Panasonic announced on Thursday it is working with Tesla to develop a new production line for the automaker’s new 4680 battery cell.
In a press briefing to discuss Panasonic’s latest financial results, the company’s Chief Financial Officer Hirokazu Umeda revealed they have been working on the new battery since it was revealed on Battery Day last month (via Nasdaq).
“We have considerable know-how for that battery. We started working on it immediately after Tesla’s Battery Day and are also preparing to set up a prototype production line in parallel,” Umeda said.
When Tesla unveiled the new battery, they also showed off their pilot production line just down the road from the Fremont factory. At the time, the automaker didn’t say if there were any deals with their current battery suppliers (Panasonic, LG Chem, and CATL) to also make the batteries for them.
Tesla’s breakthrough battery is much larger than the ones found in their EVs today. The increased size will result in 5X more energy, 16% more range, and 6X more power in future vehicles.
With the increases in performance and range, the cost per kWh to produce the 4680 battery is also expected to be greatly reduced.