CATL has secured the largest sodium-ion battery order to date, signing a three-year agreement with Beijing HyperStrong Technology for 60 GWh of battery supply. The deal, announced on April 27, is roughly equivalent to half of CATL’s total energy storage battery shipments in 2025.
The scale of the agreement highlights growing commercial confidence in sodium-ion technology, which has long been viewed as a lower-cost alternative to lithium-ion batteries.
A Major Step Toward Commercialization
The new contract builds on a broader partnership between the two companies. In late 2025, HyperStrong committed to purchasing up to 200 GWh of battery cells from CATL between 2026 and 2035. The latest 60 GWh agreement represents the first large-scale deployment under that framework.
Beyond supply, the partnership also includes joint work on research, product development, and project implementation, indicating a deeper integration between battery manufacturing and energy storage deployment.
CATL says the deal demonstrates it has resolved key challenges in scaling sodium-ion production, including issues related to energy density and manufacturing stability.
Why Sodium-Ion Matters
Sodium-ion batteries replace lithium with sodium, a material that is significantly more abundant and cheaper to source. In applications like grid-scale energy storage—where cost, durability, and safety are often more important than maximum energy density—this can offer a meaningful advantage.
CATL’s current sodium-ion cells deliver over 300 Ah capacity with an energy density of about 160 Wh/kg. While lower than most lithium-ion batteries, this is sufficient for stationary storage systems.
The cells also operate across a wider temperature range, from -40°C to 70°C, and offer long cycle life—over 15,000 charge cycles—making them suitable for long-term infrastructure use.
Compatibility With Existing Systems
One of the more practical aspects of CATL’s approach is that its sodium-ion cells are designed with the same form factor as its lithium-ion products.
This allows them to be integrated into existing supply chains and installation systems with minimal modification. In real-world terms, that reduces both deployment time and cost, which can be a critical factor for large-scale energy projects.
Growing Competition in Sodium-Ion Technology
CATL is not alone in developing sodium-ion batteries. BYD has also advanced its own platform, focusing on improving durability and high-temperature performance.
Other companies, including HiNa Battery and Natron Energy, as well as European players like Altris and Faradion, are working on similar technologies. However, none have announced commercial orders at the same scale.
The size of CATL’s deal suggests it currently leads in moving sodium-ion from research into large-scale deployment.
Potential Expansion Into Electric Vehicles
While sodium-ion is primarily targeted at energy storage, CATL is also exploring its use in electric vehicles. The company has indicated plans for mass production by the end of 2026, with longer-term goals of reaching energy density levels comparable to lithium iron phosphate (LFP) batteries.
The first sodium-ion EV, the Changan Nevo A06, was introduced earlier this year, signaling early adoption beyond stationary applications.
Market Context
The global sodium-ion battery market is expected to grow steadily, with projections reaching over $1 billion by 2026. CATL already holds a leading position in the broader battery market, with a significant share of global EV battery supply.
By investing early in sodium-ion technology, the company is positioning itself to expand into a parallel market that could benefit from lower raw material costs and reduced exposure to lithium price volatility.
Takeaway
CATL’s 60 GWh agreement with HyperStrong marks a notable milestone for sodium-ion batteries, moving the technology closer to large-scale commercial use. While lithium-ion remains dominant, this deal suggests sodium-ion is beginning to establish a meaningful role in the global energy storage landscape.
