Lithium iron phosphate, or LFP, batteries are cheaper and extra secure than alternate options, however typically present shorter vary as a result of they lack power density — although that’s rapidly altering. CATL dominates the marketplace for LFP batteries, and Tesla already makes use of LFP cells provided by CATL at a Shanghai manufacturing facility.
CATL’s new North American plant would produce a mixture of nickel-manganese-cobalt and LFP cells, and provide each Tesla and different automakers, two folks aware of the matter stated.
Tesla’s Elon Musk stated in January that battery provides would grow to be a limiting issue as soon as the chip disaster subsides. To arrange for the crunch, Tesla is making its personal 4680 battery cells in Fremont, Calif., and widening its provide circle past longtime companion Panasonic because it seeks to ramp up gross sales and prepares to open crops in Austin, Texas, and Berlin.
Panasonic is also scouting for a U.S. manufacturing website, Bloomberg reported earlier this month. The corporate makes 4680 cells for Tesla and provides the automaker’s gigafactory in Reno, Nev.
CATL has 145 gigawatt-hours of battery manufacturing capability on-line and has introduced or is within the technique of constructing one other 579 by 2026, in keeping with knowledge compiled by BloombergNEF.
The producer additionally counts auto giants Daimler Truck Holding AG, BMW, Stellantis and BAIC Motor Corp amongst its prospects world wide.
