Panasonic said Wednesday that it will end a four-year partnership with Tesla to produce batteries at Giga New York.
Panasonic said in a release that it will cease operations by the end of May and exit the facility by the end of September.
This decision will have no impact on Panasonic and Tesla’s partnership in Nevada. The two companies will continue their electric vehicle battery work at Tesla’s Gigafactory outside of Reno.
“We are proud of what Panasonic has accomplished as a pioneer in the solar space and the significant role Panasonic employees in Buffalo have played in that success,” Shinichiro Nakajima, director of Panasonic’s Energy System Strategic Business, said in a release. “The decision to transition away from U.S. solar manufacturing in Buffalo aligns with our global solar strategy, our efforts to optimize development and production, and supports Tesla’s long-term plans to continue and expand its operations.”
Tesla is reportedly operating a secret research and development facility where it aims to build its own battery cells. The company intends to lower the development cost and increase the performance of the battery packs used in its cars.
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