Tesla has begun to shift the use of raw materials for its electric car batteries from China to Mozambique. Photo/doc
It is known that Syrah Resources Australia is the operator of one of the world’s largest graphite mines in the South African country. Under the agreement, Tesla will buy 80 percent of the graphite production at the mine.
READ: Tesla Finally Disables Game Features While Driving
Quoted from Autoblog, Monday (17/1/2022), the deal is part of Tesla’s plan to increase its capacity to make its own batteries so as to reduce its dependence on China.
“China currently dominates the global graphite market,” said Simon Moores of UK-based battery materials intelligence and data provider Benchmark Mineral Intelligence.
Moores said, switch Tesla to Mozambique because there are geopolitical considerations in the agreement. The US wants to increase its domestic lithium-ion battery production capacity.
READ ALSO: Chinese Scientists Make Artificial Moon for Residential Development Plans
“This deal will allow Tesla to source graphite apart from China,” he said.