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Panasonic to make new Tesla batteries in Japan after U.S. snag

Company grapples with boosting output while ensuring quality and safety

Panasonic will begin mass producing batteries in Japan, for U.S. electric vehicle maker Tesla after running into problems at its Gigafactory 1 plant in Nevada. (Photo by Ten Umekuni)

OSAKA -- Panasonic will begin commercial production of batteries for U.S. electric vehicle maker Tesla after struggling to bring a large U.S. battery plant online. The company will mass produce its latest power cells in Japan, where it has a large pool of skilled engineers.

The challenge for the company will be to crank up output while keeping a lid on costs.

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