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Tesla locks in world’s largest cobalt supplier Glencore for Gigafactory Shanghai, Berlin
Tesla has secured a deal to purchase 12 million pounds of cobalt annually from Glencore, a Swiss-based company that is recognized as the world’s largest miner of the metal. The partnership will keep Tesla away from a possible supply squeeze of cobalt as more automakers aim to break into the EV sector in the future.
The deal will supply both Giga Shanghai and Giga Berlin with enough of the metal to avoid a shortage in the future. With the electric vehicle sector continuing to grow, and demand for Tesla vehicles expanding in both Europe and Asia, the company has struck a deal that will alleviate any supply shortage concerns in the coming years.
The terms of the deal are unknown, and neither company responded to inquiries from Bloomberg, which first reported the partnership between the electric car maker and the cobalt supplier.
In both China and Europe, popular automakers like Volkswagen, BMW, and BYD are preparing for a future with electric transportation. In 2017 and 2018, a shortage in cobalt caused prices to spike, which seems to have given Tesla CEO Elon Musk the indication that his company must begin developing a battery that was less reliant on the metal. While Tesla continues to work on battery cells that are free of cobalt, the deal with Glencore ensures that the electric car maker will not be in short supply in the foreseeable future.
Tesla had been discussing the terms of a deal with Glencore since mid-January. However, Glencore’s automotive supply chain goes past the Silicon Valley-based automaker. The company signed an agreement with BMW in April 2019, and also with Korean battery manufacturer SK Innovation in December 2019.
Tesla is looking to ramp up production outside of the United States as demand continues to increase across the globe. With the company planning to begin a steady push of the Model Y in Europe and Asia in 2021, Tesla’s battery supply chain must be efficient and dependable to ensure a steady flow of reliable electric vehicles.
Giga Shanghai is currently producing vehicles at a run-rate of 200,000 a year, with production expected to increase when Tesla completes phase 2A of the facility. The completion of the second phase in China will introduce the Model Y to the largest automotive market in the world.
Meanwhile, Giga Berlin is still roughly a year away from its initial production push, which will begin with the Model Y. However, Tesla anticipates an annual production rate of 500,000 electric cars per year.
Tesla recently expanded on its use of cobalt within its battery cells in the 2019 Impact Report. The company currently utilizes “nickel-rich cathode materials” in its cells, which contain less cobalt concentration than cathode chemistries that other companies use in their batteries.
The company also expanded on its practices of using cobalt, which is controversial on its own due to its mining practices in the Democratic Republic of Congo. Glencore owns a mine in the DRC, but it is currently closed for maintenance. Tesla’s suppliers are required to follow the company’s “Supplier Code of Conduct” and its “Human Rights and Conflict Minerals Policy.” Each of Tesla’s suppliers is subjected to an annual third-party to ensure safe and humane mining practices.
Tesla’s deal with Glencore will ensure safe and humane cobalt mining, but it will also ensure the company’s long-term success as production and demand for continue to rise. The electric automaker will undoubtedly let go of any concern that may have to do with supply shortages while the industry continues to grow amid more competition entering the sector.
Tesla has officially launched the Model Y L in the United States and Puerto Rico for $61,990. It is the longer-wheelbase version of the Model Y, and has been available in China since last year.
Tesla brings the Model Y L to the U.S. just months after it phased out the only pure SUV in its lineup, the Model X. It is slightly longer than the Model Y configurations that are already available in the U.S., and features a three-row, six-seat setup with Captain’s Chairs being among the many features that make this a truly fantastic offering.
The Model Y L is priced competitively at $61,990, and features 325 miles of range and a 0-60 MPH in just 4.4 seconds.
Tesla also added a handful of new features that are not available in even the Premium Model Y. Here’s a full list of its features:
- Heated/Ventilated Front Seats with Powered Thigh Cushion
- Heated/Ventilated Captain’s Seats in Second Row with Powered Armrests & One-Touch Fold
- Heated Third-Row Seats with Power Recline, One-Touch Fold & Child Seat Anchors
- Improved Airflow, Increased Efficiency, More Range
- 89 cubic feet of trunk space
- Upgraded Acoustic Glass and Suspension to Minimize Road Noise
- Adaptive Damping for a Smooth, Stable Ride
- Staggered Tires for Enhanced Grip
- Larger Tailgate for Better Rear Visibility and Bigger Windows Overall
- 16″ First Row and 8″ Second Row Touchscreens
- 19-Speaker Immersive Tesla Audio
- 50W Wireless Charging Pads with Active Cooling and Charging Ports for All Other Seats
- FSD Supervised and Integrated Grok AI
Tesla is also delivering these first units as a “Launch Series,” which comes with additional features, such as:
- Door Trim Puddle Lights
- Suede Dashboard Wing
- Exterior and Interior Badging
- Floor Mats
- Sill Plates
The launch of the Model Y L in the U.S. marks a huge offering from Tesla to U.S. consumers. People have been calling for Tesla to bring a larger car to the U.S., and it needed it more than ever now that the Model X is gone.
