Panasonic will double battery cell production in 3 years

Due to high demand on Tesla Model 3, Panasonic will at least double its annual sales of Li-ion battery cells in the automotive field.

7/24/16 5:00 am chumakdenis 1

Media darling Tesla Motors made a huge success with its Model 3 – a total number of deposits surpassed everyone’s expectations (probably, even Elon didn’t expect that people would be so eager to shell out).

As of now, there are more than half a million $1,000 deposits, meaning Tesla as well as its suppliers will have to work crazy hours to satisfy customer’s needs --ingenious mogul even supposed that some clients will have to wait around 2 years before getting its brand-new vehicle.

So, how high the demand is?

Well, Let’s figure it out.

Some numbers

6258.jpgKenji Tamura, an executive officer in charge of Panasonic's automotive and industrial systems business, said that he expects the firm's annual automobile battery sales to grow to $3.98 billion (400 billion yen) in the fiscal year through March 2019 from 180 billion yen in the year ended March 2016.

The company sees combined annual sales of automobile batteries and energy storage products growing to 500 billion yen, around 2.5 times sales in the last fiscal year, he said.

Tamura also said Panasonic planned to bring forward its $1.6 billion investment in Tesla's $5 billion "Gigafactory" plant in the U.S. state of Nevada upon the request of the EV maker, to meet strong orders for Tesla's upcoming Model 3 sedan.

Panasonic is the exclusive supplier of batteries for the Model 3, Tesla's first mass-market car.

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*Citing "tremendous demand," Tesla CEO Elon Musk in April said the firm planned to boost total vehicle production to 500,000 cars in 2018, two years earlier than its original target.

  kenji tamura panasonic panasonic and tesla tesla's supplier

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