Warren Buffett-backed BYD Co (OTC: BYDDY) will begin mass supplying batteries for Tesla Inc’s (NASDAQ: TSLA) Model Y as early as next year, CnEVpost reported on Tuesday, citing local media.
What Happened: The development follows a confirmation from China-based BYD last week that it plans to begin delivering batteries soon.
“Tesla is a very successful company no matter what, BYD respects Tesla and we admire Tesla,” CnEVpost reported a week ago, citing a BYD executive.
The EV maker currently sources the batteries for China-made Model 3 and Model Y EVs from Contemporary Amperex Technology Co Ltd and LG Energy Solution, the report said.
See Also: Warren Buffett-Backed EV Maker To Soon Supply Batteries To Tesla: Report
Why It Matters: BYD had reportedly secured an initial 10 GWh order for LFP battery cells from the Musk-led company.
In 2020, the company unveiled a new blade-like battery cell that uses lithium-ion chemistry.
The company at the time said it would use the more safe and dense battery pack in its upcoming EVs, and was also in talks with other automakers to supply the cells.
