Solid-State Batteries & Energy Storage

Solid-state batteries and energy storage cover two linked stories. Solid-state batteries (SSB) are a next-generation EV cell that swaps the liquid electrolyte for a solid one for higher energy density and safety, while battery energy storage systems (ESS) store power for the grid. Korea’s cell makers anchor the solid-state race, and grid storage is scaling fast on renewables and AI.

CategoryThematic / Energy transition
Representative companies10
Last updated2026-06-04
Key takeaways
  • The theme links two stories: solid-state batteries (SSB) as the next-generation EV cell with higher energy density and better safety, and battery energy storage systems (ESS) that store electricity for the grid.
  • Korea's two cell makers anchor the SSB race: Samsung SDI targets mass production in 2027 at 900 Wh/L, while LG Energy Solution aims to commercialize all-solid-state EV cells by 2029. Most commercial timelines sit late-decade, so the technology is still pre-revenue.
  • ESS is the near-term cash story: BloombergNEF expects global storage capacity to reach roughly 2 TW (7.3 TWh) by 2035, about eight times the 2025 level, driven by renewables and AI data-center power demand.
  • Korean leaders include Samsung SDI and LG Energy Solution (cells), with materials and parts suppliers such as L&F, ISU Specialty Chemical, Posco Future M, Ecopro Materials, and Lotte Energy Materials around them.

What is the solid-state battery and ESS theme?

Two energy-storage stories sit under one roof here. The first is the solid-state battery, a cell that replaces the flammable liquid electrolyte in a conventional lithium-ion battery with a solid one. Done right, that means more energy in the same space and a lower fire risk, which is why carmakers treat it as the prize for the next EV generation. The second is the battery energy storage system, or ESS: racks of cells that store electricity and release it when the grid needs it. One is a bet on a technology that is still being commercialized; the other is already shipping at scale.

Why is energy storage growing so fast?

The near-term money is in grid storage, and the demand is structural. Wind and solar produce power on their own schedule, so grids need somewhere to park it, and the cheapest place is increasingly a battery. BloombergNEF expects global energy storage capacity to reach about 2 terawatts (7.3 TWh) by 2035, roughly eight times the level in 2025 (BloombergNEF). A second driver is now AI. The International Energy Agency projects data-center electricity use to roughly double from 485 TWh in 2025 to about 950 TWh in 2030, with AI-focused demand tripling, which is pulling batteries onto sites and grids to handle the swings (International Energy Agency).

Energy storage installations globally will keep gaining momentum over the next decade as other markets pick up pace.

— Isshu Kikuma, Senior Associate for Energy Storage, BloombergNEF

How real is the solid-state battery, and when does it arrive?

Solid-state is the headline, but the honest answer on timing is “late this decade.” Samsung SDI runs a solid-state pilot line (its 6,500-square-meter “S-Line” in Suwon) and targets mass production in 2027 at an energy density of 900 Wh/L, about 40% above its current prismatic cells (Samsung SDI). LG Energy Solution is on a slower path, aiming to commercialize graphite-based all-solid-state EV cells by 2029 and anode-free cells for robots by 2030 (Seoul Economic Daily). These are targets, not shipments, and battery roadmaps slip, so the theme’s cash flows today come from conventional cells and ESS, not solid-state.

How big is the prize?

For storage, the GWh numbers above are the prize, and they are already turning into contracts. LG Energy Solution’s ESS order backlog reached 140 GWh at the end of 2025, and the company is targeting another 90 GWh of new orders in 2026, much of it from US utilities (Energy-Storage.news). In March 2026 it signed a $4.3 billion deal to supply Tesla with LFP cells for Megapack storage systems (Energy-Storage.news). For solid-state, forecasts are wide and early: one industry estimate puts the global solid-state battery market at about $56 billion by 2035 from roughly $1.1 billion in 2024, though competing forecasts land nearer $28 billion, a spread that reflects how unsettled the technology still is (PR Newswire).

Who should consider it?

This theme fits an investor who wants the energy transition through a near-term cash business with long-dated optionality, not a pure pre-revenue bet. The grid-storage half is already shipping and contracted: LG Energy Solution’s ESS order backlog reached 140 GWh at the end of 2025, with a target of 90 GWh of new orders in 2026 (Energy-Storage.news), against a market BloombergNEF expects to grow roughly eightfold to about 2 TW (7.3 TWh) by 2035 (BloombergNEF). The solid-state half is the call option: Samsung SDI targets mass production in 2027 at 900 Wh/L, about 40% above its current prismatic cells (Samsung SDI). You get profitable cell makers today plus a free look at next-generation chemistry.

