Part 2/8:
Current Battery Supply Chain Landscape
A significant point of contention lies in Tesla's reliance on battery suppliers, notably CATL, which previously provided battery cells essential for the Model 3 and Model Y production. However, recent trade developments, including a 25% tariff on Chinese batteries introduced during the Biden Administration, have led to a loss of access to this vital supplier. As a result, the necessity for domestic battery sourcing in the U.S. has heightened.