Battery packs reached a record low price. What LFP, NMC and sodium-ion mean for EV prices in 2026

What the latest survey measured

BloombergNEF's 2025 battery price survey, published on 9 December 2025, put the global average lithium-ion pack at $108/kWh. That was 8% lower than in 2024 and 93% below 2010. Packs for battery-electric vehicles averaged $99/kWh, the second year in a row below $100/kWh.^1,6

The survey covers several end uses, from different vehicle types to stationary storage, and each uses different cells and packs. Stationary storage became the cheapest segment at $70/kWh, down 45% in a year. A single headline figure therefore blends products a car buyer never sees.^1,6

Location matters as much as chemistry. China averaged $84/kWh, while packs in North America and Europe were 44% and 56% more expensive respectively. The IEA, using its own method, puts Chinese packs 30% below North America and 35% below Europe in 2025, a wider gap than in 2022.^1,2,6

LFP is now the majority chemistry

Lithium iron phosphate (LFP) accounted for more than 55% of EV batteries deployed worldwide in 2025, up from nearly 50% in 2024, according to the IEA. It powers about two-thirds of electric car sales in emerging and developing economies. The picture is different in the West: LFP stayed just above 10% of EU EV battery demand, and its share in the United States almost halved from a low base.²

The price gap is large. BloombergNEF averaged LFP packs at $81/kWh and nickel manganese cobalt (NMC) packs at $128/kWh across all segments. The IEA puts LFP packs more than 40% cheaper per kWh, but notes that part of the gap reflects stationary storage, where LFP makes up over 90% of installations and needs less energy density.^1,2,6

NMC keeps its place because it stores more energy per kilogram. The IEA gives the latest NMC cells up to 265 Wh/kg against up to 205 Wh/kg for LFP. Outside China, almost 80% of EV batteries in 2025 still used nickel-containing chemistries.²

2026 so far: metal prices pushed back

Battery metals rose in 2025, and BloombergNEF says the industry absorbed this through more LFP, long-term contracts and hedging. The IEA reports lithium prices at the start of 2026 more than double a year earlier, though still about 70% below the 2022 peak. Cobalt roughly doubled after the Democratic Republic of Congo imposed an export ban and then quotas.^1,2

Cell quotes followed. TrendForce reported average EV cell prices rising 1–3% a month through March 2026, with LFP cells at CNY 0.38/Wh against CNY 0.58–0.59/Wh for ternary (NMC-type) cells, and expected the second quarter to be stable with an upward bias.⁴

The pressure has since eased in part. Benchmark Mineral Intelligence assessed battery-grade lithium carbonate in China at RMB 127,750 per tonne at the end of September, down 20.8% over the third quarter, with hydroxide down 19.2%. BloombergNEF still expected pack prices to fall again in 2026; the size of any fall will not be known until its next survey.^1,5

Sodium-ion: real cells, small volumes

Sodium-ion avoids lithium altogether. The IEA puts the latest cells at up to 175 Wh/kg, says they keep about 90% of nominal capacity at −40°C, and estimates that an average SUV with a sodium-ion battery would manage up to 350 km against 400–600 km for lithium-ion. Sodium-ion manufacturing capacity is just over 1% of lithium-ion capacity, and announced projects reach about 7% of committed lithium-ion capacity by 2030.²

The most visible car is Changan's Qiyuan A06, sold as the Nevo A06 outside China. CATL and Changan showed a version with a 45 kWh sodium-ion pack in February 2026, claimed more than 400 km on China's CLTC cycle, and planned a market launch in mid-2026. The same car is already sold with LFP packs of 51.5 and 63.2 kWh rated at 510 and 620 km CLTC.^7,8

Charjin found no confirmed retail price or delivery figures for the sodium-ion version by 18 October. Until those appear, sodium-ion in passenger cars should be treated as started but unproven at volume.⁸

What the chemistry gap is worth in a real car

To put the averages in context, Charjin multiplied official battery capacities by BloombergNEF's 2025 pack averages. The Kia EV3's smaller battery is 58.3 kWh. At the LFP average of $81/kWh that pack would cost about $4,720; at the NMC average of $128/kWh, about $7,460. The difference is roughly $2,740.^1,9

The gap grows with size. BYD lists the Seal with up to 82.5 kWh, which works out at about $6,680 at the LFP average and $10,560 at the NMC average, a difference near $3,880. Region matters too: BYD's 43.2 kWh Dolphin Surf battery would cost about $3,630 at China's $84/kWh average and about $5,660 at the European level, 56% higher.^1,10,11

These are illustrations, not what any carmaker pays. The survey averages mix segments, the chemistry of each version is not part of this comparison, and contract prices differ. The IEA also says that without public support, battery production in Europe and the US costs as much as 50% more than in China.^1,2

What it means for EV prices

Where cheap LFP and local manufacturing meet, car prices have already moved. The IEA says 70% of battery-electric cars sold in China in 2025 were cheaper than the average conventional car, and electric cars have largely displaced petrol models in China's small-car segment. In Thailand electric car prices have matched combustion cars for two years, and in Indonesia the average premium fell from over 50% in 2024 to around 40% in 2025.³

Elsewhere the link is weaker. The IEA says European carmakers introduced more affordable models to meet tighter CO2 targets, while in the United States the end of EV tax credits coincided with a fall in sales. Cheaper packs give carmakers room; regulation, tariffs and competition decide whether buyers see it.³

For a buyer, the practical checks are the exact battery capacity and chemistry of the version on offer, the range figure and its test cycle, and the battery warranty. The next data point is BloombergNEF's 2026 survey, which will show whether this year's metal price rise slowed the decline.^1,9