Tesla EV Battery Supplier Panasonic Boosts Production By 10% At Nevada Factory: Report

Panasonic Holdings Corp (OTC:PCRFY) reportedly plans production expansion of electric vehicle batteries at a factory in Nevada, jointly operated with its largest customer, Tesla, Inc. (NASDAQ:TSLA).
Tesla recently said it would "buy as much as [Panasonic] can make," Nikkei reported, citing an executive at Panasonic.
The executive further added that the facility is "already crammed," but they can add just one more production line.
Panasonic Energy, an affiliate of Panasonic Holdings, is expected to install a 15th production line at Gigafactory Nevada, scheduled to begin operation in one to two years.
The annual production capacity at the facility is projected to boost by around 10% to 39 gigawatt-hours (GWh) from the current 38 GWh, which will suffice for 500,000 to 700,000 Tesla Model 3s.
Notably, Panasonic aims to quadruple EV battery production capacity by 2030.
Also Read: Tesla Supplier Panasonic Eyes Two Or More Battery Plants In North America By 2030: Report
By securing enough batteries, Tesla aims to reduce battery costs by 30-50% over the long term.
Last month, Panasonic stated its plans to slow down the production of its 4680 battery cells, which have a power capacity up to five times higher than its mainstay 2170-type batteries, to improve the performance.
Price Action: PCRFY shares closed higher by 2.90% at $11.37 on Monday.