China has achieved a stunning milestone in battery technology that could reshape the global electric vehicle (EV) market. Engineers at CATL — the world’s largest EV battery maker — have unveiled mass-produced sodium-ion batteries priced at just $10 per kilowatt-hour, according to a 2025 Bloomberg NEF report. This is a seismic shift, considering current lithium iron phosphate (LFP) batteries cost $75/kWh, and Tesla’s 4680 cells sit near $100/kWh.
The implications are massive. At one-tenth the cost of lithium alternatives, sodium-ion batteries could instantly make affordable EVs — like Tesla’s upcoming $25,000 Model 2 — financially feasible for mass-market adoption.
This isn’t just a lab prototype. CATL is already operating a 30 GWh production facility in Fujian province, with plans to supply automakers like Chery and BYD by late 2025. Their first-gen sodium-ion batteries, with 120–160 Wh/kg energy density, already power 250,000 urban delivery vans across China, proving the technology is real, scalable, and road-tested.
For U.S. automakers still tethered to expensive lithium supply chains, this could signal both a wake-up call and an opportunity. Sodium-ion tech, once dismissed as a niche alternative, is now poised to lead the next generation of budget-friendly, sustainable EVs.
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