BYD has signed a 10 billion yuan (nearly R$7 billion) deal to build the world’s largest sodium-ion battery factory in Xuzhou, eastern China.
- The contract was signed between Findreams Battery, BYD’s battery subsidiary, and Chinese electric tricycle maker Huaihai Group, according to information House.
- The new chemistry is one of the auto industry’s promises to finally make electric cars more affordable, including microcars and scooters.
- Xuzhou will become a major production hub with an estimated capacity of 30 GWh per year at BYD’s new factory.
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Advantages of sodium battery
Despite having a lower energy density than lithium batteries (LFP), the sodium battery also has its advantages, such as longer life, support for charging at higher speeds and, most importantly, lower production costs.
As a result, the novelty is already seen by many car manufacturers as a viable alternative to offering cheaper electric cars that do not need as much autonomy per charge.
In the electric car market, sodium batteries should appear first in entry-level models to keep prices even lower. Rumors suggest that the BYD Seagull should be the automaker’s first car with the new feature, which has yet to be officially confirmed.
BYD will also build a factory in Europe
BYD has also made it clear that it will expand its presence in the global market. One of the strategies of the Chinese brand is to build a factory in Europe.
The information was published by a German newspaper citing sources close to BYD. Learn more about the new feature here.
It is worth recalling that the company has invested heavily in the Brazilian market with new facilities in Camaçari, Bahia.