In ramping up regional output to meet booming demand for EVs, Panasonic also aims to increase localized sourcing of battery materials, targeting a 50 percent local procure rate.

Tesla says the battery will store more energy, halve battery costs and drive a 100-fold increase in battery production by 2030.

Panasonic plans to boost battery density by using a new mix of additives to allow individual cells to run at a higher voltage without damaging battery performance.