Tesla has converted production at Giga Texas to 4680 next-generation battery cells. These cells have a ten percent higher energy capacity compared to the previous generation used in the Model Y. The company intends to fully transition to manufacturing these new cells by the end of 2023 and have four battery production lines up and running at Giga Texas by mid-2024.
Management reported that production of the 4680 cells at Gigafactory Texas increased by 40 percent compared to the previous quarter. Recently, Tesla reported that the first line of the new factory produced its 20-millionth cell, which happened within less than four months of reaching the ten-million mark. The Texas Gigafactory now serves as the main site for production of the 4680 battery cells, with scrap down 40 percent from the previous quarter.
Tesla emphasized, however, that despite these successes, much work remains to be done to meet steady-state goals, which is a top priority.
In addition to the improvements at the Texas Gigafactory, Tesla is also upgrading its battery production line in Fremont, California. The company has announced that the Kato Road line is now being retooled for large-scale manufacturing of next-generation battery cells. In the long term, this line will serve as a base and will be a generation ahead of cells produced at other Tesla plants.