It was found that Japan’s No. 1 battery manufacturer Panasonic’s dependence on Tesla exceed 87%. Panasonic has an opposite strategy compared to LG Energy Solution and CATL, which have been diversifying their customers.
Tesla and Panasonic are under the spotlight whether they will succeed in a market rebound by pushing for mass production of next-generation cylindrical batteries (standard 4680.)
According to market research firm Adamas Intelligence on the 20th, the total production of batteries supplied to Tesla by the three Tesla suppliers last year was 65.8GWh. Panasonic’s batteries account for 87% (35GWh), and LG Energy Solution (12GWh) and CATL (18.5GWh)accounted for 19% and 21%, respectively.
Panasonic supplied 35 GWh to Tesla out of 41.4 GWh of total production last year. Unlike Tesla, CATL and LG Energy Solution evenly supplied to global automakers such as Hyundai Motor Group and Volkswagen Group. Panasonic is putting all the eggs ‘4680 battery’ basket as a key for a market rebound, which is considered the next-generation cylindrical battery.
The 4680 battery is a cylindrical battery with a diameter of 46 mm and a height of 80 mm, which Tesla announced to produce in September 2020. It has five times more capacity and twice more efficiency than the currently used cylindrical battery ‘21700,’ which has a diameter of 21 mm and 70 mm.
Panasonic will install the 4680 batteries in ‘Model Y’ for the US market as the first supplier of Tesla from the first quarter of this year. 4680 takes shorter to produce than conventional pouch-type batteries. If Panasonic manages to enhance its production and lower the cost of the battery, then it is expected to change its global market ranking this year.
CATL battery production was 87.8GWh last year, which makes it first place in market share (31%), followed by LG Energy Solution with 63.5GWh (22%) and Panasonic with 41.4GWh (14%).192GWh batteries were produced by these three companies last year, and 40% of them were supplied to Tesla.
By Staff Reporter Taejoon Park (gaius@etnews.com)