Global Sodium-ion batteries Market Size, Share, Analysis Report By Battery Type (Sodium Sulfur Battery, Sodium Salt Battery, Sodium Air Battery), By Technology (Aqueous, Non-Aqueous, By Application, Stationary Energy Storage, Transportation), By End-use (Consumer Electronics, Automotive, Industrial, Energy Storage, Others) , By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2025-2034

Report Overview

The Global Sodium-ion batteries Market size is expected to be worth around USD 3319.1 Mn by 2034, from USD 527.2 Mn in 2024, growing at a CAGR of 20.2% during the forecast period from 2025 to 2034.

The sodium-ion battery (SIB) market is emerging as a strong alternative to traditional lithium-ion (Li-ion) batteries, particularly for large-scale energy storage. Sodium-ion technology uses sodium, a more abundant and cost-effective material than lithium, making it an appealing choice for sustainable, high-performance energy storage. The market is expanding as industries seek diverse battery chemistries for applications like electric vehicles (EVs), grid storage, and consumer electronics, with investments and research pushing the technology’s commercial potential.

Sodium-ion battery advancements have been driven by better materials and manufacturing processes, meeting the rising demand for sustainable energy storage. Sodium is about 100 times more abundant than lithium, lowering material costs and making sodium-ion batteries a cost-effective option. This is especially attractive for large-scale applications, as it provides a competitive edge over lithium-ion batteries.

The sodium-ion battery market is also benefiting from increased investments in research and development. Companies like CATL and Faradion are making substantial contributions, including the development of commercial-scale batteries for EVs and energy storage.

Key drivers of the sodium-ion market’s growth include the demand for energy storage solutions to support renewable energy sources like solar and wind. Sodium-ion batteries are ideal for grid-scale applications due to their excellent cycle life, thermal stability, and lower production costs compared to lithium-ion. Their environmentally friendly profile, due to the use of less resource-intensive materials, also makes them a popular choice, especially in regions where lithium-ion batteries are too costly.

The future of the sodium-ion market looks promising with ongoing technological advancements and growing demand for clean energy solutions. Innovations in electrode materials and the anticipated reduction in production costs will enhance the batteries’ performance and affordability. Sodium-ion batteries’ potential to power electric vehicles at a lower cost than lithium-ion batteries adds to their commercial appeal, positioning them as a crucial technology in the global energy transition.

Key Takeaways

• Sodium-ion batteries Market size is expected to be worth around USD 3319.1 Mn by 2034, from USD 527.2 Mn in 2024, growing at a CAGR of 20.2%.
• Sodium Sulfur Batteries held a dominant market position, capturing more than a 47.4% share.
• Aqueous sodium-ion batteries held a dominant market position, capturing more than a 58.3% share of the market.
• Stationary Energy Storage held a dominant market position, capturing more than a 68.3% share.
• Energy Storage held a dominant market position, capturing more than a 39.2% share of the sodium-ion battery market.
• North America held a dominant position in the sodium-ion batteries market, capturing more than a 43.2% share, with a market value of 226.7 million USD.

By Battery Type

In 2024, Sodium Sulfur Batteries held a dominant market position, capturing more than a 47.4% share of the sodium-ion battery market. This strong market presence is due to the advantages of sodium-sulfur (NaS) batteries in large-scale energy storage applications, particularly for grid storage. Sodium sulfur batteries are known for their high energy density, long cycle life, and relatively low cost, making them ideal for utilities and renewable energy storage systems.

Following sodium sulfur batteries, Sodium Salt Batteries are gaining traction in the market, accounting for a growing share of the sodium-ion battery landscape in 2024. Sodium salt batteries offer an attractive alternative to traditional lithium-ion batteries, with the added benefit of using more abundant and less expensive materials. While they still lag behind sodium sulfur in terms of overall market share, sodium salt batteries are expected to continue growing rapidly due to their improved safety profiles and environmental benefits.

Finally, Sodium Air Batteries represent the emerging frontier of sodium-ion battery technology. While still in the early stages of development in 2024, sodium-air batteries have the potential to revolutionize the market due to their theoretically high energy density and lightweight nature.

By Technology

In 2024, Aqueous sodium-ion batteries held a dominant market position, capturing more than a 58.3% share of the market. Aqueous batteries, which use water-based electrolytes, have gained significant attention due to their safety, cost-effectiveness, and environmental benefits. These batteries are particularly favored for large-scale energy storage applications, such as grid energy storage and renewable energy integration, where safety and long life cycles are critical.

