Panasonic Energy Co., Ltd., a Panasonic Group company, and Kansas Gov. Laura Kelly jointly announced that the state of Kansas has approved an Attracting Powerful Economic Expansion (APEX) state incentive application submitted by Panasonic Energy Co., Ltd. The agreement would make the state the location for a proposed US-based lithium-ion battery manufacturing facility, pending approval by Panasonic Holdings Corporation Board of Directors.

APEX is an incentive program established by the State of Kansas to attract investment in the state, available to qualified companies within specific industry sectors that agree to invest at least $1.0 billion.

Panasonic Energy plans to develop the project at a property in Kansas, which is expected to drive significant economic activity and opportunities for the local economy and could create up to 4,000 new jobs and result in an investment of approximately $4 billion. The company has identified a site in De Soto, Kansas for this potential project.

De Soto is a city in Johnson and Leavenworth counties and part of the Kansas City Metropolitan Area. As of the 2020 census, the population of the city was 6,118.

With the increased electrification of the automotive market, expanding battery production in the US is critical to help meet demand. Given our leading technology and depth of experience, we aim to continue driving growth of the lithium-ion battery industry and accelerating towards a net-zero emissions future.

—Kazuo Tadanobu, President, CEO of Panasonic Energy Co., Ltd.

Panasonic Energy plans to expand its production of EV batteries, as the automotive industry shifts to more sustainable electric technologies. The company has contributed to achieving greater efficiency and economies of scale necessary to drive this transformation.

The announcement comes five years after Panasonic Group began production of lithium-ion batteries at Panasonic Energy of North America (PENA) in Sparks, Nevada for Tesla. PENA is now one of the world’s largest lithium-ion battery factories, surpassing six billion EV battery cells shipped. While PENA’s operations in Sparks, Nevada will continue, the new facility in Kansas is intended to further support Panasonic’s long-term commitment to advancing the EV industry in the US.