Tesla Battery Supplier CATL Unveils First-Gen Sodium-Ion Batteries: What You Should Know

Contemporary Amperex Technology Co., Ltd., which supplies batteries to the likes of Tesla, Inc. TSLA, unveiled its first-generation sodium-ion batteries Thursday, a cheaper alternative to widely used lithium-ion batteries.

What Happened: Ningde, China-based CATL announced the sodium-ion battery, along with a battery pack solution, at its first online launch event "Tech Zone."

The battery pack solution, according to the company, can integrate sodium-ion cells and lithium-ion cells into a single pack.

Sodium-ion batteries will further the use of clean energy, promoting the early realization of the goal of carbon neutrality, the company said.

CATL's first generation of sodium-ion batteries confer the advantages of high-energy density, fast-charging capability, thermal stability, great low-temperature performance and high-integration efficiency.

The energy density of CATL's sodium-ion battery cell can achieve up to 160Wh/kg, and the battery can charge in 15 minutes to 80% SOC at room temperature. In a low- temperature environment of negative 20 degrees Celsius, the sodium-ion battery has a capacity retention rate of more than 90%, and its system integration efficiency can reach more than 80%.

Related Link: Apple in Talks with Tesla Supplier CATL for Battery Supply Deal: Report

CATL said the sodium-ion battery manufacturing is compatible with lithium-ion battery production equipment and processes, and the production lines can be rapidly switched to achieve a high-production capacity.

The company said it has started its industrial deployment of sodium-ion batteries and plans to form a basic industrial chain by 2023.

"The next generation of sodium-ion batteries' energy density development target is to exceed 200Wh/kg," CATL Chairman Robin Zeng said.

Why It's Important: Sodium-ion batteries use cheaper raw materials than lithium-ion batteries. This lowers the cost of batteries and in turn the EVs they power, given batteries account for roughly 30% of an EV's total cost. 

Lithium-ion batteries, which are used predominantly in EVs, have lithium as the electrode material. Lithium, though conferring high energy distribution, is handicapped by limited availability, higher costs and environmental hazards involved in mining of this metal.

Relative to lithium, sodium is widely available and is relatively inexpensive but compares unfavorably from the perspective of performance and energy density. Research is underway to improve the performance of sodium-ion batteries.

Related Link: China-Made Tesla Model 3 Will Ditch Cobalt, Use CATL Batteries

Photo courtesy of CATL.