China Releases World's First National Standard for Solid-State Batteries, Over 320 Companies Face Elimination Pressure
Nashnova编辑部
China enforces the world's first national standards for automotive solid-state batteries on July 1, setting a hard threshold of ≤5% liquid electrolyte by mass; of 320-plus companies in the field, only a handful are expected to pass the full test suite, triggering a drastic industry shakeout.
What do these standards actually require?
Two documents take effect simultaneously: a recommended national standard (GB/T 43568-2026) that defines terminology and classification, and a mandatory safety standard (GB 38031-2025) that sets the market-entry floor.
The pivotal rule: liquid electrolyte must account for less than 5% of total mass for a battery to qualify as solid-state. This means → labels like "semi-solid" and "quasi-solid" lose their ambiguity — buyers and investors finally get a single, enforceable yardstick.
On the safety side, products must pass 18 extreme tests — nail penetration, crush, and a 1,300°C flame test — and companies must provide quantifiable technology-readiness metrics. In plain terms = a lab prototype is not enough; you must prove the product survives the worst-case scenario.
Out of 320-plus companies, how many survive?
Chinese media report that more than 320 companies are currently involved in solid-state battery R&D or sample production. Market estimates suggest only a tiny fraction can meet the full suite of technical, performance, and safety requirements.
Some reports, citing test data from the China Automotive Technology and Research Center (CATARC), put the number of companies likely to pass at roughly 9 — though no official list has been released. This means → even under the most optimistic reading, the elimination rate could exceed 97%.
This reflects an industry reality: many smaller players lack proprietary formulations and production lines. Making it in a lab does not prove a factory can deliver at scale with consistency and stable yield.
What path are Taiwanese companies taking?
Taiwan's solid-state battery sector is led by ProLogium Technology, which has partnered with Mercedes-Benz and began constructing a gigafactory in France in Q1 this year.
Formosa Plastics Energy, Foxconn, and Taiwan Cement are also advancing their own programs, but the overall approach is cautious and phased. This means → Taiwanese firms are not racing to be the first to mass-produce; instead, they are locking in overseas automaker partnerships before scaling volume.
In plain terms = the mainland uses national standards to eliminate the weak; Taiwan uses overseas alliances to build credibility — different paths, same endgame: who gets a stable product into a car first.
What does this mean for investors?
The new standards provide a relatively clear screening framework: which companies are closest to commercialization now has a quantifiable basis for judgment.
But the standards also expose the steep difficulty of the mass-production phase — passing the tests is only the starting line; stable yield rates and cost control are the real race.
This reflects a shift from "whose slide deck looks best" to "whose production line actually works." For investors, the concept-stock thesis is fading; engineering-verification capability is becoming the core valuation driver.
Content is for reference only, not financial advice.