WASHINGTON — Tesla Motors Inc. and Panasonic Corp. said Tuesday that they would begin producing cells for solar panels next summer at a sprawling factory opening in Buffalo, N.Y., expanding a relationship between the two technology firms.
The U.S. automaker and the Japanese electronics company said they had finalized plans announced in October to begin joint production of photovoltaic cells and modules to be used in solar panels for roof tiles and other products.
The agreement builds off an existing relationship between Tesla and Panasonic, which includes making lithium ion battery cells for electric vehicles and solar storage at Tesla’s $5 billion “gigafactory” being built outside Reno, Nev., as well as developing next-generation technology at Tesla’s plant in Fremont, Calif.
The deal announced Tuesday involves Tesla making a “long-term purchase commitment” with Panasonic for the solar cells and modules to be made at the Buffalo, N.Y., factory. Panasonic will cover the required capital costs, the company said. No financial terms were released.