Non-Aqueous sodium-ion batteries, while capturing a smaller market share, are projected to see significant growth in the coming years. In 2024, non-aqueous sodium-ion batteries account for the remaining portion of the market and are particularly recognized for their higher energy density compared to aqueous counterparts. These batteries, which use organic solvents or other non-water-based electrolytes, are generally more suited for applications that demand high power output, such as electric vehicles and consumer electronics.

By Application

In 2024, Stationary Energy Storage held a dominant market position, capturing more than a 68.3% share of the sodium-ion battery market. This significant share is driven by the increasing demand for energy storage solutions that support the integration of renewable energy sources, such as solar and wind, into the grid. Sodium-ion batteries are gaining popularity in stationary energy storage due to their cost-effectiveness, long cycle life, and enhanced safety compared to traditional lithium-ion batteries. They are particularly well-suited for large-scale grid storage, helping utilities balance energy supply and demand, and store excess renewable energy for later use.

In contrast, the Transportation sector, while still emerging, is showing promising growth in the sodium-ion battery market. Although it accounted for a smaller share of the market in 2024, transportation applications, including electric vehicles (EVs), are expected to play a larger role in the sodium-ion battery landscape in the coming years. As sodium-ion technology continues to evolve, with advancements in energy density and charging speeds, it is becoming a more viable option for electric vehicles.

By End-use

In 2024, Energy Storage held a dominant market position, capturing more than a 39.2% share of the sodium-ion battery market. The growing demand for renewable energy integration and the need for efficient energy storage solutions have propelled sodium-ion batteries into the spotlight for stationary energy storage applications. These batteries are being increasingly deployed in grid storage systems to store excess energy generated from renewable sources like solar and wind.

Consumer Electronics and Automotive sectors are also contributing to the growth of sodium-ion batteries, though they represent smaller segments compared to energy storage. In 2024, consumer electronics applications are still in the early stages for sodium-ion adoption, accounting for a smaller market share. However, as battery technologies improve, these batteries are becoming increasingly viable for devices like smartphones, laptops, and other portable electronics.

The Industrial sector is also a growing application area, where sodium-ion batteries are being used for backup power and in large-scale industrial operations requiring reliable energy storage solutions.

Key Market Segments

By Battery Type

• Sodium Sulfur Battery
• Sodium Salt Battery
• Sodium Air Battery

By Technology

• Aqueous
• Non-Aqueous

By Application

• Stationary Energy Storage
• Transportation

By End-use

• Consumer Electronics
• Automotive
• Industrial
• Energy Storage
• Others

Drivers

Rising Demand for Sustainable Energy Storage Solutions

One of the primary driving factors behind the growth of the sodium-ion batteries market is the rising demand for sustainable energy storage solutions. As the world shifts towards renewable energy sources such as wind and solar, efficient and reliable energy storage technologies have become crucial to stabilize the grid and store excess energy. Sodium-ion batteries, with their lower cost and more abundant raw materials compared to traditional lithium-ion batteries, are seen as an attractive alternative for large-scale energy storage applications.

This growth is largely driven by the push for cleaner energy systems and the transition to carbon-neutral economies. Sodium-ion batteries fit perfectly into this shift because they are cost-effective, have a longer lifespan, and are made from widely available materials such as sodium, which is abundant and less expensive than lithium. For example, the U.S. Department of Energy has invested heavily in advancing sodium-ion battery research to reduce the cost of energy storage systems, aligning with the government’s broader strategy to combat climate change and support clean energy solutions.

Additionally, the environmental impact of sodium-ion batteries is another driving factor. With growing concerns about the environmental footprint of lithium-ion batteries—due to the mining of lithium, cobalt, and nickel, which can have significant ecological consequences—sodium-ion batteries offer a more sustainable alternative. Sodium is much more abundant and can be sourced with less environmental disruption compared to lithium, which is often mined in ecologically sensitive regions. The European Union, for example, has strongly supported research into sustainable battery technologies as part of its Green Deal, which aims to reduce Europe’s carbon footprint and make the transition to cleaner energy sources more accessible.

Another contributing factor to the increasing adoption of sodium-ion batteries is the growing regulatory support for energy storage technologies. Governments around the world are enacting policies to encourage renewable energy adoption and energy storage solutions. In countries like the United States, China, and across the European Union, there are incentives, subsidies, and grants for companies developing or implementing advanced energy storage systems. These policies are helping accelerate the commercialization of sodium-ion batteries. For instance, the U.S. Department of Energy’s (DOE) Energy Storage Grand Challenge has allocated millions in funding to develop innovative storage technologies, including sodium-ion batteries, to meet the country’s energy storage needs.

