Tesla is in advanced stages of talks to use cobalt-free lithium-ion batteries from Contemporary Amperex Technology Co Ltd (CATL) in cars manufactured at its China gigafactory.
If true, it would be the first time the US-based vehicle OEM has used lithium iron phosphate (LFP)— that omit the costly and controversial material— batteries in its lineup.
Tesla has been talking to the Chinese manufacturer for more than a year to supply LFP batteries that will be cheaper than its existing batteries by a “double-digit percent,” news outlet Reuters has reported.
Tesla and CATL have declined to comment on the story.
Tesla use 18650 and 2170 cylindrical cells using lithium nickel manganese cobalt oxide (NMC) chemistry because of their high energy density.
Last month, it was reported by news outlet Bloomberg that Tesla had been in talks with Swiss firm Glencore to secure a long-term contract to ship cobalt to its electric-vehicle factory in Shanghai.
The company also announced in January it would partner with South Korea’s LG Chem and China’s CATL to secure a lithium-ion battery supply for the same plant.