Tesla and LG Energy Solutions are reportedly in talks to manufacture the carmaker’s new 4680 battery cell at a brand new factory in Europe or the US.
LG became one of Tesla’s official battery partners when it started supplying battery cells for the Model 3 vehicles manufactured by the latter in China.
It became only the second battery manufacturer, after Panasonic, to allow the cells to be used in Tesla vehicles.
Since Tesla unveiled its own new battery cell, the 4680, LG has been talking about expanding its role as a supplier to the electric carmaker.
Last month we reported on LG building a new test production line at a factory in Korea to manufacture the new Tesla battery.
Now Reuters reports in an exclusive case that LG intends to build Tesla’s new battery cell at a new factory that will be in the USA or Europe:
“LG plans to manufacture 4680 cells in its new American factory. “They are planning to build a new 4680 cell line to supply Tesla’s Giga Berlin in Europe,” said one source, adding that Spain was one of the [the] candidates for the European plant.
LG has never manufactured such a large cylindrical battery cell, but Tesla has developed a new design and manufacturing technique that enables a 46mm by 80mm cell.
Reuters sources said that Tesla has not yet placed any orders for the 4680 battery cell with LG:
“He said LG had not yet received orders for the 4680 cells from Tesla, which are still under development. Tesla is currently sharply increasing orders for 2170 cells manufactured in the Model 3 and Model Y vehicles in China.
According to the report, 4680 battery cell production would take place in a new LG factory for Tesla in 2023.
Tesla has indicated that it plans to manufacture the 4680 battery cell itself at its own factories, but the carmaker is still planning to purchase battery cells from suppliers, and it has even discussed that suppliers should manufacture its new battery cell internally.
Panasonic also discussed the construction of Tesla’s 4680 battery cell.
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