Panasonic Quits Production Of Solar Cells
Japanese electronics giant Panasonic says it will stop making solar cells by the end of fiscal 2021 as part of an effort to exit loss-making businesses.
The company makes the cells at its plants in Malaysia and Shimane Prefecture, western Japan. The cells consist of semiconductors that convert light into electricity, and are a key component for solar power generation.
Panasonic inherited the research, development and production of solar cells when it fully acquired Sanyo Electric in 2011. Sanyo had been engaged in the business for over 40 years.
Driven by a growing global interest in renewable energy, Panasonic expanded the business and became one of the top players.
However, the company has lost market share to lower-cost Chinese manufacturers. It has been making losses since fiscal 2016.
Panasonic ended joint production of solar cells with US electric car maker Tesla last year. It plans to completely exit from production of solar cells.
The company will continue selling solar panels that use cells sourced from other manufacturers.
Panasonic says it will maintain employment levels at its plant in Shimane Prefecture, where other devices related to solar power generation will be produced.