June 12, 2026

The Kansas factory, located in De Soto, was opened on 14 July 2025, with Panasonic noting plans to establish an annual production capacity of approximately 32GWh. Image: Panasonic

Japanese consumer electronics giant Panasonic intends to convert its electric vehicle (EV) battery cell manufacturing facility in Kansas, US, to produce batteries for data centre applications, beginning Q3 of 2029.

The plan was noted in an 8 June investor presentation from Panasonic Energy, detailing the company’s intentions to repurpose electric vehicle (EV) battery production lines in Japan for data centre applications, ramp up and convert its Kansas factory for data centre applications, and expand module plants in Mexico for data centre battery energy storage system (BESS) applications.

Panasonic also plans to allocate about JP¥350 billion (US$2.18 billion) to its Energy division, which supplies Tesla, as part of a broader US$3.12 billion investment in AI infrastructure spanning fiscal years 2026 through 2028.