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Panasonic Corp. plans to build a U.S. factory to supply Tesla Inc. with lithium-ion batteries, NHK has reported, seeking to ramp up production to meet anticipated demand for electric vehicles.

The Japanese electronics conglomerate is looking at sites in Oklahoma and Kansas to build the plant, the public broadcaster reported, citing an unidentified source. Tesla is bringing a new factory online in nearby Texas, where it recently established a new headquarters in Austin.

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