On sizing, treat this as a small, long-horizon satellite, not a core holding. The solid-state revenue is years out and the dates are targets, not shipments, so today’s cash flows lean on conventional cells and ESS. The names are also cyclical and the storage backlog is not guaranteed: LG Energy Solution scrapped a $2.8 billion US supply contract in December 2025 (KED Global). This is the wrong place for anyone who needs steady income, cannot stomach deep EV-driven drawdowns, or is chasing an imminent solid-state rollout, since most commercial timelines sit late this decade.

Which Korean companies lead solid-state and ESS?

CompanySectorWhat it does
Samsung SDI (006400) Battery · Cell Manufacturer Makes lithium-ion cells for EVs, IT devices, and energy storage, and runs a pilot line for all-solid-state batteries with mass production targeted in 2027.
LG Energy Solution (373220) Battery · Cell Manufacturer Supplies EV pouch cells and grid energy storage systems worldwide, and is developing dry-electrode and all-solid-state cells for EVs and robotics later this decade.
L&F (066970) Battery · Cathode Materials Develops and sells high-nickel cathode active materials used in EV and energy-storage lithium-ion cells, a key input that sets a cell's energy density.
ISU Specialty Chemical (457190) Battery · Solid-State Materials Fine-chemicals maker that produces all-solid-state battery materials, including solid-electrolyte precursors central to next-generation cell chemistry.
Posco Future M (003670) Battery · Cathode & Anode Materials Produces cathode and anode active materials for secondary batteries through its energy-materials segment, alongside its refractory and lime businesses.
Ecopro Materials (450080) Battery · Precursor Materials Makes nickel-based precursor materials for cathodes used in EV, e-bike, and energy-storage cells, and runs battery-recycling operations.
Lotte Energy Materials (020150) Battery · Copper Foil Produces thin elecfoil (copper foil) that forms the anode current collector inside lithium-ion EV and storage batteries.
HanJung NCS (107640) Energy Storage · ESS Parts Supplies energy-storage-system parts such as cell spacers, battery modules, and busbar assemblies, plus EV battery modules and portable ESS units.
Shinsung ST (416180) Energy Storage · EV & ESS Parts Manufactures parts for EV batteries and energy-storage systems, alongside cooling parts and semiconductor components.
LS Materials (417200) Energy Storage · Ultracapacitors Provides energy-storage cells and modules, including ultracapacitors used in power grids, renewables, and transportation.

The two anchors are the cell makers, Samsung SDI and LG Energy Solution, and around them sits a supply chain of materials and parts. L&F supplies high-nickel cathode material, ISU Specialty Chemical makes solid-electrolyte materials for all-solid-state cells, and Posco Future M, Ecopro Materials, and Lotte Energy Materials supply cathode, precursor, and copper-foil inputs. On the storage side, parts makers such as HanJung NCS, Shinsung ST, and LS Materials build the modules and components that go into ESS installations.

What are the risks?

This theme mixes a pre-commercial technology with a cyclical industry, so the risks cut both ways.

  • Timeline risk. Solid-state is not yet mass-produced, and 2027 to 2030 targets can slip; the technology may cost more or take longer than promised.
  • EV cyclicality. The cell makers ride EV demand, pricing, and subsidy policy, which have all been volatile.
  • Contract cancellation. ESS orders are not guaranteed: LG Energy Solution scrapped a $2.8 billion US contract in December 2025 (KED Global).
  • Chinese competition. Low-cost Chinese cell and LFP makers pressure margins across both EV and storage.

Related concepts, securities & terms

Related indices & ETFs

Frequently asked questions about solid-state batteries and ESS

What is the solid-state battery and ESS theme?

It is investing in two linked energy-storage stories: solid-state batteries (SSB), a next-generation EV cell that swaps the liquid electrolyte for a solid one for higher energy density and better safety, and battery energy storage systems (ESS) that store electricity for the grid. The grid-storage side is scaling fast: BloombergNEF expects global storage capacity to reach about 2 TW (7.3 TWh) by 2035, roughly eight times the 2025 level (BloombergNEF).

When will solid-state batteries be mass-produced?

Most commercial timelines fall late this decade, so be cautious about claims of an imminent rollout. Samsung SDI targets mass production of all-solid-state batteries in 2027 at an energy density of 900 Wh/L (electrive), while LG Energy Solution aims to commercialize graphite-based all-solid-state EV cells by 2029 and anode-free cells for robots by 2030 (Seoul Economic Daily).

