Battery and equipment manufacturers are exploring and innovating with new technological adaptations that are lowering prices, making batteries safer, improving density and storage, and utilising new materials.

The latest Global Li-ion Battery and Manufacturing Equipment Market Tracker for Q2 2023 shows there are huge changes taking place within the sector, as Asian suppliers are expanding into the US and Europe, and cooperating with overseas companies to increase production capacity.

We collected almost 150 news stories over the last three months and summarised them into five major topics, each of which is covered in more detail in this insight:

1. Solid battery technology and energy density
2. Asian suppliers are expanding overseas
3. Battery companies are actively exploring new materials solutions
4. Innovations related to battery management systems (Safety Management)
5. Continuous market dynamics of energy storage battery
According to our Quarterly Tracker, which collects and collates trends from major battery suppliers and equipment manufacturers around the world, energy storage systems are continuing to prove successful as countries work towards their carbon neutrality goals.

Solid battery technology and energy density
Major battery manufacturers have been continuously researching and experimenting with solid-state batteries to further enhance aspects such as energy density, safety performance and charging speed, with several companies making significant progress.

Asian suppliers are expanding overseas

Battery companies are actively exploring new materials solutions
Due to limited lithium resources, mainly concentrated in South America and Australia, most battery manufacturers rely on imports. The increasing price of lithium has led to fierce competition among battery companies, as they invest in lithium resource companies to secure mining rights. In comparison to lithium, there are abundant sodium reserves and, therefore, sodium batteries have a significant cost advantage, with total costs 30-40 per cent lowers than lithium batteries.

In recent years, several battery manufacturers have started researching and developing sodium-ion batteries. The pace of mass production of sodium-ion batteries has been gradually accelerating, especially among industry leaders. In terms of battery manufacturers, both CATL and BYD intend to use sodium-ion batteries (a hybrid of sodium-ion and lithium-ion batteries) in series-produced EVs before the end of this year. With regards to equipment vendors, Shanghai SK and Zoolnasm have entered into a Strategic Partnership Agreement to develop sodium-ion battery system integration equipment.

Innovations related to battery management systems (Safety Management)
The future development goals of batteries are high energy density, high safety, long lifespan and low cost. Currently in the early stages of high-performance and high-safety batteries such as solid-state batteries and sodium-ion batteries, battery manufacturers are largely focused on innovating battery structures and processes to improve the safety of batteries. For example, Farasis Energy has optimised the design of its battery modules to prevent thermal runaway in the event of damage to its cells.

Continuous market dynamics of energy storage battery
In recent years, many regions and countries have set carbon neutrality targets. The United States and the European Union aim to achieve carbon neutrality by 2050, while China has set its target for 2060. To accomplish their goals, these countries have implemented a series of measures, including increasing the share of renewable energy, improving energy efficiency, promoting electric transportation, and enhancing the research and application of carbon capture and storage technologies.

About the author

Maya Xiao has an interdisciplinary technical background in vehicle electrification, system automation and robotics. Based in China, she is the lead analyst for Interact Analysis’ Li-ion battery and forklift research, also covering markets for industrial and collaborative robots.