BYD's FinDreams Secures Role In Tesla's Shanghai Factory, Targeting Over 20% Market Share: Report

Zinger Key Points
  • FinDreams, BYD's battery unit, becomes major cell supplier for Tesla's Shanghai Megafactory.
  • Anticipated to exceed 20% share, FinDreams eyes annual supply of up to 8 GWh, worth $480 million.

BYD Co., Ltd.‘s BYDDF BYDDY battery manufacturing unit has reportedly started supplying cells to Tesla’s TSLA energy storage division in China.

Starting in the first quarter of next year, BYD-owned FinDreams is set to supply Tesla with cells for energy storage purposes, CnEV Post reported.

The company sealed a deal with Tesla in March to provide cells for the latter’s energy storage product manufacturing facility in Shanghai.

See Also: 152,000 New Jobs Added In May, Missing Expectations: ‘Notable Pockets Of Weakness’

Tesla’s energy storage facility production plant in Shanghai, known as the Megafactory, commenced construction on May 23, marking the company’s inaugural energy storage endeavor beyond its domestic market in the US.

Tesla’s energy storage business model revolves around procuring cells from suppliers and assembling them into comprehensive energy storage solutions, such as the Megapack for commercial spaces and the Powerwall for residential use, CnEV Post added.

At Tesla’s Shanghai energy storage plant, only the Megapack product line is slated for production. The primary cell supplier is CATL, with FinDreams serving as an alternative.

FinDreams’ share of supply is anticipated to surpass 20 percent, CnEV Post added.

The Shanghai energy storage facility of Tesla is slated to have an annual capacity of 40 GWh.

This would translate to a potential annual supply of up to 8 GWh from FinDreams, amounting to an annual order value of approximately RMB3.5 billion ($480 million), the report added.

Read Next: Chewy Impresses With Strong Q1 Results; Analysts Envision Stabilized Customer Growth And Enhanced Profitability Ahead

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Market News and Data brought to you by Benzinga APIs
Posted In: AsiaEquitiesNewsGlobalMarketsGeneralAI GeneratedBriefsChinaelectric vehiclesEVsmobilityStories That Matter
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!