On April 27, 2026, CATL and Beijing HyperStrong Technology signed the world's largest sodium-ion battery contract: 60 gigawatt-hours for stationary grid storage, delivered over three years. It is the first large-scale commercial deal for this technology outside the electric vehicle market. The message is unmistakable: sodium-ion batteries, which contain no lithium, cobalt, or nickel, are no longer experimental. They are commercially ready for power grids.
No Lithium, No Cobalt
Sodium-ion batteries work on the same fundamental principle as lithium-ion batteries but swap out the raw materials. Sodium is the fourth most abundant element in Earth's crust and is available as sodium carbonate cheaply in nearly every country. Lithium carbonate can cost between $6,000 and $83,000 per tonne depending on market conditions. Sodium carbonate costs $100 to $500 per tonne. That is the structural cost advantage.
CATL's specifications for the energy storage cells in this contract: an energy density of around 160 watt-hours per kilogram, a system efficiency of 97 percent, more than 15,000 charge cycles at 80 percent remaining capacity, and an operating range from minus 40 to plus 70 degrees Celsius. For stationary grid storage, energy density matters less than in vehicles. What counts more is cost, lifespan, and temperature resilience, particularly for installations in cold climates or near deserts.
One drawback remains: at 160 Wh/kg, energy density falls short of modern LFP lithium batteries (180 to 200 Wh/kg). Sodium-ion cells are therefore still unsuitable for long-range electric vehicles or heavy-duty transport. For grid stabilization and energy storage, the industry portal Energy-Storage.News describes them as a serious alternative.
What This Contract Signals
HyperStrong was founded in 2011 and is, according to the industry association EESA, China's largest battery storage integrator. The company says it has installed more than 40 gigawatt-hours of storage capacity worldwide and is now listed on the Shanghai Stock Exchange. Offices in California, Frankfurt, Australia, and Singapore show that HyperStrong is actively targeting international markets.
The 60 GWh contract is part of a framework agreement signed in November 2025, covering a total of 200 gigawatt-hours between 2026 and 2035. For context: the first grid storage installation using sodium-ion batteries in the United States came online in late September 2025 with 3.5 megawatt-hours. The contract just signed is 17,000 times larger. Electrek, covering the deal, described the technology as "mainstream-ready" for stationary storage for the first time.
CATL chief scientist Wu Kai stated earlier in 2026 that his company had resolved all challenges across the sodium-ion production chain: moisture control during manufacturing, gas formation inside cells, electrode adhesion on aluminum foil, and the capacity of carbon anodes. This contract is the first large-scale commercial proof.
How Energy Technologies Get Cheaper
The history of renewable energy is a history of price collapse. In 1976, one watt of solar capacity cost around $100, according to Lazard. Today it costs less than $0.30, a decline of more than 99 percent in 50 years. Energy storage follows a similar pattern: LFP lithium batteries cost over $300 per kilowatt-hour in 2015 and around $50 in 2025. That price decline made the buildout of electric vehicles and grid storage economically viable.
Sodium-ion batteries are at the start of that curve. The International Renewable Energy Agency (IRENA) projects, according to a PV Magazine analysis from January 2026, that sodium-ion cells could fall to $40 per kilowatt-hour, placing them 25 to 40 percent below the long-term cost of comparable LFP systems for grid applications. This contract creates, for the first time, the production volumes that could accelerate that cost decline.
What Still Slows Na-Ion Adoption Outside China
Sodium-ion battery manufacturing currently takes place exclusively in China. CATL operates the relevant production capacity; HyperStrong builds the systems. For other regions, this means that the move toward raw material independence from lithium comes at the cost of a new dependence on Chinese manufacturing. That is a geopolitical shift, not a solution.
For sodium-ion cells to deliver their cost advantage globally, three things are needed: manufacturing capacity outside China for sodium-ion cells, standardization of storage systems for grid connection in different markets, and regulatory recognition of the technology in grid stabilization tenders. No sodium-ion cell factory outside China has been announced. The energy transition needs affordable storage. The open question is who builds it.