What?
Six battery producers, including Nio’s supplier WeLion, are set to receive a government investment of 6 billion yuan for solid-state battery research and development in China. The funds will be distributed among CATL, BYD, FAW, SAIC, Geely, and WeLion. The chosen companies will focus on different technical routes to advance solid-state battery technology, aiming to eliminate liquid electrolytes and improve energy density.
Why does it matter?
The selection process for the six companies remains mysterious, with notable exclusions of companies like GAC and Great Wall, known for their solid-state battery achievements. While the investment aims to drive innovation in the battery industry, challenges such as immature material technologies and high production costs hinder mass production of solid-state batteries. Despite the potential benefits of solid-state batteries, industry experts like Xu Yanhua predict limited market adoption before 2035.
How is it going to shape the future?
Solid-state batteries are considered the next leap in battery technology due to their high energy density, safety, and versatility in various temperatures. By enhancing research in this area, China aims to position itself as a leader in advanced battery technology. The investment is expected to address key barriers in solid-state battery production, paving the way for future advancements in energy storage solutions.