Tesla supplier, Panasonic Energy has finalised preparations for mass production of its high-capacity batteries for electric vehicles. in Wakayama, Japan. Production will begin at a renovated facility that was previously used to produce battery components. It is now set to become Panasonic’s main production facility for its 4680 lithium-ion cells.
The 4680 battery is lighter, more efficient and cheaper to produce
Panasonic says the 4680 battery is lighter, more efficient and cheaper to produce than its predecessor, the 2170. According to the company, the new cells have five times the capacity of its smaller 2170 cylindrical batteries.
The company plans to start producing batteries with an annual capacity of several gigawatt-hours, Chief Executive Kazuo Tadanobu told reporters after the ceremony, Reuters reported. He said the global electric vehicle market is likely to grow in the medium to long term. The new cells should help improve the range and charging times of electric vehicles.while reducing costs.
“Storage batteries are a key resource for the country,” Chief Executive Yuki Kusumi said Monday. “We believe these batteries will contribute to the rapid development of the electric vehicle sector.”
By March 2025, the Wakayama plant is expected to employ around 400 people. engaged in the development and production of new batteries.
The decline in popularity of electric cars does not slow down investments
Despite the decline in electric car sales worldwide, most automakers and supply chain companies believe they are better off continuing to prepare for the industry’s eventual transition to clean electric vehicles – Bloomberg reports. As a result, Panasonic, a major supplier to Tesla Inc. and several major Japanese carmakers, andis investing in electric vehicle technology, developing advanced batteries and rebuilding its supply chains.
The company’s battery unit, Panasonic Energy, is investing 463 billion yen ($3.2 billion) with Subaru to build a new battery plant in Gunma Prefecture, Bloomberg reports. The plant will have a capacity of 16 gigawatt-hours by the end of 2030, and the resulting batteries will be installed in Subaru’s electric cars, which are scheduled to go on sale in 2028.
Bloomberg also recalls that the Japanese government also announced 350 billion yen in new subsidies last week for a number of companies, including Panasonic, to invest in the development of solid-state batteries and other electric vehicle technologies.
