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Panasonic Electric Vehicle Battery Facility
In Spring, 2025, Panasonic Energy North American will open a 300-acre manufacturing facility in De Soto at Astra Enterprise Park. The facility represents the largest economic development project in Kansas’ history. The plant will make up less than 10 percent of net developable acreage on the previous Sunflower Army Ammunition Plant, but that’s still big enough for the Empire State Building to lie flat from end-to-end.
When the facility is up and running, it will increase Panasonic Energy’s global capacity by 60 percent. The facility will produce lithium-ion batteries for electric vehicles around the world.
Panasonic Energy De Soto - Job Postings
Summary of Local Community Benefits
By investing an already-budgeted $2 Million for road improvements, De Soto is poised to see a return of an estimated $400 Million dollars – in combined infrastructure, educational, and community benefits – over a 20-year period.
- Significant Return on Investment: In exchange for forgoing $70.3 Million in property taxes (potential revenues only made possible by Panasonic’s development) De Soto and NWCFD will receive over $248.5 million in essential infrastructure upgrades alone – a return of more than triple the investment.
- Enhanced Education Resources, Without Added Strain: During the 20-year incentive period, local schools will receive $14 Million in property taxes, and State education will receive $35 Million in property taxes - without the addition of a single student to its enrollment.
- Panasonic’s Financial Commitment: Beyond construction, Panasonic will contribute $19.4 million in special assessment taxes, supporting fire and City services that keep our community safe and well-managed.
- Sustainable Municipal Revenue: The franchise fees from Panasonic, estimated at $3.68 million annually, promise a sustained financial stream for City initiatives, infrastructure maintenance, and could lower the tax burden on residents.
- Boost to the Local Economy: Panasonic's presence has already energized De Soto's retail environment, with retail sales activity in the past year exceeding the previous year by an impressive 128%.
Capital Improvements Resulting from Panasonic Development
| Amount Funded by De Soto | Amount Funded by Panasonic | Amount Funded by KDOT or Johnson County | Total Project Costs | |
| Water Treatment Facility | - | $54,500,000 | $0 | $54,500,000 |
| Sewer Treatment Facility | - | $43,300,000 | $0 | $43,300,000 |
| Sewer System Expansions | - | $40,000,000 | $0 | $40,000,000 |
| New Water Tower | - | $7,700,000 | $0 | $7,700,000 |
| Local Road Construction | $2,000,000 | $9,570,000 | $72,430,000 | $84,000,000 |
| New Fire Station | - | $9,650,418 | $7,500,000 | $17,150,418 |
| New Fire Truck | - | $1,800,000 | $0 | $1,800,000 |
TOTALS | $2,000,000 | $ 166,520,418 | $79,930,000 | $248,450,418 |
Other Community Benefits
| Initial or Annual Benefit | Total over 20-years | |
| Investment Gains on Capital Project Funding Deposits Made to City by Panasonic | $3,932,000 | $3,932,000 |
| Franchise Tax on Electrical Usage | $3,680,217 | $77,204,340 |
| State School Funding (20 Mills Protected from TIF) | $1,748,898 | $34,977,952 |
| USD 232 Local School Funding (8 Mills Protected from TIF) | $700,000 | $14,000,000 |
| Annual Panasonic Payments for Fire Service | $700,000 | $17,008,093 |
| Annual Panasonic Payments for Roads and Police | $100,000 | $2,429,727 |
| TOTAL | $149,552,112 |
Financial Benefits Accumulated
(Updated Sept. 2024)
| Increased Collections to Date | 2024 Budget | 2024 Updated Projection | |
| City Sales Tax Collections (Aug 2023 - Aug 2024) | $2,560,000 | $1,980,000 | $3,650,000 |
| Electric Franchise Fees | $100,000 | $725,000 | $1,200,000 |
| Investment Gains on Capital Project Funding Deposits Made to City by Panasonic | $2,300,000 | $0 | $3,000,000 |
| Building Permit Fee | $955,105 | N/A | N/A |
| Excise Tax | $1,257,000 | N/A | N/A |
TOTAL | $ 4,161,604 |
Tax Incentives from the City and NWCFD
In exchange for forgoing $70.3 Million in property taxes (potential revenues only made possible by Panasonic’s development) De Soto and NWCFD will receive over $248.5 million in essential infrastructure upgrades alone – a return of more than triple the investment.
