Nikkei.com is reporting Tesla has signed a deal with Panasonic to have the industrial giant supply the electric automaker with the machinery to stock its first Gigafactory.
The deal is worth between $US194-$291 million. Overall investment in the project could climb to $US5 billion, with Panasonic share climbing to $US1 billion, Nikkei says.
A Tesla representative declined to comment on the report.
Tesla was up more than 2% Monday.
Tesla is hoping to begin construction on its first Gigafactory later this year. The company wants to double the world’s supply of lithium ion batteries by 2020.