Restraints

Performance and Energy Density Limitations

As of 2024, sodium-ion batteries typically offer an energy density of 100–150 Wh/kg, which is considerably lower than the 250–300 Wh/kg provided by lithium-ion batteries. This gap in energy density means that sodium-ion batteries are currently not as suitable for energy-intensive applications like electric vehicles and portable electronics, where space and weight are at a premium.

For instance, a Tesla Model 3, which relies on lithium-ion batteries, has an energy density that allows it to travel up to 350 miles on a single charge, a performance that sodium-ion batteries are yet to match. While there has been progress in improving sodium-ion battery technology, it is still a significant hurdle for broad adoption in industries that rely on high performance and long-range capabilities.

The issue of energy density stems from the inherent properties of sodium compared to lithium. Sodium is a larger ion, and as a result, it takes up more space within the battery structure. This results in a lower number of sodium ions being stored in a given volume, which directly impacts the overall energy capacity of the battery. The larger size of sodium ions also makes them less efficient at moving through the battery, leading to slower charging speeds and less efficient performance.

Governments and research institutions are actively working on advancements in sodium-ion technology to overcome these limitations. The European Union, for example, has allocated significant funding to battery research as part of its Horizon 2020 program, which includes projects focused on improving the energy density and efficiency of sodium-ion batteries. By 2025, the EU aims to reduce the gap in performance between sodium-ion and lithium-ion batteries, with funding for collaborative efforts in battery innovation.

The U.S. Department of Energy is also investing in improving the performance of sodium-ion batteries through initiatives like the Energy Storage Grand Challenge, which includes projects aimed at enhancing the materials and electrolytes used in sodium-ion batteries. These projects are intended to push the boundaries of battery efficiency, increase the energy density, and improve charging times. While the progress is promising, it will take time before sodium-ion batteries can match the performance characteristics of lithium-ion batteries in all applications.

Opportunity

Expanding Energy Storage Market

One of the most significant growth opportunities for sodium-ion batteries lies in their role in energy storage systems, especially as the global shift toward renewable energy accelerates. As countries around the world work towards reducing their reliance on fossil fuels and increasing the adoption of clean energy sources like wind and solar, the demand for efficient and cost-effective energy storage solutions is rising rapidly. Sodium-ion batteries, with their advantages in cost, safety, and environmental impact, are becoming an increasingly viable option for large-scale energy storage, a sector that is expected to see substantial growth in the coming years.

In 2024, global energy storage capacity is projected to grow by over 15% annually through 2030, according to the International Energy Agency (IEA). This surge is driven by the need to store excess energy generated from renewable sources to ensure grid reliability and to support energy demand during non-peak hours. Sodium-ion batteries are particularly attractive in this context because they are less expensive than their lithium-ion counterparts and can be made from more abundant and sustainable materials. The cost-effectiveness of sodium-ion technology means that energy storage systems based on these batteries could be deployed on a much larger scale, which is crucial as the world moves towards more decentralized and renewable energy grids.

The cost advantage of sodium-ion batteries plays a key role in their potential in energy storage. Traditional lithium-ion batteries, while widely used, are made from rare materials like lithium, cobalt, and nickel, which are not only expensive but also subject to price volatility and ethical concerns related to mining practices. Sodium, by contrast, is far more abundant and less costly, making sodium-ion batteries an appealing alternative for both residential and industrial energy storage systems.

According to U.S. Department of Energy (DOE) projections, sodium-ion technology could reduce the overall cost of energy storage systems by up to 30-40% by 2030, compared to lithium-ion batteries. This cost reduction would make renewable energy storage more accessible to a broader range of consumers and businesses, accelerating the transition to a cleaner energy future.

Additionally, sodium-ion batteries have a longer cycle life and better thermal stability than lithium-ion batteries, which makes them a safer choice for large-scale storage applications. This characteristic is especially important for stationary storage systems that are expected to be in use for decades, like those supporting power grids or solar farms. Governments and private sector players are increasingly investing in sodium-ion technology as part of their long-term energy storage strategies. For instance, the European Union’s Horizon 2020 program has supported multiple research initiatives aimed at developing sustainable battery technologies, including sodium-ion, to reduce the environmental impact of energy storage solutions.

Trends

Increased Investment in Sodium-ion Battery Research and Development

One of the most significant trends in the sodium-ion battery market is the increased investment in research and development (R&D), aimed at improving the performance and commercialization of these batteries. As the global demand for energy storage solutions grows, especially with the rapid expansion of renewable energy sources, there is a rising focus on developing alternatives to traditional lithium-ion batteries. Sodium-ion batteries are emerging as a promising solution due to their lower cost, abundance of raw materials, and environmental advantages.

