EV Supply Chain
Tesla-L&F battery contract cut 99% to $6,800 amid Cybertruck struggles and 4680 setbacks
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Tesla has slashed its supply deal with South Korean firm L&F Co. by nearly 99%, from $2.9 billion to $6,800, for high-nickel cathode materials used in the struggling 4680 battery cells of the Cybertruck. The revision, filed December 29, 2025, reflects weak demand, production issues, and EV market shifts, impacting L&F's stock and highlighting broader challenges for Tesla's battery ambitions.
Tesla has released a video showcasing its new lithium refinery in Texas, confirming that the facility is now operational and marking the first of its kind in North America. The plant processes spodumene ore into battery-grade lithium hydroxide using an innovative, sustainable method. CEO Elon Musk described it as the largest and most advanced in the United States.