| Initial | Annual | Total Over 20 Years | |
| City Property Taxes | - | $1,828,035 | $36,560,704 |
| NWCFD Property Taxes | - | $1,687,424 | $33,748,477 |
| Total | $70,309,181 |
Panasonic By the Numbers
Panasonic Selected De Soto Due to Existing Workforce
- 1,300 Existing Manufacturing Industry jobs in De Soto, KS
- Huhtamaki Americas
- Engineered Air
- Merck Animal Health
- Custom Foods,Rehrig Pacific
- 3,200 Existing Manufacturing Industry jobs in 10-mile radius
Panasonic Job Postings
Manufacturing Jobs
- 4,000 Jobs in the Manufacturing Industry - Initial estimate at announcement
Total Job Impact
- 7,800 Total Job Impact
- 51% direct jobs + 26% indirect jobs due to suppliers/vendors + 23% induced jobs because workers spend money on goods/services
- Other industries: retail, trade, wholesale trade, transportation/infrastructure/public utilities)
$52,000 Average Manufacturing Industry Job Wage - includes production & support
$165 Million Total Infrastructure & Facility Improvements
- $2.0 Million Funded by De Soto
- $40 Million funded by County and State
- $123 Million Funded by revenues generated from Economic Development
Breakdown:
- $60 Million Road Improvements
- $38 Million Water Treatment Upgrades
- $26 Million Sewer Treatment Upgrades
- $20 Million Sewer Lines
- $9 Million Water Tower
- $12 Million Fire Station
- $2.5 Billion Annual Economic Impact
- $450 Million Annual Labor Income
$8,000 Average Childcare Cost in Region Per Child, Annually
- $16,000 Average De Soto Household Spends on Transportation Per Year
- 51% of current De Soto workforce live outside of De Soto (most come from Shawnee & Olathe)
- 7% of current De Soto workforce live and work in De Soto
- 26% of De Soto workers drive somewhere else to work
- 26 Minute Average Drive to Work by De Soto Resident (same as national average)
Assume 2.6 people/household
- 2,300 Current De Soto Housing Units
- 80% Single Family
- 20% Multifamily
- 100 Single Family Buildable Lots for Sale in De Soto
- 2,500 De Soto Housing Units “In the Pipeline”
- 2% Single Family
- 98% Multifamily
- 2,300 – 2,500 Housing Units Needed for Panasonic Workforce by 2026
- $1,000 to $1300/month (30% of income for one person household)
- $150,000 to $200,000 home price (30% of income for one person household)
- $2,000 to $2,600/month (30% of income for two-person household)
- $330,000 to $380,000 (30% of income for two-person household)
- $320,000 Average Home Sales Price in Region (Feb 2023)
- $450,000 Average List Price in De Soto (April 2023)
Panasonic FAQs
In Spring, 2025, Panasonic Energy North American will open a 300-acre manufacturing facility in De Soto at Astra Enterprise Park. The facility represents the largest economic development project in Kansas’ history.
The project is expected to drive significant economic activity and opportunities for the local economy and result in an investment of approximately $4 billion.
Panasonic Energy plans to expand its production of EV batteries, as the automotive industry shifts to more sustainable electric technologies. This planned state-of-the-art facility will create and supply lithium-ion batteries and accelerate the future of electric vehicle innovation on a global scale.
The plant is expected to employ between 4,000 and 4,500 people.
Panasonic will bring thousands of good-paying, high-quality jobs to our state which will be a massive economic benefit for local businesses and our communities for decades to come. This aligns with the goal of making Kansas a destination for industry, defense, education, science, technology, engineering, and innovation.
Panasonic Job Postings Here
You can visit Panasonic's job portal or search popular job boards like Indeed, ZipRecruiter, and LinkedIn.
Assurances of this nature are typically included in a Development Agreement associated with any local taxing incentive, which is yet to be negotiated.