Tesla, Panasonic Sign Deal to Expand Cell Supply

By Associated Press
|  Wednesday, Oct 30, 2013  |  Updated 1:55 PM PDT
View Comments (
)
|
Email
|
Print
Tesla, Panasonic Sign Deal to Expand Cell Supply

NBC Bay Area

File image of a Tesla vehicle.

advertisement

Electric car maker Tesla Motors has signed a deal with Japan's Panasonic Corp. to expand its supply of battery cells.

Under the pact announced early Wednesday, Panasonic will supply nearly 2 billion cells over the next four years. The automotive grade lithium-ion battery cells will power the Model S sedan as well as the Model X SUV, which is scheduled to go into production by the end of 2014, Tesla said.

The agreement amends a 2011 contract between Panasonic and Tesla that promised enough cells for 80,000 vehicles -- or approximately 560,000 cells -- through 2015.

Tesla expects to deliver 21,000 Model S sedans worldwide this year. The company has estimated sales could nearly double to 40,000 next year as the Model S goes on sale in Europe and Asia.

More stories from NBC Bay Area:

Get the latest headlines sent to your inbox!
View Comments (
)
|
Email
|
Print
Leave Comments
Bay Area Proud
Bay Area Proud is NBC Bay... Read more
Follow Us
Sign up to receive news and updates that matter to you.
Send Us Your Story Tips
Check Out