Sumitomo Electric Industries, Ltd. is a Japanese industrial conglomerate with a global presence. Established in 1897, the company has grown to become a major player in electrical, electronic, and energy products and systems. With over 280,000 employees worldwide, Sumitomo Electric operates in more than 30 countries, focusing on innovation and sustainable development. Its long-term vision, “Sumitomo Electric Group 2030 VISION,” guides its efforts in creating social value and achieving sustainable growth. The company serves diverse industries including environment, energy, info-communications, automotive, electronics, and industrial materials, emphasizing advanced research and development to deliver technological solutions across its operations.
Battery Technology
Sumitomo Electric plays an important role in the battery value chain, primarily through its focus on developing, manufacturing, and deploying advanced Vanadium Redox Flow Batteries (VRFBs) for stationary energy storage. These batteries are designed for grid-scale, industrial, and commercial applications, particularly in long-duration energy storage critical for integrating renewable energy and stabilizing grids. VRFB technology uses vanadium ions in liquid electrolytes to store and release energy through redox reactions.
Key features of Sumitomo Electric’s VRFBs include a long lifespan, often exceeding 20 years and extendable up to 30 years with improvements, and high safety due to non-flammable electrolytes, reducing fire risks compared to other battery types. They offer unlimited charge/discharge cycles without degradation, and their semi-permanent electrolyte provides excellent sustainability and recyclability. The modular design allows for independent scalability of power output and energy capacity, making them suitable for large-scale energy storage needs that support decarbonization goals.
Recent Projects
Sumitomo Electric has several projects in progress. The Kurokiyama Microgrid Project in Kagoshima Prefecture completed a 1,125 kWh VRFB system with a proprietary energy management system, supporting community facilities as part of a “Zero Carbon City” initiative. In Kumamoto, construction started on an 8,000 kWh VRFB to enhance renewable integration and grid stability, expected to be finished by October 2026. A 2 MW / 8 MWh VRFB was deployed for San Diego Gas & Electric following a seven-year test. At Energy Storage North America, a new VRFB technology was presented, featuring 15% higher energy density and 30% lower cost, with orders starting in 2025.
Investors
Sumitomo Electric Industries, Ltd. has a diverse ownership structure. Approximately 55% of the company is owned by individual (retail) investors. The remaining 44% is held by institutional and financial investors. Major shareholders include The Master Trust Bank of Japan, Ltd. (17.07%), Custody Bank of Japan, Ltd. (9.52%), Nippon Life Insurance Company (3.17%), Sumitomo Life Insurance Company (2.08%), Nomura Asset Management (5.09%), and BlackRock Fund Advisors and BlackRock Japan (combined around 5.1%). Other investors include various banks and global asset management firms. Less than 1% of the company is owned by insiders, such as board members and management.
Business Details
Location: Osaka, Japan
Website: https://sumitomoelectric.com/
LinkedIn: https://www.linkedin.com/company/41461
