[Solid-State Battery: LG Energy Solution Swings to Profit in Q2, Launches All-Solid-State Dry Electrode Pilot Line in H2] On July 30, 2026, LG Energy Solution announced its Q2 2026 financial results, with revenue of 7.6 trillion won and operating profit of 113.3 billion won. H1 revenue reached 14.1 trillion won, up 10.5% YoY. The company announced that it will establish a pilot line for all-solid-state batteries using dry electrode process in H2 2026 to accelerate product development and mass production preparation, but did not disclose details such as location, capacity, and commissioning time. Meanwhile, the company plans to deliver sodium-ion battery samples to clients in 2027. This move indicates that LG Energy Solution is accelerating its catch-up with top-tier players such as CATL, and the dry electrode process is seen as a key path to reducing solid-state battery costs. The industry timetable consensus remains semi-solid-state batteries in vehicles in 2026, small-batch all-solid-state battery production in 2027, and large-scale commercial use after 2030.

On July 29, in a reply on the interactive investor platform (HuDongYi), CATL stated that “small‑batch production is expected in 2027.” These two statements, separated by 36 days, were interpreted by the market as a “self‑correction,” but in fact they refer to different evaluation frameworks: the former anchors technical route maturity (TRL), while the latter anchors manufacturing maturity targets (MRL 7–8).

[SMM Analysis: CATL All-Solid-State Battery – From TRL-4 to Small Batch Production in 2027?] At the Davos Forum in June 2026, Zeng Yuqun judged that all-solid-state batteries are currently only at Level 4 based on TRL (Technology Readiness Level 1-9). On July 29, a reply on Hudongyi stated, “Small batch production is expected in 2027.” The two statements, made just 36 days apart, were interpreted by the market as a “self-correction,” but in fact they used different evaluation frameworks: the former anchored on technology maturity (TRL), while the latter on a manufacturing readiness target (MRL 7-8). Considering chief scientist Wu Kai’s earlier public target of reaching levels 7-8 by 2027, the pace of CATL’s Yibin 2 Gwh pilot line, and SMM’s tracking of the industry chain, the small-batch trial production in 2027 does not conflict with the view that “it is difficult to install batteries in millions of vehicles before 2030.” The industrialisation of all-solid-state batteries remains in the transition stage from “pilot verification to demonstration production.” The industry consensus on the timetable is maintained: semi-solid-state (liquid-solid) batteries will be installed in vehicles in 2026, all-solid-state small-batch production in 2027, and large-scale commercial adoption after 2030.

This week, the industry chain exhibited a diverging pattern, with upstream raw material and cobalt salt prices weakening while midstream and downstream material prices remained relatively stable. Trading in refined cobalt, intermediate products, cobalt sulphate, cobalt chloride, Co3O4, and cobalt powder was generally sluggish. Downstream buyers mostly maintained just-in-time procurement, as off-season demand was insufficient, and inventory pressure along with low-priced supply continued to weigh on market prices. Although some miners and smelters, supported by high-cost inventory, still intended to hold prices firm, traders and recycling companies became more active in selling, and the decline in the cost of refined cobalt reverse dissolution further strengthened market expectations of pushing for lower prices. In the short term, related product prices still face downward pressure. Ternary cathode precursor, ternary cathode material, and LCO prices remained stable overall. Leading ternary cathode precursor companies performed well in export orders, and domestic production schedules recovered somewhat, but small and medium-sized enterprises were still affected by the off-season. Demand for ternary cathode materials from the EV sector stayed at a high level; some battery cell enterprises stockpiled in advance, and August orders are expected to be stable with slight growth. Consumer-side demand remained mediocre. Affected by sluggish end-use demand and substitution by ternary cathode materials, LCO production and sales remained low, further narrowing enterprises' profit margins. Subsequent market recovery will still depend on the restocking pace in mid-to-late August and the release of demand during the September-October peak season.

