Panasonic to Build New Lithium-ion Battery Factory in Jiangsu

Matsushita Electric Co., Ltd. has announced that it will establish a new lithium-ion battery plant for mobile phones and computers in China.

The new plant is scheduled to be completed in 2012 and will be located at the production base of Sanyo Electric (which became a subsidiary of Matsushita Electric Industrial Co., Ltd. on April 1) in China. Panasonic's move aims to expand its production capacity in China and eventually increase its price competitiveness. Matsushita plans to reduce the current domestic production ratio from 80% to 90% to 50% by 2015 and increase the proportion of production in China to 50%. It is reported that a new factory to be established in China in 2012 will be located near the Sanyo Suzhou plant. . In addition, the Sanyo (Beijing) plant, which has already started producing lithium-ion batteries, is also introducing new equipment to increase its production capacity.

In another development, the new plant will mainly produce lithium-ion batteries for cell phones, digital cameras and computers. At present, Panasonic and Sanyo Electric are ranked first in the world, but South Korea’s Samsung SDI has also begun to catch up. Therefore, the competition between the above two companies and overseas manufacturers will become increasingly fierce.

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