Tesla, Panasonic End Joint Solar Cell Production: Nikkei

Tesla Inc. (TSLA) and Japanese electronics maker Panasonic Corp. (PCRFY.PK, PCRFF.PK) are ending their partnership to produce solar cells, Japan's Nikkei reported.

However, the companies plan to continue their joint work on automotive batteries for Tesla's electric vehicles.

It was in 2016 that the companies announced their joint venture to produce solar cells at Tesla's Gigafactory 2 in upstate New York. The factory in Buffalo began producing core components for solar panels in 2017. Under the deal, solar sells made by Panasonic were also supposed to be used for Tesla's solar panels.

Tesla product, called the Solar Roof, was designed to look like regular black roof tiles. Meanwhile, Panasonic reportedly failed to achieve this look for its solar cells. The company also failed to maintain the efficiency and cost sought by Tesla.

As per the report, Tesla's latest version of the Solar Roof uses Chinese cells, while Panasonic sells solar cells it produced at the Gigafactory to Japanese homebuilders and other clients.

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