Tesla Plans More Gigafactories

Tesla Motors Inc. says it will announce plans for as many as three more battery “gigafactories” by the end of the year.

As part of its fourth-quarter report yesterday, Tesla said it expects to finalize locations for a third and fourth gigafactories later this year and might add a fifth project later.

Tesla opened its first battery gigafactory last year near Reno, Nev., and in January launched mass production there of lithium-ion cells for its Powerwall 2 home battery backup system. Tesla also calls its SolarCity solar panel plant in Buffalo, N.Y., a gigafactory. Panasonic Corp. partners with Tesla at both locations.

Tesla will begin making lithium-ion cells for its upcoming Model 3 electric sedan this spring at the Nevada plant, which is about one-third completed. The company expects make enough batteries at the facility by 2020 to supply 500,000 vehicles per year. The complex also will make motors and gearboxes for the Model 3.

Tesla provided no information about possible locations for the new facilities. But last November, CEO Elon Musk hinted the company was considering a gigafactory in the U.K.