Panasonic Group's battery unit took a step forward to localize production in the US. Panasonic Energy announced on December 12 that it will purchase nano-composite silicon anode material for EV batteries from US-based Sila Nanotechnologies, as part of its efforts to increase battery energy density.
According to Panasonic Energy's announcement, silicon has, in theory, 10 times the capacity of graphite, commonly used in today's battery anodes. Sila's Titan Silicon can provide higher capacity and suppress expansion during charging. The expansion may cause the degradation of battery performance.
Sila said its silicon materials can increase the driving range by 20% and shorten battery charging time. The company aims to drive the time down to 10 minutes.
Incorporated in 2011, Sila claimed that it shipped the world's first commercially available silicon anode for lithium-ion batteries in 2021. The company said its materials power consumer electronics and will support EVs, starting with the Mercedes-Benz G-Class series, scheduled to debut in 2025.
Panasonic Energy plans to increase battery energy density by 25% by 2031. It will replace a larger proportion of graphite in the anode with silicon to help it achieve the goal and enhance EV performance.
The Japanese battery maker said it has a strategic focus on North America and is strengthening local supply chains. With the agreement with Sila, Panasonic will source silicon materials from Sila's plant in Washington State, the US. The move will enable carmakers to meet requirements for the tax credits offered by the Inflation Reduction Act (IRA).
While being one of the world's biggest battery players, Panasonic has been conservative in overseas expansion compared to competitors. The company supplies batteries to Tesla at its Nevada plant in the US. It is constructing another plant in Kansas.
In July, Shoichiro Watanabe, Panasonic Energy's chief technology officer, told Reuters that the company would have to build four more plants to achieve its battery production capacity target. It previously said it plans to reach 200GWh of EV battery capacity by early 2031.
