Panasonic Energy Partners with H&T Recharge for Battery Can Production Lines

Panasonic Energy has signed a new contract with German company H&T Recharge for the supply of battery can production lines for cylindrical battery cells. The two companies have been collaborating since 2017.

H&T currently supplies Panasonic with production lines for battery cans, enabling the production of battery cells with an annual volume of around 40 GWh at Panasonic and Tesla’s Gigafactory 1 in Nevada. The companies are working together in a factory-in-factory approach.

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Under the new contract, H&T will supply and install four new, fully automated production lines for battery cans at Panasonic’s new factory in Kansas, located at the De Soto site. Scheduled to go into operation in March 2025, the factory will have an annual capacity of 30 GWh, initially producing 2170 round cells, similar to those produced in Nevada.

According to H&T, De Soto is an ideal location for the new joint facility and represents “an important milestone for H&T’s growth in the electric vehicle battery market.” Product and process development will remain based in Marsberg, Germany.

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Panasonic attributes the expansion of electric car battery production to the growing global demand for electric vehicles. To meet this demand, Panasonic is improving battery performance and durability to increase range. The company designs and manufactures lithium-ion batteries using components optimized for the entire cell, including battery containers or cans, to reduce issues like cell rupture and thermal runaway.

H&T’s production line concepts in North America are fully automated, ensuring stable and efficient mass production and consistent quality. This expansion of cooperation is part of Panasonic’s strategy to strengthen its supply chains in North America by increasing local procurement of battery components through H&T’s US sites.

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Tobias Ott, President of H&T Recharge, commented, “Panasonic Energy is a great partner for H&T, who has over 40 years of experience in the mass production of cylindrical battery cans.” He added that H&T’s mass production resources and experience, combined with research and development in Germany, will ensure the success of their plans together.