Panasonic set to invest $4.9 billion in EV batteries, supply chain software
Japanese multinational corporation Panasonic has announced to expand aggressively in the thriving electric vehicle market. It will invest nearly ¥600 billion (nearly $4.9 billion) in automotive batteries, and supply chain software, among others.
The Osaka-headquartered Group also stated that it will employ 400 billion yen (approximately $3.26 billion) in "growth areas" and 200 billion yen (about $1.63 billion) in "technology pillars" respectively from the financial year 2023 to 2025 end.
The statement comes close on the heels of another Japanese giant Suzuki Motor announcing that it will build a new factory in India to make EV batteries, to kick off production in 2025 or 2026.
"Each operating company of the Group is to invest with the cash generated through its own business and aims for further growth in each business area toward its long-term goals. While maintaining financial discipline, the Group is to make Group-wide strategic investments with the cash generated through enhancement of competitiveness, as well as the investments made by each operating company," the company said in a declaration.
Apart from spending a substantial sum on automotive batteries and supply chain software divisions, Panasonic will also be deploying some resources towards 'air quality and 'air conditioning area', 'hydrogen energy', and CPS (cyber-physical system) in the medium to long term. With these investments, the company is also aiming to post an accumulated operating profit of 1.5 trillion yen over the period.