For some time, Tesla has been attempting to increase the output of its new 4680 EV battery cells. Recent sources indicate that the American EV manufacturer intends to rely on a number of Asian firms to accelerate the ramp-up. The Asian partners could also assist in reducing the price of the batteries while raising their energy density.
In a recent piece by Reuters, sources who claimed to be knowledgeable about the situation claimed that Tesla is using a number of Chinese and Korean material suppliers to assist build its proprietary battery cells. With upcoming releases of new models like the Tesla Cybertruck and future new-platform EVs from Giga Mexico, Tesla wants to ensure that its battery supply is not only expanding but also that costs are coming down and perhaps overall performance is improving.
No Effect on Cybertruck Manufacturing
To be clear, Tesla CEO Elon Musk has already stated that the ramping up of the 4680 battery cell won’t have an effect on the manufacturing of the future Cybertruck. It is assumed that, at least initially, the coveted electric pickup truck may rely on 2170 battery cells. This has also been true of the Tesla Model Y, which was also anticipated to employ primarily 4680 cells. Despite the 4680 cell Model Y Vehicles that Tesla is building in Texas, it appears that they are not currently a top priority.
Elon Musk, CEO of Tesla, has already stated that the ramping up of the 4680 battery cell won’t have an effect on the production of the future Cybertruck. The popular electric pickup truck is predicted to use 2170 battery cells, at least initially. The Tesla Model Y, which was also anticipated to mostly utilise 4680 cells, has followed suit in this instance. Despite the fact that Tesla is building Model Y SUVs in Texas with 4680 cells, it appears that they are not yet a top priority.
South Korea and China – Partners for 4680 Cells
According to claims from persons with knowledge of the situation, Tesla has already contacted Chinese companies Suzhou Dongshan Precision Manufacturing and Ningbo Ronbay New Energy. According to the sources, the American automaker is requesting assistance in order to reduce the price of manufacturing 4680 cells in the US.
Also, according to Reuters sources, using Asian businesses will serve as a form of insurance to guarantee that the production of 4680 battery cells proceeds as scheduled. Despite Tesla’s lack of a formal statement, one insider noted that LG and Panasonic will supply the Cybertruck’s cells.
Under a previous agreement, Tesla and L&F Co. from South Korea agreed to supply each other with high-nickel cathodes. According to sources, the automaker’s 4680 cells’ energy density will be increased using such cathodes.
Tesla currently has a pilot line close to its original facility in Fremont, California where it is making its own 4680 cells. In addition, LG intends to launch its 4680 assembly line later this year. Panasonic is also operating a prototype line. Tesla has been preparing its Giga Texas facility to someday create the battery cells on a large scale.
Most recently, Tesla said that as part of a significant $3.6 billion investment at the Gigafactory Nevada, it aims to produce 500 GWh of 4680 battery cells annually. Unfortunately, the notification did not include a precise timeframe.
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