Samsung and Toyota are working on fundamentally new batteries for electric vehicles

Samsung and Toyota announce their work on new solid-state automotive batteries to be available in 2027.

Samsung’s SDI battery division has announced that it will begin mass production of solid-state batteries in 2027, and that the parts it will produce will have an energy density of 900 watt-hours per liter (Wh/L), a result that lithium-ion batteries are struggling to achieve.

Solid-state batteries are also more stable than lithium-ion batteries, which become less efficient over time and can also catch fire even after minor damage.

Samsung also claims that these batteries will be able to last up to 20 years with a lifespan and the ability to charge up to 80% in nine minutes.

If Samsung is able to produce its solid-state power supplies in sufficient quantities, it could boost the electric vehicle market by increasing the range.

Unfortunately, Samsung has not announced detailed specifications of what it will supply in 2027, saying only that it will vary production volumes depending on demand. Automakers are always cautious before introducing new technologies, so these batteries are unlikely to appear in cars in 2027.

Toyota, however, has more concrete plans for electric vehicle batteries. The Japanese giant has announced that it will absorb its 28-year-old electric battery joint venture with Panasonic.

For an undisclosed amount, Primearth EV Energy (PEVE) will become a subsidiary of Toyota from the end of March to “strengthen its capabilities in mass production of automotive batteries,” according to the Japanese automaker.

PEVE produces prismatic nickel-metal hydride (Ni-MH) and lithium-ion (Li-ion) batteries for hybrid electric vehicles (HEVs), including the Toyota Prius. The company is now also planning to start producing battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs).

Toyota said that the expansion of its product range will allow it to respond flexibly to battery demand and further improve the competitiveness of mass production.

PEVE will not be the only company backed by Toyota to produce batteries for BEVs and PHEVs, as Panasonic’s joint venture, Prime Planet Energy & Solutions (PPES), is already active in these markets.

Currently, Toyota is sourcing its BEV batteries from PPES and China’s CATL. Toyota is still spending money on the former. It has pledged to allocate USD 2.5 billion to expand the PPES battery plant in North Carolina in 2022.

Panasonic is also investing in PPES. Last summer, it liquidated its liquid crystal display business and invested in the PPES battery plant.

Four-year-old PPES is 49% owned by Panasonic HD and 51% by Toyota, while PEVE is 80.5% owned by Toyota and 19.5% by Panasonic.

Despite its long-term investment in PEVE and short-term investment in PPES, Toyota is perceived as a company that is slow to adopt electric vehicles. In 2023, the company even changed its CEO to gain access to more electric vehicles. Akio Toyoda was replaced by former Lexus executive Koji Sato.

Toyoda remains on Toyota’s board of directors and still claims that the electric vehicle segment will account for a maximum of 30% of the market.

Regardless of whether this is true or not, Samsung is betting big on batteries, both through the aforementioned statement and by buying part of a mine that produces materials for making batteries.