Solid state batteries are the next stage in the evolution of battery technology. For example, Toyota has created some speculation around whether they have made a breakthrough in manufacturing solid-state batteries for their electric car range. Toyota’s electric cars could reach 1200 km before needing a recharge, in comparison with a standard range of c.400 miles.

The possibilities for off-highway commercial vehicles are far-reaching. The solidified lithium oxide within these batteries is less flammable than the traditional liquified lithium oxide in current batteries – which will dramatically reduce the risk of volatile explosions. There’s also a larger temperature range at which solid state batteries can operate, therefore they can perform during extreme weather conditions. Furthermore, concentrated, equally powerful vehicles can prove to be safer, less expensive options than current models fitted with traditional li-ion batteries. The ever-present question is the tangibility of these batteries. Are they an abstract theory or will they be brought to the market in the near future?

Who are the key players in the solid-state battery landscape?

There are certain manufacturers which are shaping the industry by pouring massive investment into the research and testing of solid-state batteries, as well as positioning themselves in the marketplace.

Solid-state battery enterprises can be roughly divided into three categories:

1. Companies specializing in solid-state batteries
2. Leading li-ion battery companies
3. OEMs

The marketplace is also geographically segmented between Asian, European and American manufacturers. Asian manufacturers (China, Japan and Korea) are the mainstream manufacturers for liquid lithium-ion batteries. However, the possible advancement towards solid-state batteries has inspired competition between Asian manufacturers and their European and American counterparts. This is due to the latter trying to gain a foothold in the market during the early stages of industrial development.

Commercialization and mass-production is projected to begin in 2026

Solid-state batteries have progressed from laboratory research and development to factory pilots, with more vehicle models equipped with solid-state batteries unveiled. Based on the production timelines announced by manufacturers, it is expected that the solid-state battery market will enter the mass production phase from 2026.

We have included a breakdown below of the major companies involved in solid-state battery development, the territories they are operating in, and the progress that has been made to date:

Chinese manufacturers:

• Companies, particularly Sunwoda and GAC Motor, plan to achieve the mass production of solid-state batteries by 2026. Sunwoda has announced the completion of the development of semi-solid-state batteries, while GAC Motor has announced the completion of research and development for all solid-state batteries.
• There are companies working to achieve the mass production of solid-state batteries in 2027, including Welion and Qingtao Energy. Currently, their planned capacity for production has exceeded 100 GWh and 50 GWh respectively. Both have established partnerships with automakers. According to relevant disclosures, in June 2023 Welion delivered semi-solid-state battery cells to NIO. Then, in August of the same year, Qingtao Energy and SAIC Motor announced they had jointly developed a first-generation, semi-solid-state battery which had completed vehicle installation testing.
• Both BYD and CATL have announced plans to achieve small-scale production of solid-state batteries by 2027. BYD specifically plans to install full solid-state batteries in 40,000 vehicles by 2030 and scale up to 120,000 vehicles by 2033.

Manufacturers from Japan, South Korea, and the United States

• The 40 GWh, solid-state battery gigafactory of Statevolt, headquartered in the United States, is projected to be operational in 2026. There will be an initial focus on the production of semi-solid-state batteries before transitioning to all-solid-state batteries after full-scale production is achieved.
• The American company ION Storage Systems plans to expand the production capacity of its currently planned solid-state battery factory in Maryland to 500 MWh by 2028.
• Japanese companies Nissan and Panasonic, and South Korean company SK plan to commercialize solid-state batteries by 2029. Nissan is currently constructing a pilot factory in Yokohama, with plans to produce its first batch of solid-state batteries in 2025. Panasonic intends to apply solid-state batteries to drones and factory robots.
• LGES from South Korea has announced that the commercialization of its solid-state batteries will take place after 2030.

Overall, the mass production timelines announced by manufacturers are mainly concentrated during the latter half of the 2020s. Specifically, the ‘solid-state batteries mass production’ era will, potentially, commence from 2026.

Final thoughts

Manufacturers who have made the earliest announcements about entering commercial mass production are those specializing in solid-state battery production. According to incomplete statistics*, there is currently production capacity of 540 GWh for solid-state batteries. However, considering that the market is still in its early stages, there is uncertainty regarding the actual implementation of planned capacity.

As for this highly anticipated next-generation battery solution, the mass production of solid-state batteries is expected to further expand the downstream application scenarios of batteries. In addition, the growth of market demand and changes in production processes associated with solid-state batteries will also affect the related equipment market.

For more information about the Interact Analysis Li-ion Battery and Manufacturing Equipment report, please contact Renee Ju.

Note: The term “solid-state battery” in this article includes semi-solid-state batteries.
* Numerous manufacturers who have officially announced their mass production timelines haven’t disclosed their exact production capacities, so it is highly likely that actual planned production capacity exceeds 540 GWh.