Panasonic Announces Increased Production of Semiconductor Mounters, 15 Billion Yen Investment in Expansion of China and Japan Factories
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Update time : 2023-07-15 11:03:31
Panasonic Connect, a subsidiary of Panasonic Holdings, will increase production of semiconductor mounters and plans to invest about 15 billion yen (currently about $100 million) to expand its Kofu factory in Japan and its Jiangsu factory in China, according to a report by Nikkei.com. Panasonic plans to increase the production capacity of mounters by 50 percent by 2025 compared to 2021.
Mounters are critical to the production of electronic devices such as smartphones and personal computers, and Panasonic Connect forecasts the mounter market to grow from 380 billion yen (currently about $2.7 billion) in 2020 to 630 billion yen (currently about $4.48 billion) by 2030. Although demand for placement machines is expected to shrink in 2023 due to smartphone production and stagnant semiconductor sentiment, Panasonic expects long-term demand for placement machines to continue to grow against the backdrop of the popularization of all-electric vehicles and autonomous driving technology. Under the new investment program, Panasonic Connect's main plant in Kofu, Japan, will increase its capacity by 30%, while the plant in Jiangsu, China, will double its capacity from 2021 to 2025 with the construction of a second plant. Panasonic Connect currently has a share of around 30% of the mounter market, making it one of the world's top three, along with Fuji, another Japanese company. Panasonic Connect's "process automation business," which includes mounters and welders, is expected to generate sales of 221.9 billion yen ($1.578 billion at present) in fiscal 2022, and is expected to increase to 400 billion yen ($2.845 billion at present) by 2030.
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