Panasonic Monday revealed that, they will begin producing a new lithium-ion battery for Tesla by 2023, with plans to invest about 80 billion yen in production facilities in Japan.
Panasonic unveiled that the, 46 millimetres wide and 80 millimetres tall battery will be called as 4680 format battery. At around five times the size of batteries it currently supplies to Tesla, it is also expected to help the EV maker lower production costs, according to Japan’s Nikkei newspaper reports.
The powerpack could help make electric vehicles (EVs) more attractive to motorists by extending their range by about a fifth. In the case of Tesla’s Model S, a 20 per cent boost would lift the car’s claimed maximum range from 637 kilometres to over 750.
“We are studying various options for mass production, including a test production line we are establishing this business year. We don’t, however, have anything to announce at this time,” Panasonic said in a statement to Reuters.