Tesla has reportedly struck a new $4. 3 billion deal with LG Energy Solution (LGES), a major South Korean battery manufacturer. The contract is for the supply of lithium iron phosphate (LFP) batteries, specifically for stationary energy storage systems and not for electric vehicles. Like several other automakers using LFP cells, Tesla relies heavily on Chinese manufacturers for its battery cell supply. Tesla's cheapest electric vehicles all. . The new deal comes only months after Tesla announced its first overseas battery storage production plant in Shanghai, which is expected to deliver 10,000 Megapack units within a year. The newly published patent, WO2024/229047 A1, reveals that Tesla, along with a team including. . Tesla is replacing Chinese-made cells in all products that it is selling in America, from electric cars to energy storage systems. The shift aims to reduce exposure to China-related tariffs or any import restrictions while helping Megapacks qualify for “made-in-America” subsidies.
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