Tesla shares rise as Panasonic prepares for battery production

On Monday, Tesla shares experienced an increase following an announcement from Panasonic regarding its readiness for mass production of high-capacity electric vehicle batteries. The company is set to manufacture its new 4680 cells at the Wakayama plant, which will serve as the primary facility for this production. These larger cells, with a diameter of 46 millimeters and a height of 80 millimeters, offer five times the capacity of the previously used 2170 cylindrical batteries. The introduction of the 4680 cells is significant for automakers, as it allows for an extended driving range of electric vehicles while reducing the number of cells needed for the same battery pack capacity. Panasonic has already sent battery samples to various automakers and is awaiting their approval before commencing full-scale production. This strategic move is expected to enhance the performance and efficiency of electric vehicles in the market. By March 2025, the workforce at the Wakayama plant is projected to reach approximately 400 employees, all dedicated to the development and manufacturing of these innovative batteries. This expansion not only signifies Panasonic's commitment to advancing battery technology but also reflects the growing demand for electric vehicles as the automotive industry shifts towards more sustainable options. The rise in Tesla's stock price, which was noted at 3.14% higher at $217.33, indicates positive investor sentiment regarding the company's future prospects, particularly in light of advancements in battery technology that could bolster its competitive edge in the electric vehicle market.