Tesla’s battery cell supplier Panasonic broke ground on a new lithium-ion battery manufacturing facility in De Soto, Kansas, which will contribute about 30 GWh of annual capacity in North America.
The facility will focus on rapidly ramping up production of 2170 cylindrical cells to meet increasing domestic demand in the United States. Panasonic plans to mass produce the battery cells by March 2025 and will add 30 GWh of capacity to supply batteries to EV companies in the United States upon completion of the facility.
Photo credit: Panasonic
Photo credit: Panasonic
Photo credit: Panasonic
Kazuo Tadanobu, President and CEO of Panasonic Energy Co., Ltd., commented on the announcement:
“This groundbreaking in Kansas is an important step in expanding our manufacturing capacity in North America to meet the rapidly growing demand for lithium-ion batteries. With our leading technology, proven expertise, and the State of Kansas as a critical partner, we will continue to advance the industry while pursuing a more prosperous and sustainable future for our society.”
The construction of an additional battery manufacturing facility in Kansas fuels Panasonic’s intention to become the dominant supplier of electric vehicle batteries to the numerous automobile companies in the United States. While the company already supplies batteries for Tesla through Gigafactory Nevada, the Kansas manufacturing facility is expected to forward cells to Gigafactory Texas, where Tesla currently uses 2170 and 4680 cells for the latest Model Y models.
Panasonic landed in Kansas as a site for the plant back in July, but may have given out land in nearby Oklahoma. Kansas offered other benefits, including a strong and diverse talent pool that is expected to fill 4,000 jobs at the factory. Panasonic is investing $4 billion in the facility, and Tadanobu said the facility will help bolster production capacity in a market with rising demand.
“As the global EV transition accelerates, we are looking at ways to strengthen our battery manufacturing capacity in North America to meet growing demand from our automotive partners,” Tadanobu said last month.
While Panasonic only specifically mentioned 2170 cells in its announcement, the company is expected to eventually switch to factory production of 4680 cells. Tesla and Panasonic worked together to develop the 4680 cell, which Tesla unveiled at its Battery Day event in late 2020.
Panasonic reportedly sent 4680 samples to Tesla in June. Large-scale prototype production of the 4680 cells is expected to start in May 2023 in Japan, Tadanobu said.
I would like to hear from you! If you have any comments, concerns, or questions, please email me at [email protected]. You can also reach me on Twitter @KlenderJoeyor if you have any news tips, you can email us at [email protected].
Tesla supplier Panasonic breaks ground on 30 GWh electric vehicle battery factory in Kansas
