Energy Storage Sodium Ion Battery Market Size - By Type (Sodium Sulfur Battery, Sodium Salt Battery, Sodium Air Battery), By Technology (Aqueous, Non Aqueous), & Forecast, 2025 - 2034

Energy Storage Sodium Ion Battery Market Size

The global energy storage sodium ion battery market was valued at USD 245.3 million in 2024 and is set to reach USD 2.32 billion by 2034, growing at a CAGR of 25.3% from 2025 to 2034. Sodium ranks as the sixth most abundant element in the earth’s crust, with an approximate 2.6-3.0%, which makes it more financially and sustainably viable than lithium, thus increasing its potential use in battery production. Moreover, sodium's abundant availability mitigates the supply chain complexities and expenses associated with energy storage batteries when compared to lithium, which has geopolitical resource limitations.
 

Increasing demand for batteries that are less prone to overheating and thermal runaway, which minimizes the risk of fires or explosions in energy storage applications, will stimulate the product adoption. This enhanced safety also makes them ideal for large-scale stationary energy storage, particularly in residential or urban environments. Furthermore, growing demand for batteries offering the capability to handle long discharge cycles and deep cycling in grid-level applications will influence sodium ion batteries' adoption. They are used to stabilize power grids, store surplus energy from renewables and provide backup during peak demand.
 

Rising companies’ investments in developing advanced products targeting energy storage applications will augment the energy storage sodium ion battery market outlook. In April 2025, China-based Biwatt Power developed the PowerNest R3, the sodium ion battery designed specifically for home energy storage. The unit has a storage capacity of 4.5 kWh and is intended for residential applications. Moreover, the sodium ion battery demand will also be supported by an increase in the demand for environmentally friendly batteries which have a lower impact from mining activities and are easier to recycle.
 

Trump-era tariffs, particularly on Chinese imports, could significantly impact the sodium ion battery supply chain. Many sodium ion battery components and systems are manufactured or sourced from China. Tariffs are expected to raise costs for U.S. companies importing these technologies, making sodium ion batteries less price-competitive with lithium-ion alternatives. This will slow the adoption of energy storage applications. Additionally, supply chain disruptions or uncertainty may deter investment in sodium-based storage solutions. However, tariffs might also incentivize domestic manufacturing and R&D in the U.S., potentially accelerating local production and innovation in the long term.
 

Energy Storage Sodium Ion Battery Market Trends

• Ongoing research and development efforts aimed at improving the performance characteristics of sodium ion batteries will uplift the business growth. Additionally, rising advances in electrode materials, electrolytes, and cell design for better energy density, longer cycle life, and improved efficiency will drive the product growth.   
   
• Rising companies’ sodium ion battery adoption for energy storage applications in developing countries including India, Malaysia and other Southeast nations will augment the industry landscape. For instance, in October 2024, together with Plus Xnergy Services, Leader Solar Energy II Sdn Bhd, a division of Leader Energy Group Berhad, unveiled Malaysia's first sodium-sulfur battery energy storage system. The installation of the 1.45 MWh system at LSE II's expansive solar plant in Kedah, will represent a major advancement in the infrastructure for renewable energy in the nation.
   
• Increasing demand for sodium ion batteries, which are more available, less toxic, and environmentally friendly, will foster the industry growth. Furthermore, sodium-based materials are much easier to acquire and process than lithium and cobalt, which makes these compounds popular considering ecosystem protection. Moreover, these batteries are easier to recycle, bolstering a circular economy in the energy sector and harmonizing with worldwide initiatives to mitigate the ecological footprint of energy storage systems, thereby advancing the energy storage sodium ion battery market scenario.
   
• The demand for batteries specifically designed for grid-scale energy storage applications is expected to increase owing to product advantages such as exceptional thermal stability and long lifespan that often surpass 5,000 charge cycles. Additionally, the completion of pending projects and the announcement of future plans are also favorable for the market. In June 2024, China’s Datang Group from Hubei Province declared the launch of a sodium ion battery energy storage system with a grid connection and a capacity of 50 MW/100 MWh. This installation is currently recognized as the largest operational sodium ion energy storage project globally.
   

