Abstract: As an important energy storage battery, lithium-ion batteries have gradually matured and been widely used in various industrial fields in recent years, effectively alleviating the pressure of energy transition and environmental pollution. To ensure the safe and efficient long-term service of lithium-ion batteries and reduce operation costs, it is especially important to accurately estimate the state of health（SOH） of batteries in real time. In this paper, the current development of SOH estimation methods for lithium-ion batteries is reviewed. Firstly, the aging mechanism of lithium-ion batteries and related concepts of SOH are introduced.Secondly, traditional SOH estimation methods, including test-based methods, model-based methods, data-driven methods, and hybrid methods, are introduced. Additionally, new SOH estimation methods based on advanced sensing technologies are presented, demonstrating the improvement processes of various methods. A brief overview of SOH estimation methods for lithiumion battery modules in energy storage systems is also presented. The emerging advanced sensing methods involve perceiving internal information of batteries, offering broad prospects for applications. Then, the advantages, disadvantages and improvement perspectives of these methods are analyzed and compared to provide a reference for choosing the appropriate method when facing different problems. Finally, to promote the practical application of SOH estimation methods for lithium-ion batteries, the challenges faced by the field are presented and future research directions in the field are prospected.