Panasonic plans new massive battery plant in U.S. to supply Tesla -NHK

TOKYO, March 4 (Reuters) – Japan’s Panasonic Corp (6752.T) is seeking to order land in the United States for a mega-manufacturing facility to make a new kind of electric car or truck (EV) battery for Tesla Inc (TSLA.O), general public broadcaster NHK documented on Friday.

Panasonic is looking at constructing the manufacturing unit, to value various billion dollars, in possibly Oklahoma or Kansas close to Texas, exactly where Tesla is getting ready a new EV plant, NHK documented. NHK gave no timeline for Panasonic’s U.S. project.

NHK did not cite the resource of its data. Panasonic said the reported program was not a thing it introduced.

A extensive-time provider for Tesla, Panasonic has claimed it plans to start mass-creating the new variety of lithium-ion battery for Tesla in advance of the close of March 2024 with two new manufacturing lines at its western Japanese plant in Wakayama.

The 4680 structure (46 millimetres wide and 80 millimetres tall) battery is about five periods more substantial than those at this time provided to Tesla, this means the U.S. car maker will be capable to decreased manufacturing charges and strengthen motor vehicle range.

Panasonic’s connection with Tesla stretches again a lot more than a decade when Tesla signed an agreement that produced the Japanese company its vital battery supplier.

Given that then, Tesla has ramped up output and diversified its provide chain to other companies, together with Chinese producers of more cost-effective lithium iron phosphate (LFP) powerpacks this sort of as Up to date Amperex Technology Co (CATL) (300750.SZ).

South Korea LG Energy Option Ltd (373220.KS) also designs to make 4680 batteries, resources told Reuters last calendar year.

Shares of Panasonic were down 3{54200d265998863b76fd4ce36c7d4cb67028262ee579cdcba83d47ef416fdf44} in morning trade in Tokyo in comparison with a 2.5{54200d265998863b76fd4ce36c7d4cb67028262ee579cdcba83d47ef416fdf44} drop for the broader Nikkei 225 index.

Reporting by Chang-Ran Kim and Tim Kelly Editing by Leslie Adler, Cynthia Osterman and Edwina Gibbs

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