Energy Storage Sodium Ion Battery Market Analysis

• The global market for energy storage sodium ion battery was valued at USD 159.2 million, USD 197.1 million and USD 245.3 million in 2022, 2023 and 2024 respectively. Based on type, the industry is segmented into sodium sulfur battery, sodium salt battery, and sodium air battery.
   
• The sodium sulfur battery segment is anticipated to reach more than USD 1.15 billion by 2034 due to its high energy density, long cycle life (over 4,500 cycles), and 85-90% efficiency. The need for batteries that operate at approximately 300-350°C, especially for large stationary systems, will escalate product development.
   
• Businesses are leading the way in the use of NaS batteries for energy storage, complementing the industry growth. In October 2023, BASF Stationary Energy Storage partnered with Leader Energy to implement NGK’s sodium-sulfur battery technology in Southeast Asia. The cooperation encompasses eight long-duration energy storage projects estimated at around USD 380 million, underscoring the scope and optimism of the undertaking.
   
• The sodium salt battery segment is expected to grow at a CAGR of over 25.3% through 2034, on account of its affordability and abundance of sodium. Moreover, its moderate energy density, stable cycling performance, and improvements in safety relative to lithium-ion counterparts will make the product favorable for use in energy storage systems.
   
• The sodium air battery segment is expected to achieve a CAGR of above 29.5% through 2034. The batteries are currently at the research and development stage, yet they are fascinating for the prospect of providing exceptionally high energy densities (theoretically up to 1,600 Wh/kg). Their appeal lies in using atmospheric oxygen as a cathode reactant, significantly reducing material needs and system weight. Additionally, rising funding and academic interest will signal the battery’s strong future potential in grid-scale and off-grid energy solutions.

• Based on technology, the energy storage sodium ion battery market is segmented into aqueous and non aqueous. The non-aqueous segment holds a market share of 78.8% in 2024 due to their wider temperature ranges and better energy performance, making them suitable for both grid storage and mobility applications.
   
• Several major companies are actively investigating the potential applications of the product across various industries to lessen reliance on other technologies. In December 2021, Reliance New Energy Solar completed the full acquisition of Faradion Limited, a leading developer of non-aqueous sodium ion battery technology, for approximately USD 134.9 million. This technology will be embedded in Reliance’s energy storage giga-factory, which is part of Dhirubhai Ambani Green Energy Giga Complex in Jamnagar.
   
• The aqueous segment is set to grow at a CAGR of over 25.5% through 2034 due to its enhanced safety, cost-effectiveness, and environmental compatibility. The enhanced safety of aqueous electrolytes, which are non-flammable and less prone to thermal runaway compared to organic electrolytes, makes them suitable for more stationary energy storage applications where operational safety is a priority, creating a positive impact on the business outlook.
   
• Furthermore, increased research funding from different academic and institutional organizations aimed at improving the affordability and adaptability of aqueous sodium ion battery technology for wider uses is anticipated to greatly accelerate the market's growth trajectory.  In 2024, a research group from the University of Adelaide and the University of Maryland developed an aqueous sodium ion battery that surpassed the lifespan of 13,000 charge cycles. This development mitigates the challenge of water decomposition in aqueous battery systems, water decomposition, paving the way towards increased durability and functionality of these systems.

• The U.S. energy storage sodium ion battery market was valued at USD 33.9 million, 42.1 million, and 52.6 million in 2022, 2023 and 2024 respectively. As of 2024, North America holds more than 23.2% of the market share, which is expected to improve further by 2034.
   
• Increasing demand for low cost, domestically produced lithium-ion battery substitutes will increase the use of sodium ion batteries in the U.S. Additionally, with lithium supply chains largely dependent on imports, sodium, being abundant and widely available, offers strategic advantages for national energy security. With over USD 200 million allocated through initiatives such as the Energy Storage Grand Challenge and ARPA-E to promote alternative chemistries, including sodium ion batteries, DOE has aggressively sponsored non-lithium battery research and development.
   
