Tesla Add Suppliers in China to Accelerate 4680 Battery Production: Report

As Tesla looks to advance its 4680 battery cell deployment following a wave of issues with the tech, the automaker is tapping new suppliers in Asia to help with production.

Tesla has established supply relationships with China’s Ningbo Ronbay New Energy and Suzhou Dongshan Precision Manufacturing to cut down on materials costs, as the automaker continues ramping up production of its 4680 battery cells, according to sources who asked to remain anonymous, reports Reuters.

Additionally, Tesla has signed a deal with Korea’s L&F Co for high-nickel cathodes, which are expected to boost energy density in the battery cells.

The 4680 battery, once it is produced at mass volume, is expected to significantly cut down on prices and increase efficiency, possibly unlocking CEO Elon Musk’s goal of building up to 20 million vehicles per year by 2030.

Tesla is also partnered with long-time suppliers Korea-based LG Energy Solution and Japan-based Panasonic, both of which are expected to supply battery cells for the Cybertruck, according to one of the sources.

Reuters sources claim Tesla has been dealing with issues dry-coating 4680 cathodes, despite having no issues dry-coating anodes.

In December, Tesla announced that it can now make enough 4680 batteries for a weekly production output of 1,000 cars per week.

Tech manufacturing expert Sandy Munro took a look at Tesla’s 4680 battery pack last year last October.