Panasonic to Invest JPY 80 Billion in Tesla EV Battery Manufacturing
Panasonic is said to be producing the batteries in Wakayama Prefecture in Western Japan
Panasonic will begin producing its new lithium-ion battery for Tesla as early as 2023, according to the Nikkei, with plans to invest around JPY 80 billion (about Rs. 5,245 crore) in manufacturing facilities in Japan.
The Nikkei stated that the powerpack might help make electric vehicles (EVs) more appealing to motorists by boosting cruising range by nearly a fifth, without specifying where it got the information.
"We are studying various options for mass production, including a test production line we are establishing this business year. We don't, however, have anything to announce at this time," Panasonic said in a statement sent to Reuters.
In October, Panasonic debuted the 4,680 format battery (46 millimetres width by 80 millimetres tall). It is intended to help Tesla decrease production costs because it is around five times larger than the batteries it now sells.
Panasonic will produce the 4,680 batteries in a plant in Wakayama, Western Japan, with an annual output of fewer than 10 gigawatt hours, or about 150,000 automobiles, according to the Nikkei.
Even as Tesla seeks other battery suppliers in China and abroad, Panasonic is the sole manufacturer of the more advanced Tesla battery, guaranteeing it stays a crucial supplier to the US company, at least for its higher-end models.