Panasonic is adding another production line to the massive Tesla-operating factory in Nevada, an expansion that will increase battery cell capacity by 10%.
The Sparks plant, nicknamed Gigafactory 1, is Tesla's hub plans to expand global battery capacity and reduce the cost of electric vehicles. Panasonic was its most important partner in that project, which, based on a recent agreement, is expected to last until at least 2023.
Tesla and Panasonic initially predicted the Gigafactory would have the capacity to produce 35 gigawatt-hours of batteries annually. This goal was achieved with 13 production lines. This latest expansion, first reported by the Reno Gazette Journal and confirmed by ProWellTech, will add a fourteenth line.
Panasonic said the additional line creates the need to add another 100 jobs at the Gigafactory.
Construction on the project has already begun, Panasonic told ProWellTech. As Panasonic adds this new line, it will also continue to install new technology for the "2170" lithium-ion cells it manufactures and supplies to Tesla, a change that will improve the energy density by 5% over the current cell and reduce the expensive cobalt content. Panasonic is updating all 13 battery cell lines with production. The new technology will allow for continuous improvement with an energy density expected to increase by 20% in five years.
The increase in energy density in the cells means Tesla will theoretically see the same gains in its packs, which in turn should improve battery life in its Model 3 and Model Y. 2170 cells are used in the Model 3 and Model Y. its new vehicle, the Model Y. Reducing the content of cobalt, a rare chemical that is expensive and has social and environmental costs, could also help reduce the price of cells.
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