[SMM Cobalt Lithium Morning Meeting Summary: Raw Material Price Divergence Intensifies; Energy Storage Demand Supports Continued Industry Prosperity] This week, the relevant material markets continued to diverge in performance. Upstream ore prices stopped falling and rebounded, but high-price transactions remained constrained. Some ex-China capacities gradually recovered, and market attention shifted from supply disruptions to the pace of new capacity releases. Salt products were supported by maintenance outages, tightening circulation of spot orders, and low inventories, leading to somewhat active spot transactions. However, downstream players still mainly made just-in-time procurement on price dips, and concentrated stockpiling has yet to emerge. The cobalt industry chain remained under pressure overall, with the price centers of refined cobalt, intermediate products, cobalt salts, and cobalt powder shifting downward. Off-season demand, inventory pressure, and low-priced cargoes continued to weigh on the market. Nickel sulphate inventories declined, and cost support strengthened somewhat. Prices of ternary cathode precursors and ternary cathode materials generally remained stable. The LFP, electrolyte, and sodium-ion battery sectors performed relatively strongly, with demand from energy storage, commercial vehicles, and Q3 stockpiling driving production schedules higher. Inventories of some products continued to decline. The anode and separator markets were generally stable. Different raw material varieties in the recycling sector showed divergent performance. The overall industry chain remained in a phase of concurrent demand improvement and cost pass-through.

① Policy: China's first national standard for vehicle solid-state batteries (GB/T43568-2026) took effect, paired with a consumption tax exemption; ② Materials: multiple hundred-ton-level sulfide production lines commenced commissioning in Q3, with a leading EV manufacturer completing a 1‑ton electrolyte tender (awarded below RMB 2 million/ton), signaling the industry's shift to "ton‑level transactions"; ③ Products ：SVOLT Energy's hybrid solid-liquid batteries entered volume production in Q3,

SK On and U.S.-based solid-state battery company Factorial Energy announced on July 30 that they have signed a memorandum of understanding (MOU) for solid-state battery manufacturing cooperation. With the agreement, SK On has secured its second solid-state battery partner following Solid Power.

[Solid-State Battery: Shandong Chuanglu Advanced Battery Technology’s Full Range of Solid-State Electrolytes and Lithium-Rich Manganese-Based Cathode Materials Complete Pilot-Scale Verification] July 30, 2026, information from Chuanglu’s official account. The full range of solid-state electrolytes and lithium-rich manganese-based cathode materials of Shandong Chuanglu Advanced Battery Technology Co., Ltd. have completed pilot-scale verification, with batch stability and mass production processes fully meeting standards. Among them, the production line with an annual capacity of 150 mt of solid-state electrolyte has been installed and commissioned, and the kt-scale cathode material production line has entered the trial production stage. The core products are about to officially enter the stage of large-scale industrialisation, providing stable and reliable bulk supply and customized material solutions for downstream diverse scenarios such as 3C digital products, construction machinery, power batteries, and all-solid-state batteries, and facilitating the commercialisation of all-solid-state batteries. Chuanglu’s solid-state electrolyte routes: sulphide and oxide routes.

Jiuwu Hi‑Tech’s LATP Solid Electrolyte Passes 4.62V Overcharge Test; Ceramic‑Membrane Leader Advances Dual‑Track Solid‑State Battery Strategy

[SMM Analysis: Warm Isostatic Pressing Material Misalignment: The "Achilles' Heel" of Sulfide Solid-State Battery Mass Production] Warm isostatic pressing is the core process for solid–solid interface densification in sulfide all-solid-state batteries. However, the substantial differences in compressive modulus and plastic deformation among cathode and anode active materials, solid-state electrolyte, and copper and aluminum current collectors cause non-uniform creep and interlayer slip within the multi-layer structure under 600 MPa isotropic high pressure. This is tolerable in small laboratory cells, but when scaling up to large-capacity automotive-grade cells, the yield crashes. The solution priorities are clear: material modification (addressing the root cause) > process optimization (providing relief) > equipment upgrade (limited symptom treatment with a clear ceiling). The hardware gap for China's warm isostatic pressing equipment continues to narrow, but shortcomings remain in process databases and turnkey solutions. The industry is now in a window period for pilot-scale equipment procurement, and China's iteration pace is faster than that outside China. The long-term success of equipment suppliers depends on turnkey line solutions and partnerships with leading clients, while standalone machine performance is merely the entry barrier. Constrained by the material misalignment bottleneck, achieving full-scale solid-state battery integration at the million-unit level before 2030 is extremely difficult, with only small-batch demonstrations in high-end car models likely to appear from 2027 to 2029.