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Panasonic Energy opens lithium-ion battery facility in Kansas

| By Mary Bailey

Panasonic Energy Co., a Panasonic Group company, announced the official opening of its new cylindrical lithium-ion battery factory for electric vehicles (EVs). Located in De Soto, just outside Kansas City, the facility marks the opening of one of the largest automotive battery plants in North America. The grand opening ceremony was held on July 14 to commemorate the milestone. Panasonic Energy has also begun mass production of 2170 cells at the second North American facility, the Kansas Factory, with plans to establish an annual production capacity of approximately 32 GWh in the future.

Panasonic has opened one of North America’s largest EV battery factories (Source: Panasonic Energy)

Built on a site spanning approximately 300 acres— the size of more than 225 American football fields—the Kansas Factory signifies Panasonic Energy’s long-term commitment to investing in and advancing the electric vehicle industry through a dual-region model in Japan and North America. As the company’s second EV battery production site in the region, following the Nevada Factory, which has been operating since 2017 with the current annual capacity of approximately 41 GWh, the Kansas Factory aims to significantly boost Panasonic Energy’s U.S.-based production capacity to approximately 73 GWh once fully operational. The new plant will also help meet the demand from automotive customers expanding their electric vehicle production.

Panasonic Energy has focused on inventing and perfecting production of high-performance, high-quality cylindrical lithium-ion batteries to meet the range, capacity, and safety demands of North American customers. Starting with EV battery production in Japan, Panasonic Energy has since become an industry leader, expanding the production of these advanced batteries in North America and contributing significantly to the growth of the EV industry. With approximately 30 years of experience in lithium-ion battery manufacturing and around 8 years of production expertise at the Nevada Factory in Sparks, Nevada, the company has grown the Nevada facility into one of the largest lithium-ion battery manufacturing sites in North America in terms of output, employing over 4,000 people and delivering more than 11 billion cells to date. Building on this proven track record, Panasonic Energy aims to further advance manufacturing capabilities and achieve stable mass production at the Kansas plant at an early stage.

By introducing labor-saving production lines, the Kansas Factory is expected to achieve approximately 20 percent higher productivity compared to the Nevada Factory. In the near future, Panasonic Energy plans to introduce products using advanced materials that will increase cell capacity by around five percent. This also represents a significant step forward in Panasonic Energy’s efforts to strengthen the domestic supply chain for electric vehicles, thereby enhancing the company’s competitiveness in North American battery manufacturing and commitment to sustainability.

As the largest economic development project in Kansas state history, the factory is expected to create up to 4,000 direct jobs and approximately 8,000 jobs in total, including those in supplier and related industries. Panasonic Energy is also collaborating with institutions such as the University of Kansas to promote long-term industry-academia partnerships focused on technological advancement and specialized talent development, contributing not only to the economic growth of De Soto and the surrounding Kansas region, but also to the revitalization of the U.S. manufacturing sector, the cultivation of a skilled workforce, and the long-term strength of the economy.

Kazuo Tadanobu, CEO of Panasonic Energy stated, “The opening of our Kansas Factory marks a major milestone in our journey to scale advanced battery production in the United States. This achievement would not have been possible without the strong support of our local partners and the State of Kansas. Together, we are accelerating the shift to electrification, reinforcing regional supply chains, and nurturing the next generation of battery talent. This facility represents not only our commitment to the region but also a foundation for long-term collaboration and innovation in the U.S.”