The new BYD-powered entry-level Tesla Model Y reportedly received EU approval, granted by the Netherlands Vehicle Authority (RDW) on July 1, 2022, according to Teslamag.de, a German media.
There were rumors of a collaboration between BYD and Tesla since August 2021. At that time, some media reported that BYD would supply Tesla with Blade batteries in the second quarter of 2022 and that Tesla vehicles equipped with Blade batteries were entering the testing phase.
Yesterday, we reported that the first supplies of the BYD Blade batteries have already been delivered to Tesla’s Berlin Gigafactory in Germany, and the Berlin-manufactured Model Y will be the first Tesla model to be equipped with the BYD Blade batteries.
This new entry-level Model Y is referred to as ‘Type 005’ and is internally known as the ‘Y7CR’ variant. Its battery capacity is 55 kWh with a 440 km cruising range and weights 2087 kg.
On the other hand, Tesla’s Shanghai Gigafactory has no plan to use BYD’s Blade batteries in the short term, according to a person from Tesla’s Shanghai Gigafactory.
Currently, Tesla’s major battery suppliers are LG Energy Solution, Panasonic, and CATL. Last year, Tesla became CATL’s largest single customer by purchasing 13 billion RMB (1.9 billion USD) worth of power batteries from CATL. In April this year, the domestic market share of BYD’s power batteries in China rose to 32.18%, while CATL still ranked first with 38.28% of the domestic market share.
The batteries produced by Tesla’s Gigafactory in Texas, USA will most likely supply to the North American market first. After the demand for Model Y models in the North American market is satisfied, then these batteries will be supplied to the Chinese, European, and other markets.
Right now, BYD is gaining great momentum in the battery market. Earlier this year in June, BYD was reportedly looking to purchase six African lithium mines, which can meet its battery needs for the next ten years. Furthermore, NIO and Xiaomi both signed a cooperation agreement with BYD’s wholly-owned battery company, Fudi Battery, to use BYD’s Blade battery.