Tesla Announces 2021 Pricing Agreement with Panasonic for Lithium-Ion Battery Cells

Strategic Insights -

On December 29, 2020, Tesla, Inc. and Panasonic Corporation of North America entered into a 2021 Pricing Agreement (Japan Cells) for the supply of lithium-ion battery cells by Panasonic in Japan. This agreement, effective from October 1, 2020, until March 31, 2022, is subject to the Supply Agreement between Tesla and Panasonic, dated October 5, 2011, as amended. The agreement sets forth specific terms regarding pricing, production capacity commitments, purchase volume commitments, and planned investments over its term.

Key Takeaways:

  • The 2021 Pricing Agreement between Tesla and Panasonic is effective from October 1, 2020, and expires on March 31, 2022.
  • The agreement relates to the supply of lithium-ion battery cells by Panasonic in Japan.
  • Tesla and Panasonic have also entered into other previously disclosed agreements regarding the production and supply of lithium-ion battery cells.
  • The agreement is subject to the Supply Agreement between Tesla and Panasonic, dated October 5, 2011, as amended.
  • Tesla and Panasonic have made commitments to each other regarding production capacity, purchase volume, and planned investments.
  • The specifics of the pricing terms and production capacity commitments are not detailed in the provided text.

Statistics:

  • The agreement is effective from October 1, 2020, to March 31, 2022, a total of 15 months.
  • The agreement is subject to the Supply Agreement between Tesla and Panasonic, dated October 5, 2011, as amended.
  • The agreement relates to the supply of lithium-ion battery cells by Panasonic in Japan.

Sources:

  • UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 8-K CURRENT REPORT
  • "Agreement", Section 09, UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 8-K CURRENT REPORT, December 29, 2020