【2025 Guide】Analysis of the Solid-State Battery Industry Chain

Solid-state batteries replace flammable liquid electrolytes with solid electrolytes, fundamentally addressing battery safety concerns. However, the industrialization of solid-state batteries still faces multiple challenges including interfacial impedance, material costs, and process maturity.

The core advantage of solid-state batteries lies in a qualitative leap in safety. Traditional liquid electrolytes are flammable and explosive, whereas solid electrolytes exhibit significantly superior thermal and electrochemical stability compared to liquid electrolytes, fundamentally reducing the risk of thermal runaway in batteries.

It is important to note that, under identical cathode and anode material systems, the energy density of solid-state batteries does not theoretically surpass that of liquid batteries. Lithium-ion transport rates in solid electrolytes are substantially slower than in liquid environments—comparable to swimming in water versus traversing sand.

Solid-state batteries currently touted as achieving both high energy density and superior fast-charging capabilities still face significant engineering challenges.

I. Three Major Technical Routes for Solid-State Batteries

The technical development of all-solid-state batteries primarily revolves around solid electrolyte materials, with three main routes currently emerging: sulfide, oxide, and polymer.

Sulfide electrolytes are regarded as the most promising long-term direction. They exhibit the highest ionic conductivity at room temperature (>10⁻³ S/cm), approaching the level of liquid electrolytes, while also offering good mechanical properties and fewer interface compatibility issues.

However, the sulfide route faces challenges including high costs (raw material lithium sulfide priced at 3-5 million RMB/ton), complex processing (requiring oxygen-free environments), and interface stability issues.

Oxide electrolytes present the clearest near-to-medium-term industrialization prospects. They exhibit relatively high technical maturity, controllable costs (material cost per ton approximately 46,500 RMB), and good compatibility with existing production lines.

The oxide electrolyte route excels in thermal stability and electrochemical window performance, offering overall balanced characteristics. Companies like Qingtao Energy and Shanghai Xiba are active in this field.

Polymer electrolytes possess advantages in processability and interface compatibility. However, their low conductivity remains a critical limitation. Even with material modification and high-temperature operation, their ionic conductivity can only reach 10⁻⁴ S/cm, severely restricting commercial application.

II. Key Links in the Industrial Chain and Representative Enterprises

Solid Electrolytes and Key Materials

In the field of oxide electrolytes, Shanghai Xiba is one of the few companies globally achieving mass production (ton-scale) of LLZO oxide electrolytes with a yield rate exceeding 98%. It has become the exclusive supplier for BYD’s Blade solid-state battery project.

Sanxiang New Materials and Dongfang Zirconium focus on zirconia-related materials. Dongfang Zirconium is the world’s largest supplier of zirconia for solid-state batteries, commanding over 50% market share.

In sulfide electrolytes, Tinci Materials has established a full-line portfolio covering sulfide/oxide/polymer electrolytes, with its sulfide electrolyte currently in pilot-scale production. Huasheng Lithium Battery produces high-purity lithium sulfide via liquid-phase synthesis, achieving ionic conductivity of 5.57 mS/cm.

Cathode Materials

Solid-state batteries predominantly utilize high-nickel ternary materials. Rongke Technology leads globally in high-nickel ternary materials, while Dangsheng Technology holds technical advantages in lithium-rich manganese-based materials.

Dangsheng Technology remains China’s sole mass producer of ultra-high-nickel single-crystal cathode materials (Ni ≥ 95%), which are particularly suited to the interface requirements of all-solid-state batteries.

Anode Materials

Silicon-based anodes, with their high specific capacity (exceeding 2000 mAh/g), have become a key focus for solid-state battery anode development.

BTR’s silicon-carbon anode achieves a specific capacity exceeding 2000 mAh/g, while Xiangfenghua’s lithium metal anode interface modification technology has been breakthrough, extending cycle life to 800 cycles.

Lithium metal anodes represent a long-term direction. Ganfeng Lithium has mass-produced 400 Wh/kg semi-solid products, which have been installed in Dongfeng E70 vehicles with over 500,000 kilometers of operational mileage.

Battery Manufacturing Equipment

Solid-state battery production processes differ significantly from traditional lithium-ion batteries, requiring specialized equipment.

Lead Intelligent is the world’s sole provider of complete solid-state battery production line solutions (coating-hot pressing-encapsulation), holding over 70% market share and securing production line orders from CATL and BYD.

Lihuanheng’s sulfide-based full-line equipment won the Gaogong Lithium Battery Innovation Pioneer Award, with mass production lines potentially delivered to leading domestic clients by 2025. Lianying Laser supplies laser welding equipment to Qingtao Power and Weilan, securing solid-state battery orders exceeding 100 million yuan.

III. Solid-State Battery Manufacturers and Industrialization Progress

CATL is the world’s only company achieving dual mass production of sulfide-based all-solid-state batteries and condensed-state batteries (semi-solid-state), with nearly 40,000 cumulative patents. The company plans to achieve small-scale mass production of all-solid-state batteries by 2027 and large-scale commercialization by 2030.

BYD pursues a dual-track strategy of oxide and sulfide technologies, aiming to install sulfide solid-state batteries in 1,000 vehicles by 2027, while its oxide batteries are already in mass production.

Guoxuan High-Tech completed its first 0.2GWh all-solid-state pilot line in July 2025. Its “Golden Stone Battery” achieves 350Wh/kg energy density and has passed extreme safety tests including needle penetration and thermal box tests.

Qingtao Energy belongs to the current second-tier solid-state battery companies. Its first-generation semi-solid-state battery (368Wh/kg) has been installed in the IM L6.

IV. Technical Challenges and Industrialization Prospects

Solid-state battery industrialization still faces three major challenges: interfacial impedance, material costs, and process maturity. Contact issues at solid-solid interfaces result in high interfacial impedance and low ion transport efficiency, directly impacting the battery’s rate performance and cycle life.

Regarding costs, the sulfide route employs higher-priced raw materials, resulting in greater material expenses compared to other approaches. New EU regulations mandate that electric vehicles sold after 2030 must incorporate solid-state batteries or other high-energy-density batteries (energy density ≥400Wh/kg), providing policy impetus for industrialization.

The industry anticipates 2027-2028 as the inflection point for large-scale solid-state battery adoption. Semi-solid-state batteries will enter mass vehicle production in 2025-2026 (NIO, IM Motors, etc.), sulfur-based all-solid-state batteries will achieve small-scale production in 2027 (CATL, Toyota), and full-scale mass production of all-solid-state batteries is projected for 2030 (BYD, Guoxuan High-Tech).

Industrialization is accelerating: Guoxuan High-Tech’s 0.2GWh all-solid-state pilot line achieved a 90% yield rate; CATL’s solid-state battery test vehicle developed with BMW entered real-world road testing in July 2025; BYD’s first Seal EV test vehicle equipped with an all-solid-state battery completed 1,300 kilometers of actual road testing.

The coming years will be pivotal: 2027 is viewed as a critical milestone for mass production and vehicle integration of solid-state batteries. Global shipments are projected to reach 614GWh by 2030, with a compound annual growth rate exceeding 80% from 2024 to 2030.

Commercial adoption of solid-state batteries will first gain traction in consumer electronics, gradually expanding into electric vehicles, eVTOLs, and robotics.