Sodium-ion batteries have a promising durability and lower cost compared to lithium-ion batteries making them a viable technological option for grid-scale and transportation energy storage solutions. The electrolyte is also less flammable than in lithium-ion batteries, offering higher safety.

The Global Sodium-ion Battery Market is estimated to be valued at US$ 408.71 Mn in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the Sodium-ion Battery are Masimo Corporation, Drägerwerk AG & Co. KgaA, Advanced Brain Monitoring Inc., Medtronic plc, Compumedics Limited, Siemens Healthcare GmbH, Koninklijke Philips N.V, Nihon Kohden Corporation, Natus Medical Incorporated, and General Electric Company (GE Healthcare).

The growing demand for large-scale energy storage solutions is fueling the adoption of sodium-ion batteries in industries including electric vehicles and development of smart grids. Advances in battery technologies and decreasing costs are supporting the commercialization of sodium-ion batteries.

Major battery manufacturers are actively engaged in R&D of Sodium-Ion Battery Market Size batteries and have started establishing production plants globally to tap into new applications and geographical markets. Partnerships between battery developers and automakers are further expected to drive the global expansion of the sodium-ion battery market during the forecast period.

Market Drivers

The increasing need for affordable and durable energy storage solutions is a key driver for the adoption of sodium-ion batteries. Current lithium-ion batteries face constraints in terms of scarcity and volatile prices of key materials like lithium and cobalt. Sodium-ion batteries are economically superior with abundant sodium supply and stability during charge/discharge cycles. Ongoing R&D efforts to improve sodium-ion battery performance related to energy density and charging speed are supporting the commercial viability of these batteries. Sodium-ion batteries are poised to play a crucial role in large-scale renewable energy integration and electric mobility, which will drive the market over the forecast period.

Current geopolitical situation is impacting the growth of Sodium-Ion Battery Market. The ongoing Russia-Ukraine war and tensions between major powers have disrupted supply chains and increased costs of key raw materials like cobalt and lithium that are used in battery manufacturing. This has adversely impacted production volumes and scale-up plans of sodium-ion battery makers in 2022. The already high dependence on China for battery materials sourcing has also become a major concern. Battery makers will need to diversify sourcing, look at alternatives and strategize local sourcing/domestic manufacturing to insulate themselves from future supply disruptions. Geopolitical risks and economic uncertainties going forward will remain a key overhang on the growth projections of this industry. Battery companies will have to closely monitor changing policy dynamics across regions and forge new international partnerships to mitigate political risks in key markets

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