What is a battery energy storage system (ESS)?

A battery energy storage system (ESS) is a grid-scale or behind-the-meter installation of battery cells, inverters, and controls that stores electricity and discharges it when needed, smoothing renewable output and meeting peak demand. The market is booming: BloombergNEF projects global storage capacity rising about eight times to 2 TW (7.3 TWh) by 2035 (BloombergNEF).

Which Korean battery stocks lead solid-state and ESS?

The two anchors are Samsung SDI (006400), running a solid-state pilot line for 2027 mass production (Samsung SDI), and LG Energy Solution (373220), whose ESS order backlog reached 140 GWh at the end of 2025 with a 90 GWh new-order target for 2026 (Energy-Storage.news). Materials and parts suppliers include L&F, ISU Specialty Chemical, Posco Future M, Ecopro Materials, and Lotte Energy Materials.

What are the risks of solid-state and ESS stocks?

Solid-state is still pre-commercial, and targets have a history of slipping, so the technology may take longer or cost more than hoped. The cell makers are cyclical and exposed to EV demand, raw-material prices, and intense Chinese competition. ESS contracts can also be cancelled: LG Energy Solution scrapped a $2.8 billion US supply contract in December 2025 (KED Global).

Is there an ETF for the solid-state battery and ESS theme?

There is no licensed tracking ETF for the Akros Korea Solid-State Battery ESS index; it is available through Koscom realtime data only. The index covers South Korean companies tied to solid-state battery manufacturing and energy storage systems, a market where BloombergNEF sees global storage capacity rising about eight times to 2 TW by 2035 (BloombergNEF). Always check holdings and risk before investing.

How much should a long-term investor allocate to the solid-state and ESS theme?

Size it as a small, long-horizon satellite, because today's cash flows lean on conventional cells and grid storage while the solid-state payoff is years out: Samsung SDI targets mass production only in 2027, and LG Energy Solution aims for 2029 (Seoul Economic Daily). A patient DIY investor who can hold through deep EV-driven drawdowns typically keeps a pre-commercial theme like this to a few percent of the portfolio, treating the next-generation cell roadmap as a free call option on top of profitable ESS demand.

Is the solid-state and ESS theme suitable for a conservative or income investor?

It is a poor fit for income or capital preservation. The cell makers are cyclical, pay little, and are exposed to EV demand, raw-material prices, and Chinese competition, and even the near-term ESS backlog is not guaranteed: LG Energy Solution scrapped a $2.8 billion US supply contract in December 2025 (KED Global). The growth case rests on grid storage scaling roughly eightfold to 2 TW by 2035 (BloombergNEF), but that is a long-dated, volatile bet, not a stable yield source.

How does an institutional allocator fit solid-state and ESS into an energy-transition sleeve?

As a concentrated thematic slice rather than a core holding, because the index is anchored on two cell makers, Samsung SDI and LG Energy Solution, which drives dispersion alongside EV cyclicality and uncertain solid-state economics. The structural pull is two-sided: a near-term storage business, with LG Energy Solution's ESS order backlog reaching 140 GWh at the end of 2025 and a 90 GWh new-order target for 2026 (Energy-Storage.news), plus longer-dated optionality on a 900 Wh/L solid-state roadmap (Samsung SDI). Allocators size for anchor-name concentration and the lack of a licensed tracking ETF.

Sources & references

  1. 900Wh/L All Solid Battery Becomes Reality · Samsung SDI, 2024-09-01
  2. Samsung SDI to start mass production of solid-state batteries in 2027 · electrive, 2024-03-05
  3. LG Energy Solution to Commercialize Solid-State EV Batteries by 2029 · Seoul Economic Daily, 2026-02-18
  4. Global Energy Storage Boom: Three Things to Know · BloombergNEF, 2025-09-01
  5. Global electricity demand is set to grow strongly to 2030 · International Energy Agency, 2026-02-14
  6. LG Energy Solution targets 90GWh of battery orders in US energy storage market in 2026 · Energy-Storage.news, 2026-01-20
  7. LG Energy Solution's US$4.3 billion agreement with Tesla and LFP manufacturing with GM · Energy-Storage.news, 2026-03-18
  8. LG Energy scraps $2.8 bn US contract in 2nd supply cancellation in December · KED Global, 2025-12-26