Japan pushes for all-solid-state battery commercialization by 2030 amid rising competition
- Japan plans to commercialize all-solid-state batteries by 2030, supported by significant funding and research initiatives.
- The Ministry of Economy, Trade and Industry (METI) has allocated a maximum subsidy of about US$660 million for four major R&D projects.
- This effort aims to help Japan regain dominance in the battery market amidst growing competition from China and South Korea.
In January 2025, the Japanese government made a significant move to advance the commercialization of all-solid-state batteries (ASSB), aiming for market introduction by 2030. This initiative follows a series of expansions in research and development funding over recent years, driven by Japan's prior success in the battery sector. The Ministry of Economy, Trade and Industry (METI) announced the 'Battery Supply Assurance Program' in March 2024, which facilitates a sizable subsidy to strengthen the local electric vehicle industry chain and enhance ASSB technology. Consequently, four major R&D projects received confirmation for funding, including initiatives from leading companies such as Toyota and Idemitsu, emphasizing the focus on future battery technologies. The competitive landscape is rapidly evolving, with Japan competing against Chinese and South Korean manufacturers, who have significantly increased their market shares in the battery sector. Historically, Japan dominated the global market for conventional lithium batteries; however, the share has now dwindled to below 6% in automotive lithium batteries due to the aggressive advancements made by its rivals. By dedicating substantial resources towards ASSB technology, Japan seeks to reclaim its leading position in the battery market. While Japanese manufacturers are currently poised to adopt ASSB primarily in electric vehicles, their margin over competitors is razor-thin. This ambitious venture underscores the complex interplay of innovation, global competition, and strategic national interests influencing the future of battery technology.