At the Q3 investment exchange meeting, Tesla introduced that it is changing all standard battery life electric vehicles to lithium iron phosphate batteries worldwide.

　　 Currently, Tesla's Shanghai Gigafactory already uses lithium iron phosphate batteries and sells them to China, the Asia-Pacific market, and Europe.

　　 At the Q2 financial report exchange meeting, Musk said at the time that Tesla’s battery structure will change in the future, and 2/3 of the model batteries will switch to lithium iron phosphate batteries.

　　 After just 3 months, it was confirmed that the global standard battery life version Model 3 and Model Y only use lithium iron phosphate batteries. This is not only Tesla's further confirmation of the lithium iron phosphate technology route, but also a benchmark for the transformation of its battery route.

　　 Musk also said that he prefers lithium iron phosphate batteries: lithium iron phosphate batteries can be charged to 100%, while ternary lithium batteries are only recommended to be charged to 90%.

　　 Compared with the ternary battery, although the energy density of the lithium iron phosphate battery is slightly inferior, it has better safety and stability, and the cost is lower. At the same time, lithium iron phosphate batteries have a longer service life and can better realize waste recycling in the recycling process.

　　According to Tesla's estimates, its global car delivery in 2021 will increase by more than 50% year-on-year, which means that its expected delivery in 2021 will reach 750,000. With the widespread use of lithium iron phosphate batteries, Tesla is optimistic that the delivery volume will achieve an average annual growth rate of 50% in the next few years.

　　 If 2/3 models are equipped with 55KWh lithium iron phosphate batteries, the average annual growth rate is calculated by 50%, and the demand for lithium iron phosphate batteries will exceed 139.22GWh by 2025.

　　 Tesla also mentioned in the third quarterly report that this move will increase Tesla's profit margin without increasing the price of the car.

　　 Last year, CATL's square lithium iron phosphate battery entered the domestic Tesla Model 3 supply chain. The cost of the battery dropped significantly, and the price of the Model 3 was lowered to 235,900 yuan. This year, Tesla's Model Y also uses lithium iron phosphate batteries, and the price of the vehicle has dropped to 276,000 yuan.

　　 Since the beginning of this year, lithium iron phosphate batteries have been widely used in the field of new energy vehicles due to their low cost, high stability and safety, and their installed capacity and proportion of output have continued to rise.

　　 According to the domestic power battery installation data in September, the ternary battery installed 6.14GWh and the lithium iron phosphate battery installed 9.54GWh in September, leading the ternary battery for three consecutive months. In terms of output, the ternary battery output in September was 9.63GWh, accounting for 41.56% of the total output; the lithium iron phosphate battery output was 13.51GWh, accounting for 58.31% of the total output, surpassing the ternary battery for five consecutive months. Under the influence of Tesla's head effect, the future installed capacity of lithium iron phosphate batteries is expected to continue to rise.

　　 Tesla’s third-quarter revenue was USD 13.757 billion (approximately RMB 88.861 billion), an increase of 57% year-on-year; net profit was USD 1.618 billion (approximately RMB 10.451 billion), an increase of 389% year-on-year. This is the ninth consecutive quarter of profitability for Tesla.

In terms of delivery, Tesla’s Q3 electric vehicle delivered a total of 241,391 units, an increase of 73% year-on-year, of which, Model 3 and Model Y delivered 232,102 units, an increase of 87% year-on-year; in terms of output, Tesla’s Q3 electric vehicle total Production was 237,823, of which Model 3 and Model Y produced 228,882, a year-on-year increase of 79%.