21 votes

Tesla & Panasonic Partner to Manufacture Batteries in U.S.

Panasonic and Tesla Sign Agreement for the Gigafactory

OSAKA, JAPAN and PALO ALTO, CA - Panasonic Corporation and Tesla Motors, Inc. have signed an agreement that lays out their cooperation on the construction of a large-scale battery manufacturing plant in the United States, known as the Gigafactory.

According to the agreement, Tesla will prepare, provide and manage the land, buildings and utilities. Panasonic will manufacture and supply cylindrical lithium-ion cells and invest in the associated equipment, machinery, and other manufacturing tools based on their mutual approval. A network of supplier partners is planned to produce the required precursor materials. Tesla will take the cells and other components to assemble battery modules and packs. To meet the projected demand for cells, Tesla will continue to purchase battery cells produced in Panasonic's factories in Japan. Tesla and Panasonic will continue to discuss the details of implementation including sales, operations and investment.

The Gigafactory is being created to enable a continuous reduction in the cost of long range battery packs in parallel with manufacturing at the volumes required to enable Tesla to meet its goal of advancing mass market electric vehicles. The Gigafactory will be managed by Tesla with Panasonic joining as the principle partner responsible for lithium-ion battery cells and occupying approximately half of the planned manufacturing space; key suppliers combined with Tesla's module and pack assembly will comprise the other half of this fully integrated industrial complex.


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This is happening where I live...

Storey County, Nevada.


We have a great Sheriff, gambling, the Mustang Ranch (first county to legalize prostitution), but we won't have a marijuana "dispensary," (considered to be too much). Storey County contains the world's largest industrial park & our building dept has streamlined the process for businesses to get up & running - usually 6 weeks.

Cynthia Kennedy
Virginia City, Nevada

Will they be manufacturing

batteries or capacitors ?

Ron Swanson

I believe that large battery technology...

could be a game-changer. Imagine if you had a rechargeable battery - say the size of a refrigerator - that could power your entire home that was charged largely through renewable sources. How many hundreds of dollars a year would you save?

Economic liberty translates. The more of YOUR money YOU keep, the better off we will be.

We Have Free Storage On the Grid RIght Now

Apparently. If you produce renewable, and put it on the grid, the utility owes you exactly that much back; so the grid is essentially as large a battery as you could want right now.

It is one large free battery though

You have cited a 'drawback.' But it is a large free battery that you can use 99.99999% of the time right now if you please!

Even if you choose to focus on the .00001% of the time that "the grid is down."


And if "economic liberty" is what you found inspiring in this topic by "getting energy primarily from renewables," then can't you use renewables to get energy, put it on the grid, then use it for free at any time after?

I know you were focused on batteries. But wouldn't you still "save money" if you collected energy yourself from renewables?

On your issue of "A large battery"

I have been imagining "such a battery" that just uses a large weight hanging from a pulley, and when the weight is released, it spins a generator to create power. So to "charge the battery," you apply power to the generator to get it to spin the pulley and lift the weight, then do "discharge the battery" (get power out), you let the weight drop and spin the generator, like any other spinning renewable source, hydro or wind.


Check these products out as well

I found the Teslonian grandfather clock video above when researching the topic, and these products:


That's pretty neat!

Thanks for sharing!

I'm a serial entrepreneur and liberty activist from Texas!


TESLA motors never fails to

TESLA motors never fails to astonish me and Elon Musk is a friggin super-hero. To call him a genius would be too much of a compliment to geniuses.

"The pioneers of a warless world are the youth who refuse military service." - Albert Einstein


Musk a genius?

What genius needs to rely so much on government contracts (SpaceX)? (i.e. stolen money).. I don't remember John Galt saying that he needed government contracts to keep his companies running... nor Tony Stark...nor Dagney Taggart.

He certainly is no Tesla... Tesla was a genius... Musk is more like an Edison than a Tesla... what did Musk ever invent? Musk is more of a CEO... he's no James Taggart, but he certainly is no Tesla.

Tesla motors was created by people other than Musk, not sure if you are aware of that, and the real genius, Tesla, has nothing to do with Tesla Motors, other than them using his ideas for free... definitely sounds like an Edison.


While i'm admitting that i am

While i'm admitting that i am no expert on Musk, from what i've read, it seems that he wisely invested his PayPay money into SpaceX, and is actively using his wealth to create companies with a visionary bend to them. (Space Travel, Electric Vehicles, Solar Power).

I'm new to the criticism that he is a crony capitalist who benefits from government contracts, and it does seem to be something that i was previously not in favor of. But if that contract is helping NASA (also a private company) and is for space related industries and not bombing poor people, then i'm not sure i'm opposed to it.

BTW, I'm a huge N. Tesla fan too!

"The pioneers of a warless world are the youth who refuse military service." - Albert Einstein


TwelveOhOne's picture

Hmm, not so sure about Tony Stark; he sold weapons

Who buys weapons, other than governments?

Otherwise I agree, it's cool to have a company named Tesla today, but it's too bad it has really nothing to do with his vision.

I love you. I'm sorry. Please forgive me. Thank you.
http://fija.org - Fully Informed Jury Association
http://jsjinc.net - Jin Shin Jyutsu (energy healing)

We need the costs to come down!

In 2006, I remember reading a 2002 study from Argonne National Laboratories explaining that with mass production of electric cars, Lithium Ion batteries could get down to $250/kWh in cost. When the Tesla Roadster came out, they were roughly $600/kWh.

The technology for a viable, affordable, long-range electric car has existed since the 1990s. 20 years later, I am glad to see that someone is finally making this a reality. Production volume has been the hurdle to overcome in order to get cost down, and this very well may do it.

At $250/kWh, a 30 kWh pack will cost $7,500. A midsized sedan designed for efficiency, with say, a 0.16 drag coefficient, 22 sq ft frontal area, low rolling resistance tires, a 150 kW AC drive system, and a laden weight(including a driver and 4 passengers) of 3,500 lbs could be made to use less than 0.120 kWh/mile on the highway at a steady 70 mph. With 150 kW of power from the motor, the vehicle would probably do 0-60 mph in under 8 seconds, if geared for 130 mph with a single speed ratio(no need for a transmission). To 80% discharge, such a car would have a range of 200 miles, driven conservatively with the cruise control set at 70 mph, and 150+ miles "real world".

Such a car could be produced without needing exotic materials, and very likely could see a price point in the sub $30,000 range. The cost per mile for batteries would be measured in pennies, making it much cheaper than conventional gasoline.

I will not be surprised if Tesla produces a car with specs similar to this within the next 3 years, although it may have more drag, and thus need a bigger battery. A 0.16 Cd would be astonishingly low, although not impossible: see 1999 GM Precept.

I hope we shall crush in its birth the aristocracy of our moneyed corporations which dare already to challenge our government to a trial of strength and bid defiance to the laws our country. ~Thomas Jefferson

Who would down vote this and why?

I won't hold my breath waiting for an explanation. I'm just curious if this was a new member or an existing member and their thought process.

I'm a serial entrepreneur and liberty activist from Texas!