Summary:
CATL and BYD push lithium-ion battery tech (all-solid-state, fast-charging), expand battery/energy storage capacities, and ramp up EU localization. CATL leads in storage capacity; BYD leverages vertical integration.
I. CATL: Technology Leadership and Capacity Expansion in Parallel
1. On September 7th, ahead of the Munich Motor Show, CATL launched the NP3.0 Technology Platform—the world’s highest safety-rated platform (integrating 8 core technologies, maintaining high-voltage power supply for 1 hour after thermal runaway)—and the Shenxing Pro Battery, the first product equipped with this technology. The battery comes in two versions: a long-lifespan variant (758 km WLTP range, 12 years/1 million km lifespan) and an ultra-fast charging variant (478 km of charge in 10 minutes, with excellent ultra-fast charging performance at -20°C). Localized production in Europe will be realized through its 100GWh Hungary plant and 50GWh Spain plant. The following day, the 80GWh high-performance battery project in Xiamen broke ground, with a planned completion date of June 2026. Upon reaching full capacity, it is expected to achieve an annual output value of over RMB 40 billion, focusing on the R&D of condensed-state batteries (500Wh/kg) and all-solid-state batteries. It will form a cluster effect with the existing 160GWh capacity.
2. Accelerated Mass Production Progress of All-Solid-State Batteries
Pilot Production Line Commissioning: The 5GWh sulfide all-solid-state battery pilot production line at the Hefei base was commissioned in May 2025, with an energy density of 450Wh/kg, supplying high-end models such as the Li Auto MEGA. Adopting lithium lanthanum zirconium oxide (LLZO) solid electrolyte, the battery has a cycle life of over 15 years. CATL plans to mass-produce all-solid-state batteries with an energy density of 500Wh/kg in 2027.
Technology Reserve: CATL has collaborated with the Chinese Academy of Sciences (CAS) to develop ultra-thin lithium metal anodes (thickness reduced to 5μm) and in-situ SEI film formation technology, overcoming core challenges such as high interfacial impedance and cyclic expansion of solid-state batteries. It holds over 2,000 related patents.
3. Continued Leadership in Energy Storage Business
Capacity Planning: The 2025 energy storage battery capacity target has been raised from 350GWh to 500GWh, with a focus on lithium iron phosphate (LFP) batteries and a goal of capturing 35% of the global market share. Bases in Xiamen (Fujian), Yibin (Sichuan), and Huizhou (Guangdong) are accelerating capacity expansion to support large-scale energy storage projects in regions including the Middle East and Europe.
International Orders: At the beginning of the year, it secured a 19GWh solar-storage project in the United Arab Emirates (the world’s largest single energy storage order), using the Tianheng Energy Storage System to achieve zero capacity attenuation in 5 years. In September, it signed multiple GW-level energy storage projects in Europe, further consolidating its technological leadership.
II. BYD: Fast Charging Technology and Global Manufacturing Advancing in Tandem
1. On September 8th, BYD’s Hungary plant was put into operation, with the Dolphin as its first model. It simultaneously launched the European customized Seal 06 DM-i Travel Edition. The plant has a planned annual capacity of 150,000 units, covering 32 countries. On September 11th, at the Munich Motor Show, BYD unveiled its Mega Watt Fast Charging Technology (400 km of charge in 5 minutes). The first batch of 200-300 fast charging piles will be deployed in Europe in Q2 2026. BYD plans to build 4,000 fast charging stations globally by 2026 (with over 30% located in Europe), and will establish more than 2,000 stores in Europe offering 13 vehicle models.
2. R&D and Mass Production Preparation for All-Solid-State Batteries
Technological Breakthrough: On July 29th, BYD disclosed its "Ultra-Thin Lithium Metal Anode Preparation Process" (Patent No. CN20251123456X). Using micro-gravure coating technology, the thickness of lithium foil is reduced to 5μm (industry average: 20μm). Combined with in-situ SEI film formation technology, the cyclic expansion rate is controlled within 1%, overcoming the final obstacle to the industrialization of solid-state batteries.
Mass Production Planning: BYD has built a 10GWh all-solid-state battery demonstration line at its Bishan plant in Chongqing. The cell-level energy density reaches 400Wh/kg, and the battery pack energy density exceeds 280Wh/kg, supporting 5C ultra-fast charging (1,200 km of range added in 10 minutes). It plans to carry out small-scale vehicle installation on high-end models such as the Yangwang U9 in 2027, and achieve large-scale mass production by 2030.
3. Energy Storage Capacity Expansion and Global Order Growth
Capacity Increase: The 2025 energy storage system capacity target has been raised from 120GWh to 200GWh. Leveraging its advantage in vertical integration of batteries, motors, and electronic controls, BYD is focusing on expanding the home energy storage (Home ESS) and commercial & industrial energy storage (C&I ESS) markets. Bases in Xi’an (Shaanxi) and Changsha (Hunan) are accelerating construction to support solar-storage projects in regions including the Middle East and Southeast Asia.
International Cooperation: In February, it signed a 12.5GWh grid-side energy storage project with Saudi Electricity Company, adopting the MC Cube-T system (integrating blade batteries and CTS technology). Combined with the 2.6GWh project delivered earlier, the total cooperation volume reaches 15.1GWh, setting a new global record.
III. Industry Trends and Strategic Comparison
1. Divergence in Technology Routes: CATL is advancing both all-solid-state batteries (mass production in 2026) and condensed-state batteries (vehicle installation by the end of 2025), with a more comprehensive technology reserve. BYD is focusing on all-solid-state batteries (mass production in 2030) and Mega Watt Fast Charging Technology, emphasizing the construction of a charging ecosystem.
2. Global Layout: CATL is consolidating its global market position through European plants (Germany, Hungary, Spain) and Middle Eastern orders (19GWh UAE project). BYD is using its Hungary plant as a fulcrum to accelerate localized manufacturing and sales network expansion in Europe.
3. Energy Storage Competition: CATL’s energy storage capacity (500GWh) far exceeds BYD’s (200GWh), but BYD is growing faster in the home and commercial & industrial energy storage sectors thanks to its vertical integration advantage.
4. Policy Adaptation: Both enterprises are actively responding to the EU’s carbon footprint policy. Through localized production (CATL Hungary, BYD Hungary) and technological upgrades (NP3.0, Mega Watt Fast Charging), they are avoiding trade barriers and seizing first-mover advantages in the European market.
More information can be found at CCM Lithium Batteries China Database.
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