Table of Contents
Table of Contents
Key Tesla Suppliers
Other Rumored Suppliers
Investing in Supplier Stocks
FAQs
The Bottom Line
- Stocks
- Top Stocks
Tesla is secretive about suppliers but here's what we know
By
:max_bytes(150000):strip_icc()/picture-53889-1440688003-5bfc2a8846e0fb0083c04dc5.jpg "Tesla Suppliers: Key and Rumored Parts Suppliers (1)")
Updated July 30, 2024
Reviewed by
Gordon Scott
:max_bytes(150000):strip_icc()/gordonscottphoto-5bfc26c446e0fb00265b0ed4.jpg "Tesla Suppliers: Key and Rumored Parts Suppliers (2)")
Reviewed byGordon Scott
Full Bio
Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT).
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Fact checked byMelody Kazel
:max_bytes(150000):strip_icc()/GettyImages-490597722-d01786afc5bf4a73ad3f9ddefe56bdb4.jpg "Tesla Suppliers: Key and Rumored Parts Suppliers (3)")
A relative newcomer to the automotive sector, Tesla (TSLA) has made a name for itself in the electric vehicle (EV) world. Tesla is sometimes secretive about its many suppliers, due to concerns about competitors obtaining inside information or buying out necessary parts.
Nonetheless, some of those suppliers have been uncovered by diligent researchers. Tesla manufactures some of the basic electric components of the car, including the electric motor, the battery pack, and the charger. It also aims to make its own batteries and microchips. Other essential components that it needs come from Tesla suppliers spread across the U.S., Europe, and Asia.
Key Takeaways
- Tesla Motors has become known for producing well-designed and innovative electric vehicles.
- To assemble its cars, Tesla sources parts from a range of Tesla suppliers.
- Some suppliers provide ordinary car parts and electric vehicle parts while others provide steel, industrial products, and minerals.
- The transition to EVs is moving at a rapid pace and suppliers have room to grow.
- As the EV market develops, Tesla suppliers may offer worthwhile investment opportunities.
Key Tesla Suppliers
Below are some confirmed suppliers for Tesla's manufacturing production, along with the components they supply:
| BHP | Nickel |
| Ganfeng Lithium | Lithium |
| Glencore | Cobalt |
| Modine Manufacturing | Battery Chiller |
| Rohm and Haas Company | Specialty Materials |
| CATL | |
| LG Energy Solutions | |
| Panasonic |
Other Rumored Tesla Suppliers
- ABC Group
- Mann+Hummel
- Alutrim North America (doing business as Angell Demmel)
- Argent
- Burlington Northern Sante Fe Corp.
- Clarcor
- Cooper Industries
- Dana Corporation
- Danaher Corp.
- Delphi Corporation
- Emerson Electric
- Flowserve Corp.
- Garmin
- Gentex
- Harada
- Harman International Industries
- Hitachi Cable America
- Hope Global
- Lightwave Logic
- Lithium Exploration Group
- MacLean-Fogg
- Magna International
- Metaldyne Performance Group
- Methode Electronics
- Molex
- Multimatic
- NextEra Energy
- Niocorp Developments
- Nortek
- Nucor Corporation
- Plastomer
- PSM International
- Rare Element Resources
- Riviera
- Searchlight Minerals Corp.
- T1 Automotive
- TXU Corp.
- Universal Logistics Holdings
- U.S. Lithium Exploration Group
- Zanini Auto Group
Still, more rumored suppliers:
- Aaon
- Amerityre Corp.
- Applied Optoelectronics
- Arc Group Worldwide
- Avid Technology
- Bel Fuse Inc.
- CDTi Advanced Materials
- CECO Environmental Corp.
- China Automotive Systems
- Core Molding Technologies
- CUI Global
- CSW Industrials
- CTS Corp.
- Curaegis Technologies
- Deswell Industries
- DMC Global
- Emcore Corp.
- Findex Com
- Gorman Rupp Co.
- Hammer Fiber Optics Holdings Corp.
- Handy & Harman
- Harmonic
- Haynes International
- IEH Corporation
- Integrys Holding
- Jason Industries
- KMG Chemicals
- Liquidmetal Technologies
- NeoPhotonics Corp.
- NI Industries
- Omnitek Engineering Corp.
- Pam Transportation Services
- Paragon Offshore PLC
- Perma-pipe International Holdings
- Proto Labs
- Puradyn Filter Technologies
- Seachange International
- Sense Technologies
- Strattec Security Corp.
- Supreme Industries
- Telkonet
- THT Heat Transfer Technology
- Titanium Metals Corp.
- Thomas & Betts Corporation
- Trecora Resources
- UFP Technologies
- Universal Stainless & Alloy Products
- Voxx International Corporation
- Vystar Corp.
- Zap
- Zoom Telephonics
Are Supplier Stocks a Better Way to Invest?
Investors watching the EV market might do well to consider EV suppliers as well as EV makers. Major car companies continue to confirm their commitment to producing EVs. That bodes well for providers of EV components and the potential investor benefits:
- Diversification: Manage risk by spreading investments among various suppliers and makers in the EV sector.
- Value: If an EV maker is overvalued, Tesla suppliers' stocks may offer a smart investment alternative.
- Performance: The continued transition to EVs plus favorable government regulations and incentives can mean increased consumer demand, more EVs produced, and growth in the need for EV suppliers' products.
While supplier competition will likely intensify given the opportunities in the EV market, there's also the potential for stars to emerge and reward investors.
Who Is Tesla's Biggest Supplier?
Some of Tesla's suppliers with substantial market capitalizations include Emerson Electric, Garmin, Danaher Corporation, and Nucor Corp.
Who Are Tesla's Battery Suppliers?
Tesla has plans to make its own batteries. A large supplier of the lithium required for these batteries is China's Ganfeng Lithium Co. Australian mining company BHP supplies needed nickel. Anglo-Swiss company Glencore provides cobalt. All three are Tesla suppliers.
How Can I Invest in Tesla?
Tesla is a public company whose shares trade on the Nasdaq under the ticker symbol TSLA. As such, you can invest directly in the company by purchasing shares through a broker or your online trading account. You can also invest in the company indirectly by buying shares of exchange-traded funds (ETFs) and mutual funds that have the company in their portfolios.
The Bottom Line
As one of the largest car manufacturers in the world, Tesla relies on a long and complex supply chain, with parts sourced from hundreds of different suppliers, from lithium mines to computer chip manufacturers. While the company has sometimes been secretive about its suppliers, other partners are well-known.
Article Sources
Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in oureditorial policy.
Tesla. "Manufacturing."
Panasonic Newsroom Global. "Panasonic and Tesla Reach Agreement to Expand Supply of Automotive-grade Battery Cells."
BHP. "BHP Enters Into Nickel Supply Agreement with Tesla Inc."
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