Tesla signs a contract for the supply of battery-grade lithium products with China's Ganfeng Lithium, as the expansion of battery production is one of the main goals of the manufacturer. The contract was signed for three years, starting from 2022.
China's Ganfeng Lithium Co Ltd and its subsidiary GFL International Co Ltd have signed a contract to supply battery-grade lithium hydroxide products to electric vehicle manufacturer Tesla Inc, according to Reuters. The world's leading lithium company by market capitalization has previously supplied battery-grade lithium to EV makers, including Tesla.
The new contract envisions the supply of metal for Tesla over a three-year period starting from January 1, 2022, to December 31, 2024. Ganfeng Lithium said this on Monday in a filing to the Shenzhen Stock Exchange. The amount that Tesla will pay under the contract has not been announced, as it is still awaiting the processing of an order from the manufacturer of electric vehicles.
Lithium is an important basic material used in batteries, which are the lifeblood of the rising new-energy vehicles sector. Having access to this material defines a manufacturer's leadership and can ensure that it can produce large quantities of cars.
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