Tesla is poised to expand battery production in Nevada by opening a small facility that will repurpose idle equipment from China’s Contemporary Amperex Technology. Situated in Sparks, Nevada, the plant will primarily focus on producing battery cells for Tesla's Megapack product, a large-scale battery storage solution.

This strategic move serves multiple purposes: it allows Tesla to bolster domestic battery production while potentially reducing costs through the utilization of readily available equipment. Moreover, it aligns with the US government's push for onshoring battery supply chains. Additionally, Tesla has announced its intention to double capacity this year at an existing battery factory in Lathrop, California.

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Elon Musk, CEO of Tesla, reported, "The energy storage business delivered nearly 15 GWh of batteries in 2023, compared to 6.5 GWh the year before," emphasizing the company's substantial growth in this sector. He also expressed optimism about the battery storage business, foreseeing tremendous growth in the upcoming years.

The success of this venture could pave the way for further collaboration between US and Chinese companies in the battery sector, marking a significant step forward in global battery technology and production.

About China’s Contemporary Amperex Technology

Contemporary Amperex Technology Co., Limited (CATL), abbreviated as CATL, is a Chinese battery manufacturer and technology company founded in 2011 that specializes in the manufacturing of lithium-ion batteries for electric vehicles and energy storage systems, as well as battery management systems (BMS). In 2022, its global market share stood at 37%. The company is headquartered in the city of Ningde in China's Fujian province. CATL offers a wide range of lithium-ion battery products and services, including:

• Battery cells for electric vehicles (EVs)


• Battery packs for EVs


• Energy storage systems for homes and businesses


• Battery management systems (BMS)


• Battery recycling services

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