Global Battery Industry Weekly: CATL and LG Secure Multi-Billion Orders

Overview

This Bernstein Battery Weekly reviews core developments in the global battery and new-energy-vehicle value chain as of April 30, 2026. The report covers the Americas, Asia, and Europe, presenting the latest trends through major commercial orders, technological breakthroughs, corporate financing, and supply-chain dynamics. It also includes detailed commodity price charts and valuation data for key players across the battery ecosystem, assigning Outperform ratings to core names such as CATL, Sungrow Power Supply, and Tianqi Lithium.

Core views

Major Orders and Partnerships: LG New Energy is nearing a 10-year, approximately $7.3 billion (about KRW 10 trillion) battery supply deal with BMW, which will equip BMW’s next-generation EV platform with 46-series cylindrical cells, primarily produced at its Arizona plant. This brings LG New Energy’s total order backlog to over 440 GWh. Meanwhile, Hyundai Motor has deepened its collaboration with CATL, which will supply batteries for Hyundai’s EVs, PHEVs, and EREVs in China and overseas, supporting Hyundai’s goal of selling 500,000 units annually in China by 2030. Technological Breakthroughs and Product Iterations: CATL has partnered with energy-storage firm HyperStrong to deliver 60 GWh of sodium-ion batteries over three years, marking the world’s largest sodium-ion battery order. Sodium-ion technology is accelerating commercialization in energy storage and is set to debut in vehicles in 2026. BYD has launched the Han EV Flash-Charge Edition, priced from RMB 179,800, featuring second-generation blade batteries that charge from 10% to 97% in just 9 minutes and retain performance down to −30°C, with a maximum range of 705 km. Additionally, Tesla Semi electric trucks have entered mass production, offering up to 500 miles of range at a price of $260,000 to $290,000, with commercial deployment expected in 2026. Business Models and Financing Innovations: NIO’s battery asset-management subsidiary, Mirattery, has issued RMB 1 billion in green ABNs (asset-backed medium-term notes)—its second issuance in 2026, with coupon rates ranging from 2.0% to 5.5%, bringing its cumulative issuance to RMB 4 billion to support its battery-as-a-service model serving over 610,000 users. Hyundai Motor is piloting a battery subscription program in South Korea, starting with the Ioniq 5 taxi, decoupling battery ownership from vehicle purchase to lower upfront costs and alleviate range anxiety. Supply-Chain Penetration and Cutting-Edge Tech: Chinese battery-equipment firms are rapidly expanding into the Korean supply chain, with SK On ordering stacking equipment from China’s Winbond Technology and LG New Energy and Samsung SDI adopting Chinese machinery, driven by cost advantages and technological improvements. In Europe, Chinese energy-storage provider Cubenergy has deployed and commissioned a 40 MW/120 MWh system in the Czech Republic to stabilize the grid. On the fundamental-research front, the Max Planck Institute has elucidated the formation mechanism of lithium dendrites in solid-state batteries, attributing it to mechanical stress and electron leakage, offering new insights for addressing short-circuit risks.

Analysis framework

This weekly report employs an event-driven, full-value-chain data-tracking methodology. It organizes major industry news by geographic region, integrating qualitative information—such as partnerships, breakthroughs, and financing—with quantitative market data. In valuation and pricing tracking, the report establishes a cost-transmission framework spanning upstream metal prices, midstream battery-material costs, and downstream cell/pack prices, while conducting cross-sectional comparisons of valuation multiples and stock-performance among global cell manufacturers, lithium miners, cathode/anode suppliers, separators, electrolyte makers, and equipment producers, to capture marginal shifts in sectoral conditions and investment opportunities.

Methodology notes

• Industry Analysis FrameworkUpstream-Midstream-Downstream Transmission

  Battery Value-Chain Price Transmission Tracking

  The report tracks upstream metal prices (e.g., lithium carbonate, lithium hydroxide, cobalt, nickel) to midstream component costs (cathodes, anodes, separators, electrolytes), then translates these into downstream cell and pack costs, observing profit pressures and transmission effects across the chain. This helps investors understand how raw-material volatility impacts battery manufacturers’ gross margins.

• Valuation MethodPE/PEG valuation

  Cross-Sectional Valuation Benchmarking of the Global Battery Ecosystem

  The report aggregates the market capitalizations, PE ratios, and EV/EBITDA multiples of nearly 50 companies across the battery value chain, comparing valuation levels and one-year performance changes across segments (cells, lithium mining, materials, equipment, etc.) to help readers quickly identify over- or undervalued areas and seize relative-value opportunities.

Asset mapping & comparison

Structured mapping from thesis to named assets (strengths, weaknesses, peers, risks).

• CATL (Contemporary Amperex Technology Co. Limited, 300750.CH)

  Benefits from booming energy-storage demand, sodium-ion commercialization, and deepening ties with Hyundai Motor

  Strengths

  Secured the world’s largest sodium-ion battery order; strengthened global partnerships with Hyundai; holds an Outperform rating

  Comparison

  Among battery makers, CATL’s 26E P/E stands at 20.9x, lower than Korean peers LGES (323.9x) and Samsung SDI (207.5x)

• LG New Energy (LG Energy Solution, 373220.KS)

  Poised to clinch a massive battery-supply deal with BMW, with an order backlog exceeding 440 GWh

  Strengths

  Landed a substantial long-term contract underpinning future revenue; ESS business boosted Q1 earnings

  Weaknesses

  Incurred a Q1 operating loss of KRW 20.78 billion; profitability remains a challenge; holds only an In Line rating

  Comparison

  Its 26E P/E of 323.9x far exceeds CATL’s, suggesting a relatively high valuation

  Risks

  Slowing global EV demand; unresolved profitability issues

• BYD (Build Your Dreams)

  Reaps benefits from the rollout of second-generation blade batteries and flash-charging tech

  Strengths

  Han EV Flash-Charge Edition achieves near-instant charging and maintains performance at −30°C—remarkable technological advances

Key data

• Spot Price of Lithium CarbonateUSD 25,222 per tonneUp 2% week-on-week, up 173% year-on-year
• Spot Cost of LFP CellsUSD 62 per kWhNo change week-on-week, up 17% year-on-year
• Amount of LG New Energy’s Deal with BMWApproximately USD 7.3 billionA 10-year supply agreement using 46-series cylindrical cells
• CATL’s Sodium-Ion Battery Order60 GWhA three-year supply deal—the world’s largest sodium-ion battery order
• Starting Price of BYD Han EV Flash-Charge EditionRMB 179,800Charges from 10% to 97% in just 9 minutes, with a maximum range of 705 km
• Size of Mirattery’s Green ABN IssuanceRMB 1 billionCoupon rates 2.0% to 5.5%, with cumulative issuance reaching RMB 4 billion
• CATL’s Target Price and Implied Upside620 yuan / +52.3%Holds an Outperform rating

Impact & implications

This week’s events highlight several key trends in the battery sector: first, surging demand for energy storage systems (ESS) is driving order growth for leaders like CATL and providing a crucial growth engine for Korean battery makers amid slowing EV demand; second, sodium-ion battery technology is entering large-scale commercialization, potentially reshaping future cost structures; third, Chinese battery-industry players continue to expand their global footprint, from exporting equipment to deploying energy-storage systems in Europe, steadily elevating China’s position in the supply chain.