Battery storage costs fall below gas-fired power plants for first time

Prices of batteries fell 40% last year as EV slump sparks pivot to storage

Chinese companies like BYD account for over 70% of the global automotive battery market, but many are shifting to battery storage production. (BYD)

TOKYO -- Construction and other costs for battery storage stations have fallen below that of gas-fired power plants for the first time, as overproduction in China and a shift away from electric vehicles drove battery prices down 40% in 2025, while a turbine supply crunch is making new gas plants more costly.