Tuesday, September 03, 2013

Tesla Causing "Peak Lithium Battery?" (:))

Tesla is on a roll right now, with 14,000 of its all-electric Model S luxury sedan on the road and its stock at record highs.

If it achieves its planned production levels--21,000 cars this year, perhaps 40,000 by 2015--its voracious appetite for lithium-ion battery cells will only increase.

The massive scale of cell purchases by Tesla Motors [NSDQ:TSLA] has already boosted global production levels.

It may soon use as many '18650' lithium-ion cells itself as the entire industry produced before the Model S went into production a year ago.

But ensuring adequate battery supplies in sufficient time to expand car production is absolutely key to continuing Tesla's growth.

link.

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