As 2025 begins, the global power battery industry has reached a historic turning point—CATL has announced that its mass production line for solid-state batteries has officially entered the trial production stage, while Toyota plans to install solid-state batteries in vehicles by 2027. This technological revolution could not only push EV range beyond 1,000 kilometers but also potentially bring an end to the era of internal combustion vehicles.

CATL

In January 2025, CATL announced that its newly developed condensed-state battery has achieved an energy density breakthrough of over 500Wh/kg—far exceeding the current mainstream lithium iron phosphate batteries (160Wh/kg). It also boasts a cycle life of over 2,000 cycles and a 30% cost reduction compared to 2024. The first solid-state battery trial production line has been launched in Ningde, Fujian, with plans to implement vehicle installations by 2026. The first model to feature this battery will be the Zeekr flagship sedan.

However, despite significant technological progress, the high cost of solid-state batteries remains a challenge. Currently, production costs reach 1,500 RMB/kWh (approximately $207/kWh), which is still high compared to liquid-state batteries at 600 RMB/kWh (approximately $83/kWh). CATL plans to cut costs by 50% within the next three years to achieve commercial viability.

Toyota

Toyota has traditionally taken a conservative approach in the new energy sector, relying primarily on hybrid technology to dominate the market. However, with breakthroughs in solid-state battery technology, Toyota has accelerated its shift toward pure electric vehicles. Recently, the company announced that it has moved up the mass production timeline for solid-state batteries from 2030 to 2027 and is partnering with Panasonic to develop low-cost manufacturing processes.

Toyota’s prototype solid-state battery currently achieves an energy density of 400Wh/kg and is expected to be first applied in Lexus EV models, aiming to reduce overall vehicle costs by 40%. In November 2024, the battery received certification from Japan’s Ministry of Economy, Trade, and Industry. Mass production is scheduled to begin in 2026, with the first commercial deployment in 2028.

If solid-state batteries achieve successful commercialization, EV range and costs will undergo a transformative shift. For instance, a Tesla Model 3 equipped with a 500Wh/kg battery could see its range increase from 606 km to 1,200 km, while its price could become comparable to a gasoline-powered Toyota Camry. Additionally, Toyota's sulfide-based solid-state battery technology enables a 10-minute charge to add 800 km of range. The company aims to reduce battery costs from the current $400/kWh to $150/kWh by 2028.

Although solid-state batteries theoretically offer higher energy density, faster charging speeds, and improved safety, large-scale production still faces significant challenges. Complex manufacturing processes, material cost control, and long-term stability issues must be gradually addressed in the coming years.

CATL, with its 500Wh/kg high-energy-density battery and earlier mass production timeline, appears to hold the lead in this race. Meanwhile, Toyota’s low-cost manufacturing strategy and fast-charging sulfide electrolyte battery show great market potential.

In the coming years, which company will be the first to break through cost barriers and achieve true commercialization of solid-state batteries? This technological competition will determine the landscape of the global EV industry and shape the future of transportation.