Tesla Inc TSLA is getting ready to begin to ramp up Model Y production in China. The company will sell the vehicle in China, as well as export it to Australia and parts of Europe.
To power the Model Y, Tesla will need a lot of batteries. It currently gets batteries for the Model 3 from CATL in China.
But now Tesmanian reports that LG Chem will be the supplier of batteries for the Model Y.
LG Chem outbid both CATL and Panasonic for the Model Y battery supply deal, the publication said, citing unnamed industry sources.
Sources said the deal could be worth as much as $2.7 billion, but the actual amount is unknown.
The batteries will be lithium ion nickel cobalt manganese, and production is set to start in the first quarter of 2021. More information for Tesla and other EV companies can be found on our Electric Vehicle Hub.
Photo courtesy of Tesla.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.