Tesla in talks to use CATL's cobalt-free batteries in China-made cars - sources
Tesla in talks to use CATL's cobalt-free batteries in China-made cars - sources
- Tesla is reported to be talks with Chinese battery manufacturer CATL to use “no cobalt” LFP batteries for cars made in their China factory.
- It is claimed that these batteries would be some “double digit percent” cheaper than their existing NMC batteries.
- Apparently, CATL has identified a way of boosting density and safety via new cell to pack technology
- Tesla stated back in January that they would host a battery event, probably in April, where they would share their future battery strategy.
Analysis and Comments
- This is an important news story, but not for the reasons that many people think. It is not bad news for high end cathode suppliers, it just reflects China-specific market factors.
- The shift back to LFP in China post subsidy reduction is also being done by other automotive OEMs producing cheap mass market EVs.
- The Chinese market is different and it is important there to keep selling prices lower. If OEMs including Tesla are willing to shift to a cheaper but relatively obsolete cathode technology, this suggests NMC battery cost reductions may have slowed or even stalled.
- Tesla’s reported interest in LFP is inline with the analyst view that battery costs will bottom out higher than the level the industry is expecting. If this happens, then increases in EV driving range will stall as automotive OEMs will be forced to use smaller battery packs (in kWh).
0
0
0.000
It is great to know that Tesla is greatly concerned about safety has they show us beautiful and mind blowing sides to technology.
They are, as they are with prices of raw material:)
I have always been in love with products coming from Tesla, it is amazing to hear about this update.
You are more than welcome ! I am glad you enjoyed it !
Thank you, I also believe that battery costs are the most complicated part of this to analyze.
Hello and welcome to Project.Hope :D
It's a bit complicated, especially for those of us who don't know the meaning of those acronyms.
I suppose that is one of the functions of cobalt, a mineral that is being extracted in the country, since not long ago.
I didn't know they used it for the construction of the batteries. Even less the demand for Coltan is funding the killings in Congo, blood of Congolese who are dying in a terrible conflict.
What I don't see in the issue is whether batteries without cobalt are less harmful to the environment. Apparently the only concern is that they are only cheaper from Tesla's point of view, which I guess is what matters most to them.
Lowering costs is always good news for a company; hopefully, it will translate into a better bonus for its employees or for the environment.
Thanks for sharing :)
Hi @vlemon
I believe it is a step forward despite what many say is a step back from using technology that was being discarded. the difference is also in the materials for the production of those batteries that are less scarce than cobalt.
These batteries are composed of iron, phosphate, oxygen
Raw material very easy to get worldwide.
Greetings and welcome to our Project Hope
Pd. One of my dreams is to work for this company I mean Tesla
Indeed, thank you for your very interesting comment.
The issue for Tesla was to get the same quality of battery with less expensive raw materials in order to penetrate a market where the price point for an EV car is much lower.
I guess this is one of their solution to solve this issue.
Thanks for sharing this valuable news @vlemon. And here is my humble self welcoming you to ProjectHope. I hope to read more of your articles and also get to know you better in the coming days. Cheers!
Thank you ! Happy to be hear and to interact with so many of you guys !
hi @vlemon
The biggest advantage I see is using fewer resources and having a longer duration than the conventional one, and it has the plus of being from Tesla, which is a very good added value.
Welcome to @ project.hope it is a pleasure to have you here 👍
Posted using Partiko Android
Indeed @reinaldoverdu !
Thank you for welcoming me so warmly.
I think that reducing costs for increasing profit margin is always something that is sought, but I am not sure if the use of obosoleta technology can be better than the development of new technological responses, maybe if, as long as you consider the time and the cost of Investigation and Development.
I think I have read that one of the most expensive minerals in the production of high-performance batteries was cobalt, I also remember that Musk had declared that he wanted to bring the cost of batteries for Tesla to almost nothing, in that sense I am not surprised news, but I didn't expect them to do a technological downgrade.
Greetings and welcome to Project Hope
Hello friend @vlemon, interesting information friend, thanks for sharing.
Welcome to Project Hope.