charge and discharge cycles.
The appeal lies in sodium-ion's potential to address lithium-ion's drawbacks, offering no thermal runaway risk, operability across varied temperatures, and a lower per-ton cost for sodium hydroxide, a key raw material. However, complexities emerge, warns Evelina Stoikou, a senior energy storage expert at Bloomberg New Energy Foundation.
Sodium-ion gained attention when lithium prices soared post-Covid-19 disruptions and Ukraine's conflict. Yet, the dynamics have shifted, with lithium-ion prices hitting record lows, projected to dip below $100/kWh by 2027.
Competing primarily with LFP, sodium-ion suits applications with lower energy requirements due to its lower energy density. Stoikou suggests a potential role in stationary storage and smaller vehicles, evident in BYD's focus on "microcars."
Despite BYD and Northvolt's strides, sodium-ion isn't poised to directly challenge the mature lithium-ion market. Cost competitiveness is key, and if lithium prices continue plummeting, sodium-ion faces hurdles.
Moreover, consumer preferences in the U.S. and Europe, favoring longer drives and larger cars, might limit sodium-ion's broader prospects. Stoikou envisions continued dominance for lithium-ion advancements, including cathode and anode innovations, maintaining the status quo for years. While sodium-ion may find niches in energy storage and microcars, its broader adoption seems constrained for the foreseeable future.
