In this work we report a lithium ion battery characterized by very high rate capability, environmental compatibility, and potentially low cost. The battery is based on a lithium alloying, Sn–C, anode and an optimized lithium iron phosphate, LiFePO4, cathode. The morphology and structure of the materials were characterized by using scanning electron microscopy (SEM), transmission electron microscopy (TEM) and X-ray diffraction (XRD) techniques, while the electrochemical performances were evaluated by galvanostatic cycling and electrochemical impedance spectroscopy (EIS). Both the anode and the cathode reveal enhanced structure and morphology as well as excellent properties in terms of specific capacity, cycle life and, in particular, rate capability. The full Sn–C/LiFePO4 lithium ion battery operates at 2.8 V with a stable capacity of about 120 mAh g−1 for 100 cycles at the high rate of 3C. The cell has an energy density of 350 W h kg−1 and a power density of 2.4 kW kg−1. These interesting properties candidate the lithium ion battery here reported as a very appealing energy storage system, in particular for applications requiring high power densities.