• The Asia Pacific energy storage sodium ion battery market is anticipated to reach more than USD 1.18 billion by 2034 mainly driven by government support, resource availability, as well as a rapidly growing energy storage sector. Expanding industrial activities, power system modernization, along with the growing demand for reliable, affordable grid energy storage systems, make sodium ion batteries a suitable option. In Southeast Asia and Australia, research institutions are also actively working to improve energy density and cycle life, enhancing the region’s R&D capabilities.
   
• Furthermore, South Korea is also investing in research activities to boost the product adoption. In June 2024, a group of South Korean researchers created a sodium-air battery that features a solid sodium electrolyte and uses air as its fuel. The battery surpasses the benchmarks of 86% efficiency and higher energy density and increased voltage range. Furthermore, the boost in energy storage and renewable energy in India has created a significant demand for sodium ion batteries due to their economical cost and thermal stability, which is favorable in the hot climate of India.
   
• Europe energy storage sodium ion battery market is expected to grow at a CAGR of 25.6% through 2034 in response to stringent environmental regulations, strategic autonomy goals, and an accelerating demand for clean energy storage. Furthermore, major European battery startups including Northvolt (Sweden) and Tiamat (France), are investing heavily in sodium ion R&D. Northvolt revealed advancements regarding sodium ion prototypes designed for grid-level and cost-efficient electric vehicle applications in 2023.
   

Energy Storage Sodium Ion Battery Market Share

• Top three players, including China BAK Battery, CATL, and HiNa Battery Technology account for nearly 31.7% of the energy storage sodium ion battery industry. These players are primarily focusing on spending a heavy amount on R&D for enhancing energy density, the cycle of sodium batteries, and their efficiency. The goal of these advancements is to enable batteries to outperform alternative batteries, especially in their use for long-duration energy storage.
   
• In addition, strategic partnerships play a key role in advancing sodium ion technology. For instance, CATL works with several other world manufacturers and grid operators to incorporate sodium ion batteries into industrial-sized storage systems. Also, Reliance New Energy Solar’s acquisition of Faradion underscores the importance of partnerships in production scale-up.
   

Energy Storage Sodium Ion Battery Market Companies

• Altris, a private company, raised USD 13.5 million in Series B1 funding and welcomed new strategic investors, including Clarios and Maersk Growth. The Organization attempts to innovate the sodium ion battery technology with non-depleting resources such as sodium and iron. This strategy lessens dependency on costly and limited resources such as cobalt and lithium, which are commonly used in lithium-ion batteries.
   
• SVOLT, a new participant in the market of battery manufacturing, stated that its revenue in 2022 was approximately USD 500 million. The company intends to enhance the sodium ion battery technology by utilizing easily available renewable sources such as iron and sodium. This strategy decreases the over-dependency on expensive and scarce materials such as lithium and cobalt.
   

Eminent players operating in the energy storage sodium ion battery industry are:

• Altris
• CATL
• China BAK Battery
• Faradion Limited
• HiNa Battery Technology
• Li-FUN Technology
• Northvolt
• Natron Energy
• SVOLT
• Tiamat
   

Energy Storage Sodium Ion Battery Industry News

• In December 2024, during the company's annual Eco Day event, the Chinese energy storage company Hithium showcased a 6.25 MWh lithium-ion battery energy storage system, a sodium ion utility-scaled battery, and a modular home microgrid, all newly designed products.
   
• In August 2023, Li-Fun Technology Co., Ltd., in collaboration with other firms, deployed its first Prussian blue sodium ion battery energy storage demonstration project. A company representative noted that sodium ion cathode materials typically include layered transition metal oxides, polyanionic compounds, and Prussian blue types. Among these, Prussian, blue-based batteries stand out for their lower cost, higher capacity, and enhanced rate performance, indicating strong promise for future large-scale energy storage use.
   

This energy storage sodium ion battery market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in “USD Million” from 2021 to 2034, for the following segments:

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Market, By Type

• Sodium sulfur battery
• Sodium salt battery
• Sodium air battery 

Market, By Technology

• Aqueous
• Non aqueous

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • France
  • UK
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
• Rest of World