Tesla supplier Panasonic eyes 20pc jump in battery density by 2030

As more automakers release EV models, investors are looking for proof that Tesla and established battery suppliers like Panasonic can maintain their industry lead. The battery system is the most expensive component of an EV, and improved performance and lower costs are seen as critical to maintaining global sales gains.

Panasonic Energy Co, a major Tesla supplier, is developing new technology to increase battery energy density by a fifth by 2030, according to the chief technology officer of the Japanese company.

If achieved, this improvement could increase the driving range of a Model Y by more than 100 km (62 miles) with the same size battery pack. Alternatively, it may enable manufacturers to create larger and possibly lighter electric vehicles (EVs) while maintaining the same driving range.

A 20% increase in energy density – the battery’s ability to store energy in a given volume – would probably shift to an energy density of 900 watt-hours per litre (wh/l) for Panasonic’s most advanced cell, up from 750 wh/l today.

Tesla’s new larger-format 4680 battery, which is already in production, is expected to lower production costs and improve range over the current-generation 2170 battery, according to the automaker.

A Panasonic spokesperson declined to comment on whether the company’s new battery technology would be used in the 4680, 2170, or both.