Panasonic Corp Chief Executive Kazuhiro Tsuga said on Tuesday that output could soon be increased at Tesla Inc`s "gigafactory" battery plant as the causes of production bottlenecks for Tesla`s Model 3 are now understood.

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Luxury electric vehicle maker Tesla said early this month that "production bottlenecks" had left the company behind its planned ramp-up for the new Model 3 mass-market sedan.

The plant is operated jointly by Panasonic and Tesla. Panasonic produces battery cells for Tesla`s electric vehicles, while Tesla makes battery packs using the cells.

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