LG Energy Solution To Supply Lithium Iron Phosphate Batteries to Tesla (TSLA)

Tesla, Inc. (NASDAQ:TSLA) is one of the Good Stocks to Invest in Now. On July 30, Reuters reported that Tesla, Inc. (NASDAQ:TSLA) has signed a $4.3 billion deal with South Korea’s LG Energy Solution.

LG Energy Solution will supply lithium iron phosphate batteries for energy storage systems and lower Tesla, Inc.’s (NASDAQ:TSLA) reliance on Chinese imports, which have become expensive due to US tariffs. LG Energy will produce these batteries at its Michigan factory. The contract spans from August 2027 to July 2030, with a possible extension of up to seven years and higher supply volumes if needed.

Moreover, Tesla, Inc.’s (NASDAQ:TSLA) management noted that they are increasing their energy storage business, which now makes around 10% of the company’s revenue.

Tesla, Inc. (NASDAQ:TSLA) is a leading designer and manufacturer of fully electric vehicles and also sells energy generation and storage systems.

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Disclosure: None. This article is originally published at Insider Monkey.