Tesla Motors Inc (TSLA) May Use The Global Supply Of 18650 LiOn Batteries For The Model S

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Tesla Motors Inc (NASDAQ:TSLA) is expected to sell 21,000 Model S sedans this year and up to 40,000 by 2015.  At this rate, Tesla Motors could use the entire global supply of 18650 model lithium-ion batteries for the Model S sedans.  Every Model S sedan uses 85 kWh battery pack that uses over 7,000 of the cells.

The Model S uses around 2,000 as many cells as a normal laptop battery and those cells are commodity 18650 cylindrical cells.  If Tesla Motors Inc (NASDAQ:TSLA) is expected to hit production of 40,000 cars per year, then it would require the whole output of 18650 lithium-ion cells to supply them.

Tesla Motors Inc (NASDAQ:TSLA) realizes that battery supplies could be an issue.  This is why they may add Samsung as one of their additional suppliers.  Panasonic is currently Tesla’s primary supplier.

[Source: Green Car Reports]

This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at
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