Tesla Signed A $16 Billion Deal For Samsung AI Chips. It Just Inked Another Deal To Sidestep China.

Tesla is reportedly continuing to reduce its reliance on China, largely through avoiding the effects of tariffs. On Wednesday, the EV giant reportedly a $4.3 billion contract with South Korea-based LG Energy Solution for lithium iron phosphate, or LFP, batteries to be used in energy storage systems over three years. LG Energy Solution on Wednesday said it signed the $4.3 billion contract to supply LFP batteries with the deal running from August 2027 to July 2030 and includes an option to increase the volume and extend the duration for up to seven years.