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Reading: Tesla Executive Addresses Cybertruck Production Concerns Linked to 4680 Battery Cells
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Tesla Executive Addresses Cybertruck Production Concerns Linked to 4680 Battery Cells

Highlights

  • Executive dismisses 4680 cell supply worries.

  • Giga Texas transitions to Cybertruck cell design.

  • Expansion to increase 4680 cell production.

NEWSLINKER
Last updated: 26 January, 2024 - 5:12 am 5:12 am
NEWSLINKER 1 year ago
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During Tesla‘s latest earnings call, an executive clarified doubts regarding the production of Cybertruck and its reliance on the 4680 battery cell output. Responding to an investor’s query, the executive indicated that the production of 4680 cells is not only on track but also has a surplus inventory, ensuring a steady supply for the Cybertruck and future vehicle projects. The aim is to maintain this lead, and although production forecasts can be unpredictable, the company is focused on achieving this goal.

Contents
Investor’s Inquiry on Production BottlenecksGiga Texas Updates and Future Expansion

Investor’s Inquiry on Production Bottlenecks

A retail investor named Michael G. inquired about the challenges Tesla faces in reaching a production rate of millions of 4680 cells weekly and the expected timeline for achieving this target. This question comes in light of reports from December 2023, where concerns were raised about the 4680 cells being a significant bottleneck in Cybertruck’s production, with Giga Texas producing merely a fraction of the cells needed for annual production targets.

Giga Texas Updates and Future Expansion

In response, the Tesla executive provided updates on the advancements at Giga Texas, where teams successfully transitioned a production line from Model Y’s cell design to the Cybertruck’s, which boasts a 10% energy increase. The facility is currently operating one production line and is conducting trials to improve yield and rate, with additional lines scheduled to be installed starting in the third quarter of the year.

Elon Musk further mentioned that Tesla anticipates increased orders from suppliers. Panasonic North America’s President, Allan Swan, signaled at CES that the company plans to expand its production capacity significantly by 2031. Furthermore, Tesla’s expansion of Giga Nevada is set to enhance the production of 4680 cells, contributing to the supply chain stability for Tesla’s vehicle manufacturing.

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