In lithium battery production, we worry the most about nickel, so we use lithium iron batteries.

On February 26th, local time on Thursday, electric car manufacturer Tesla CEO Elon Musk tweeted on personal social media Twitter that the company will put some ternary lithium batteries in electric vehicles Replace with lithium iron battery.

Musk said in a tweet, 'Nickel is our most worrying issue in the production of lithium batteries. This is why we have to replace the standard mileage version of electric cars with iron. Lithium batteries. Iron-rich lithium batteries!'

Musk had previously asked miners to produce more nickel. But metals analyst Allan Ray Restauro (AllanRayRestauro) said that the supply of nickel will continue to be tight in the next three years. As demand continues to pick up, there may be a severe nickel supply shortage as early as 2023.

Nickel is a key component used in the production of ternary lithium batteries for electric vehicles, which makes the battery energy density higher and allows the use of cobalt in the battery to be reduced. Because cobalt is more expensive, the supply chain is more opaque.

This year, commodity prices have risen across the board, and the price of nickel on the London Metal Exchange has risen by 16%. Investors are betting that as the economy continues to recover, demand will see strong growth.