The South Korean government plans to establish approximately 400 billion won (about $3 billion) in research and development (R&D) focused on sodium and solid-state batteries to regain its leadership in the global battery market. The private sector is also set to invest around 8 trillion won by 2030 in process innovation and domestic material production.
On September 22, the Ministry of Trade, Industry and Energy announced the 'Battery Industry Technology Roadmap' during a meeting with industry representatives at the Korea Chamber of Commerce and Industry in Seoul.
The global battery market is undergoing rapid changes due to a slowdown in electric vehicle growth, a retreat from support policies in major countries, intensified cost competition, and supply chain restructuring driven by nationalism. China is expanding its market share with lithium iron phosphate (LFP) batteries while accelerating the commercialization of next-generation technologies like sodium and solid-state batteries.
In response, the South Korean government and domestic battery industry have decided to shift their focus from the existing high-nickel (NCM) strategy to sodium and solid-state batteries, inter-company collaboration, and cost reduction. The aim is to broaden the technology strategy, which has been heavily focused on high-performance batteries, to include both affordable and next-generation high-performance markets, thereby securing competitiveness in both price and technology.
The government will prioritize the commercialization of sodium batteries, which are cheaper than lithium and pose less supply chain risk. The plan is to develop a battery with an energy density of 160 Wh/kg by 2027 and complete the development of a 220 Wh/kg battery by 2030, followed by full-scale commercialization.
For high-performance solid-state batteries, the goal is to launch the world's first prototype by 2027. By 2028, the development of a 400 Wh/kg battery is expected to be completed, with full-scale commercialization aimed for 2030 to target new industries such as robotics, drones, and urban air mobility (UAM).
R&D collaboration among companies will also be strengthened. A joint research environment will be created in non-competitive areas among the three major cell manufacturers, and projects will be initiated where material companies' products are tested and purchased by cell manufacturers. An information feedback system will be established to utilize battery management system (BMS) data from finished vehicles in battery development.
To enhance price competitiveness, the government will introduce a production tax credit to promote domestic production starting in 2027 and encourage the establishment of a circular battery ecosystem in response to environmental regulations from the European Union (EU). From 2026 to 2030, private companies will invest approximately 8 trillion won in R&D and facility investments focused on process innovation, low-cost material development, and domestic production of key imported materials.
Lee Min-woo, head of the Ministry's Industrial Growth Office, stated, "To respond to the price-driven restructuring of the global market and increasing supply chain uncertainties, the public and private sectors must unite to implement a strategy of selection and concentration. We will provide comprehensive support through large-scale R&D funding and institutional incentives to ensure that K-batteries can reclaim their leadership in the global market."
* This article has been translated by AI.
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