Panasonic to build new battery factories in North America by 2030.

Panasonic to Build Two New Factories in North America to Ramp Up EV Battery Production

Introduction

Panasonic Holdings Corp, whose energy unit makes batteries for Tesla Inc, plans to build at least two new factories in North America to increase its production of battery cells used in electric vehicles. The company aims to boost its auto battery capacity to 200 gigawatt hours per year by March 2031, which is about four times its level at the end of March.

New Factories for 4680 Battery Production

Panasonic confirmed to Reuters that it plans to build at least two new factories for 4680 battery production in North America by 2030. However, the company has yet to decide where in North America it will add the production capacity. According to the company’s Group Chief Executive Officer Yuki Kusumi, “It could be Nevada, it could be Kansas or it could be somewhere else.”

Joint Venture with Marubeni Corp

Panasonic and trading house Marubeni Corp will form a joint venture around June that will be tasked with issues ranging from installing charging units to managing vehicle batteries. The Nikkei newspaper reported that the firms will build out a delivery network in Japan that will use small electric vans. They will deploy hundreds of EV commercial vans in about two years.

Pilot 4680 Production Line

Panasonic is running a pilot 4680 production line at its Wakayama factory in Japan, while Tesla is already producing the 4680 battery cells. Panasonic will also set up two other new sites to deepen its battery know-how in Japan over the next two years. One is a production technology facility it will establish in Osaka city in 2024, and the other is a site for development of new and next-generation batteries that it plans to set up in 2025 in neighbouring Kadoma city.

Conclusion

Panasonic’s plan to build two new factories in North America to ramp up EV battery production is a significant step towards achieving its goal of boosting its auto battery capacity to 200 gigawatt hours per year by March 2031. With the joint venture with Marubeni Corp and the establishment of two new sites in Japan, Panasonic is well on its way to becoming a major player in the EV battery market.