Tesla – Negotiations with Panasonic to expand the Gigafactory in Nevada

The Tesla and Panasonic are in talks to expand the productive capacity of the Gigafactory to Reno, Nevada. It was revealed in the chief financial officer of the japanese multinational, Hirokazu Umeda, noting that the plant for the production of batteries is benefiting from the strong demand for the models of the california Home and today they represent more a source of friction between the two companies.

The factory profitable. The Gigafactory, the result of an investment by us $ 1.6 billion launched in 2014, is operational from the beginning of 2016, but in the early years of activity has paid the production problems encountered by Tesla and has generated losses for the japanese, until last autumn, when it arrived the first positive contribution to the quarterly multi-national electronics company. The plant has become profitable thanks to the growth of Tesla, but in the meanwhile, relations between the two partners have touched more times the point of fracture: the japanese have not only decided to exit the production of photovoltaic cells in the factory of Buffalo, near New York city, but they have also lost their status as exclusive providers of batteries and have refused to create in China a new battery factory to serve the Gigafactory Shanghai. For this reason the Tesla has signed agreements to supply other manufacturers such as the chinese Catl and the south korea-based LG Chem.

The hypothesis of the expansion. Now, with the factory in good financial condition, and the Tesla in growth, the two companies began to discuss the hypothesis of increasing battery production in Reno. “We’re seeing a strong demand on the part of Tesla”, higher than the current capacity of the plant of 35 gigawatt-hours in the year, he explained Umeda doing, also, understand how the Panasonic has developed a new battery for the Tesla, a demonstration of a renewed spirit of collaboration between the two companies.

Source: Quattroruote.en – Edited by Anthon K.