driving profits: panasonic to expand in lithium-ion batteries

Osaka, Japan, August 21 (Reuters)-
Panasonic will expand its lithium
Ion battery business, increased by nearly last year
A record net loss, people familiar with the matter said on Wednesday, but is now contributing to a turnaround strategy for the auto industry.
Japan electronics group, still fresh in its memory, has lost $15 billion in the past two years and will invest at least 20 billion yen ($200 million)
To increase production of small and large lithium this year
People familiar with the matter said ion batteries for car manufacturers.
Although this is only a small part of the 83 billion yen Panasonic will spend in the automotive and industrial systems sector --
This was marked as a key source of growth as the company restructured its losses
TV and other production operations-
It is worth noting that the battery business has lost money in the past fiscal year.
According to sources, Panasonic plans to build a small battery production line at a factory in the Osaka area in western Japan and re-produce it
Start another line at the independent Osaka factory.
It also built a new production line at the Kasai plant in western Japan to build a larger lithium-ion batteries.
They say they plan to start operations there next spring.
As demand for laptops declines and Asian competitors intensify, the business in the small battery industry is particularly difficult.
Sony Corp. , another struggling Japanese electronics maker, said it might sell lithium.
Ion battery business that makes small batteries for PCs, tablets and mobile phones.
But Tesla Motors Inc. , a Panasonic customer . ) the use of unconventional small batteries in its Model S electric vehicles has helped drive a rebound in demand, along with Toyota, Volkswagen and other hybrids and electric vehicles that use larger batteries.
Panasonic small lithium-
The ion battery department was outstanding in April.
In the quarter of June, 4.
Operating profit of 1 billion yen, 5 pounds.
Profits of 8% mark a shift from a loss of 2 billion yen in the same period last year.
Panasonic is working to meet the products of industrial customers such as car manufacturers and to produce navigation systems, sensors and audio equipment for these customers.
CEO kazuiro Tsuga aims to double the company\'s car sales
Related sales reached 2 trillion yen by 2018.
Panasonic has cut capital spending by about 205 billion yen this year to save cash, but promised to continue spending on key businesses.
\"We are becoming more selective about capital spending, but we will make the necessary investments where needed,\" Chief Financial Officer Hideaki Kawai told Osaka near the group\'s headquarters in Kadoma on Tuesday.