Governments and private organizations worldwide are increasing their investments in sodium-ion battery research as part of the broader effort to develop more sustainable and cost-effective energy storage systems. The European Union, for instance, has allocated substantial funds to battery research through its Horizon 2020 program. This initiative focuses on developing next-generation battery technologies, including sodium-ion batteries. The European Union has set ambitious goals to reduce battery costs by up to 50% by 2030, while also reducing dependence on critical raw materials such as lithium and cobalt. A key aspect of this initiative is funding projects that explore the potential of sodium-ion batteries, with a focus on increasing their energy density and cycle life.

In the United States, the Department of Energy’s (DOE) Energy Storage Grand Challenge is another example of government-backed initiatives to support the development of alternative energy storage solutions. The Grand Challenge, which has committed over $400 million in funding, aims to accelerate the deployment of next-generation energy storage technologies, including sodium-ion batteries. With this funding, researchers are working on innovative approaches to enhance the performance of sodium-ion batteries, addressing key challenges such as energy density and charging speed. In fact, the DOE has partnered with leading universities and private companies to develop scalable sodium-ion battery solutions that can compete with lithium-ion technology.

Regional Analysis

In 2024, North America held a dominant position in the sodium-ion batteries market, capturing more than a 43.2% share, with a market value of 226.7 million USD. The region’s leadership is primarily driven by significant investments in energy storage solutions, supported by government initiatives like the U.S. Department of Energy’s Energy Storage Grand Challenge, which focuses on advancing next-generation battery technologies, including sodium-ion. Furthermore, North America’s strong manufacturing capabilities, coupled with the increasing demand for clean and affordable energy storage systems, are driving growth in this sector.

Europe follows closely, with a growing interest in sustainable battery technologies. The European Union’s Horizon 2020 program has allocated substantial funding for research and development in battery technology, including sodium-ion systems, making Europe a key player in the energy transition. European countries like Germany, France, and the UK are adopting sodium-ion batteries in grid storage systems as a cost-effective alternative to lithium-ion batteries, helping to reduce reliance on raw materials such as lithium and cobalt.

The Asia Pacific region is also gaining traction in the sodium-ion battery market, accounting for significant investments, especially in China. This is primarily driven by large-scale energy storage systems and the rising demand for energy storage in renewable energy projects.

Meanwhile, Latin America, Middle East, and Africa are still in the early stages of adopting sodium-ion batteries, with growth projected in the coming years as the regions explore cost-effective and sustainable alternatives for energy storage.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • Australia
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA

Key Players Analysis

The sodium-ion batteries market features several key players focused on advancing battery technology and expanding production capabilities. Leading companies such as Altris AB, AMTE Power Plc, and Aquion Energy are known for their innovations in sodium-ion technology, developing more efficient materials and manufacturing processes. Ben’an Energy Technology (Shanghai) and Blackstone Technology GmbH are also key contributors, working on scaling up production and reducing costs to make sodium-ion batteries more commercially viable.

Other notable players include Contemporary Amperex Technology Co. Limited (CATL) and Faradion Limited, which have made significant investments in sodium-ion battery development, with Faradion pioneering large-scale commercial applications for electric vehicles and stationary storage. Companies like HiNa Battery Technology Co. Ltd., Jiangsu Zhongna Energy Technology Co. Ltd., and Indigenous Energy Storage Technologies Pvt. Ltd. (Indi Energy) are expanding production capacity, especially in China and Europe, to meet growing global demand.

In addition, Li-FUN Technology Corporation Limited, Natron Energy, Inc., and Tiamat Energy are pushing the boundaries of performance and sustainability with cutting-edge research in sodium-based electrode materials. These companies, along with others in the market, are positioning themselves to be major players in the future of energy storage, particularly in grid applications and the renewable energy sector.

Top Key Players

• Altris AB
• AMTE Power Plc
• Aquion Energy
• Ben’an Energy Technology (Shanghai) Co., Ltd
• Blackstone Technology GmbH
• BLUETTI Power Inc.
• Contemporary Amperex Technology Co. Limited (CATL)
• Faradion Limited
• HiNa Battery Technology Co., Ltd
• Indigenous Energy Storage Technologies Pvt. Ltd. (Indi Energy)
• Jiangsu Zhongna Energy Technology Co., Ltd.
• Li-FUN Technology Corporation Limited
• Natron Energy, Inc.
• NEI Corporation
• Tiamat Energy

Recent Developments

In 2024 Altris AB, the company has secured several funding rounds, amounting to over $20 million, to further research and expand production. With a clear focus on sustainable energy storage, Altris is positioning itself as a key player in the growing sodium-ion battery market.

2024, AMTE Power is in the process of finalizing key funding rounds, amounting to approximately £15 million, to support the commercialization of its sodium-ion technology.

Report Scope