The start-ups hoping to return battery making to the US

by | Oct 15, 2026 | Business

The start-ups hoping to return battery making to the US

Several US-based battery startups are working to establish sodium ion battery production domestically, a technology that offers potential cost and safety advantages over traditional lithium ion batteries. San Diego-based Unigrid has reported increased demand from European customers seeking to store renewable power during peak heat waves, with plans to ship 1,000 units before year’s end. The company produces nine kilowatt hour residential batteries using sodium ion cells currently sourced from China, though executives indicate potential future sourcing from US manufacturers.

Sodium ion batteries represent an emerging technology that could be manufactured more cheaply and safely than lithium ion alternatives, with performance in broader temperature ranges. However, questions persist regarding optimal cathode material design and chemistry formulation. Unigrid’s use of chromium-3 in its cathode has drawn scrutiny from some battery experts who note the theoretical possibility of conversion to chromium-6, a toxic substance, though the company states third-party testing has not produced this outcome and certifications have been achieved in Europe.

Market conditions favor US expansion in this sector. Current pricing for Unigrid’s sodium ion batteries stands near $100 per kilowatt hour, compared to approximately $81 for competing lithium technologies, though some industry projections suggest prices could eventually decline significantly. Additional startups including Seattle-based Emerald Battery Labs and California-Colorado’s Peak Energy are pursuing similar strategies, with Peak Energy announcing a partnership with General Motors to develop US production capacity by the end of 2028. Analysts expect sodium ion technology to serve larger grid storage applications rather than portable devices, positioning these startups to capture market share as electricity demand from data centers and other sources continues rising.

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