Panasonic puts US$100m into Tesla batteries

Tesla has received a US$100 million investment from Panasonic to increase battery production at Gigafactory 1 in Nevada.

It will add an extra battery production line to the 13 there, increasing production capacity by 10% and bringing the factory’s production rate to 39GWh annually.

The expansion is the first at Gigafactory Nevada since it opened in January 2017, the Nikkei Asian Review

reports.

Batteries produced there will gain a 5% increase in storage capacity, starting in September, the article says.

Tesla’s global sales are forecast to reach 500,000 EVs this year — up 36% from 2019 and prompting the company to plan a new factory in Austin, Texas.

Annual production capacity is likely to exceed a million EVs in 2021, so battery production capacity is also expected to increase, according to reports from Panasonic officials.

The 5% increase in cell storage capacity will also help Tesla’s aim to increase its 2710 battery cell density by 20% within five years.

Panasonic’s investment in Tesla will ease strained relations between the two, the Nikkei reports.

LG Chem was chosen to make cells for the Tesla’s Model 3 produced at Gigafactory Shanghai and Panasonic and Tesla ended their partnership at Gigafactory New York where solar products are made.

Tesla hosts a Battery Day event on September 22 where a possible “million-mile” capable battery and other developments are expected to be revealed.

See more on “million-mile” battery developments in our latest EVs and Beyond magazine.