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- Credit: Tesla
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- Credit: Tesla
It is a huge accomplishment for Tesla to get the Model Y L to the U.S., and after reporting strong deliveries today, it will be interesting to see how this car impacts future quarterly delivery reports.
Deliveries for the Model Y L “Launch Series” are slated for September or October of this year.
Tesla just told us twice that the Model Y L is coming to the U.S., and two social media posts definitely just tipped the company’s hand, as if they wanted it to be any other way.
The two social media posts basically confirm that the slightly longer version of the Model Y will be heading to the United States soon, and many have speculated that the company could launch the vehicle as soon as this weekend.
The first post was directly from Tesla, and it showed an incredibly long Dachshund, with words above that said, “Looking forward to the long weekend.”
Looking forward to the long weekend pic.twitter.com/URzH6zOUdn
— Tesla (@Tesla) July 1, 2026
Anyone who knows Tesla knows the company loves to troll its fans and have fun, and this is a perfect example of that. While not a direct acknowledgement, Tesla is very involved on social media, especially CEO Elon Musk’s platform X, and the company is well aware of what is being discussed within the community.
With recent sightings of Model Y L test mules in California, peeks of the vehicle at Giga Texas, and a large call for the car to come to the U.S., Tesla is simply stoking conversation with this.
However, the company also made another move that was recognized on social media. Tesla has a large gallery that includes photos of its products so media and others can use them. This gallery applies to the U.S. market specifically, unless otherwise specified.
Tesla uploaded a Model Y L to the Gallery last night:
This looks like a Model Y L https://t.co/TpnBwrLmH9
— TESLARATI (@Teslarati) July 2, 2026
This seems to be another indication that the Model Y L is coming to the United States.
Musk said last year that the Model Y L could make its way to the United States late this year, but it was not something that was set in stone by Tesla. The company definitely needs to establish something in the SUV market that is larger than the Model Y, and the Model Y L might be the answer.
Even still, there are consumers out there who would love Tesla to develop something even larger, like a competitor to the Tahoe or Expedition. Tesla has not really given much of an indication that it will go in that direction.
Tesla is using the vehicles’ internal microphones to improve build quality, Vice President of Engineering Lars Moravy revealed recently.
It’s no secret that Tesla is always finding ways to make its manufacturing operations more efficient, accurate, and valuable. Constantly trying to make its cars better, the company has never placed any restrictions on what it will do to improve everything from panel gaps to paint.
As Teslas have been driving autonomously on the property of the Gigafactory Texas plant for a while now, Moravy revealed to Herbert Ong in a new interview that cars rolling off production lines now autonomously navigate themselves through a bumps, squeaks, and rattles (BSR) portion of the line. This helps to identify any loose or improperly installed internal parts.
The cabin’s microphones, which are used for a variety of things in ownership, simultaneously monitor any noises inside the vehicle while it rolls through the BSR portion of the production line. Moravy actually revealed that Tesla is trying to build “Full Self-Hearing,” an AI system that will detect minor imperfections so they can be corrected before delivery.
It’s no secret that build quality is something that Tesla struggled with as it scaled to a fully massive production operation that manufactures over 1.6 million vehicles per year. However, in recent years, especially, there have not been as many complaints. Tesla has truly improved upon its build quality and paint quality over the past several years, especially in the U.S.
Tesla’s ‘megacasts’ are key to massive build quality improvements
While those improvements have been evident, there are still some complaints; no automaker is perfect with this. But this step will now ensure that every single car that rolls off the production lines at Gigafactory Texas will be void of any creaks, squeaks, or squeals when it leaves the factory.
This measure is one of the most unique we’ve seen in terms of a strategy to avoid build quality issues, but it is not exclusive to Tesla.
Ford uses acoustic analysis AI to find abnormalities in seat motors, climate control units, and other components. Suppliers and OEMs will also use microphone arrays or particle velocity sensors in end-of-line stations.
The full interview with Lars Moravy is available below:
🚨 If you’re a Tesla investor, this is one interview you don’t want to skip. The full video posted below.
Jeff Lutz @thejefflutz and I sat down with Tesla VP of Engineering Lars Moravy, and it was packed with insights!
A few of the biggest takeaways:
• Cybercab is expected to… pic.twitter.com/fhYSr2dCqP
— Herbert Ong (@herbertong) July 1, 2026
Tesla brings Model Y L ‘Launch Series’ to the U.S. at $61,990
Tesla just told us twice that Model Y L is coming to the U.S.
