Two-Wheeler Battery Swapping Sodium Battery's Lucrative Market

Dec 21, 2023 Solar panels

Two-Wheeler Battery Swapping: Sodium Battery’s Lucrative Market

2023 brings remarkable strides in sodium battery applications, particularly in the electric two-wheeler sector. Huana Xinneng fulfilled an order supplying 100 sets of sodium battery packs to Kedar New Energy, marking a significant step. In the four-wheeler realm, Chery and JMC (Jiangling Motors) introduced two models featuring sodium-ion batteries, part of the latest vehicle announcements.

The burgeoning demand for two-wheeled electric vehicles, spurred by China’s express delivery and takeaway industries, has propelled the need for battery swap solutions. Bolstered by favorable policies, this industry witnessed substantial growth. Statistics from 2021 reveal a demand for 540,000 battery swap cabinets, valuing the market at approximately 18.06 billion RMB.

Forecasts predict a surge in battery swap cabinet demand, hitting around 2.63 million units in 2023 and projecting an increase to 8.7 million units by 2025. Experts anticipate the two-wheeler battery swap service market to reach a market volume in the tens of billions.

Pioneering companies like TOWER ENERGY, Zhizu Swap, Yugu Technology, e SWAP, DUDU SWAP, and TYCORUN have made headway in this field. By 2022, TOWER ENERGY had operationalized 57,000 battery swap cabinets with 902,000 users, generating a substantial revenue of RMB 1.8 billion from the battery swapping business.

Yugu Technology, with 20,500 battery swap cabinets and 291,700 users, aims to list on the Shenzhen GEM. DUDU SWAP secured a 50 million A round of financing, attracting investors like XINGHENG POWER.

Sodium batteries emerge as the forerunner in the battery swapping market for two-wheeled vehicles, trumping the conventional lithium batteries. Their advantages in safety, rapid charging, and excellent temperature performance make them a superior choice. Sodium batteries boast low chances of dendrites, ensuring safety even under severe conditions like overcharging, over-discharging, and short-circuiting.

With prices expected to reduce further next year, sodium batteries are predicted to outmatch lithium iron phosphate batteries in terms of competitiveness. In 2020-2022, battery swapping station costs for swappable batteries were approximately 0.5-0.7 RMB/Wh, aligning with the current sodium battery price range, hinting at further price drops.

Several key players, including CHINA TOWER, Chunteng MOSS, and DUDU SWAP, have directed their focus toward sodium battery layout in the two-wheeled vehicle battery swap sector. Notably, research and development efforts by MoNa Technology have led to the successful delivery of sodium-ion battery-equipped packs for two-wheeled vehicles.

The future beckons a promising era for sodium batteries in the two-wheeled power swap market, with increased maturity in products and more competitive pricing poised to revolutionize green travel options.