The electric automaker by early next year plans to roll out Model 3 sedans containing a new lower-cost, longer-life battery in China, according to Reuters.

The upgraded batteries, which CEO Elon Musk has long teased investors and rivals with, are designed to last for a million miles of use before breaking down and will enable Teslas to sell as affordably as their gas-powered competitors.

They were developed by Chinese battery giant Contemporary Amperex Technology in collaboration with battery experts recruited by Musk.

Tesla’s goal is to achieve the status of a power company, competing with traditional energy providers like Pacific Gas & Electric and Tokyo Electric Power, according to the report.

The batteries, which hold greater energy density and storage capacity while being cheaper to make, will eventually make their way to Teslas in other markets, including North America.

Tesla also plans to implement new high-speed, heavily automated battery manufacturing processes designed to reduce labor costs and increase production in massive “terafactories” about 30 times the size of the company’s sprawling Nevada “gigafactory” — a strategy telegraphed in late April to analysts by Musk.

With Post wires.