US Startups Heat Up The Solid State EV Battery Race

The article discusses the evolving landscape of the US electric vehicle (EV) industry amid shifting federal policies and highlights the growing role of US startups in advancing solid-state EV battery technology. Despite recent setbacks—such as the rollback of Corporate Average Fuel Economy (CAFE) standards under President Trump and the expiration of the $7,500 federal EV tax credit, which have dampened US EV sales—the global EV market continues to grow, particularly in Europe. The long-term outlook remains positive due to declining battery costs and innovations like lithium iron phosphate (LFP) batteries, but near-term sales are expected to be negatively impacted by policy changes favoring gas-powered vehicles. Central to the article is the promise of solid-state batteries, which replace the liquid electrolyte in conventional lithium-ion batteries with solid materials like ceramics. This technology offers significant advantages, including higher energy density, lighter weight, faster charging, improved safety, and design flexibility. US startups such as Factorial Energy are at the forefront of this innovation. Factorial