Reorganization of Production Bases of AVC Business to Strengthen Competitiveness

Selangor, Malaysia — July 27, 2026 — Panasonic AVC Networks Kuala Lumpur Malaysia Sdn. Bhd. (PAVCKM) will be ceasing TV production and transfer the production of Blu-ray Disc Players to China Hualu Panasonic AVC Networks Co., Ltd. (CHPAVC) in China by the end of September 2026. This is to strengthen the competitiveness of Panasonic’s AVC business.

In addition, to strengthen product competitiveness and optimize Panasonic’s manufacturing footprint in Malaysia, PAVCKM will discontinue the production of Technics-branded Hi-Fi audio products by the end of February 2027 and transfer the production to another Panasonic Group.

Panasonic will continue manufacturing audio products in Malaysia while further enhancing operational efficiency across its production activities. Sales and service operations for TV and audio products in Malaysia will also continue as usual.

As a result of this reorganization, PAVCKM will cease operations. Approximately 400 employees are expected to be affected by the end of March 2027. PAVCKM is working closely with the relevant authorities, government agencies, and Electrical industry Workers’ Union (EIWU) to ensure that all affected employees receive adequate support, including assistance with job placement and career transition.

Malaysia remains one of Panasonic’s key regional hubs. Panasonic Group companies in Malaysia employ approximately 12,000 people across a diverse range of business functions, including high-value-added manufacturing, research and development, and corporate activities. Panasonic will continue investing in Malaysia to support its growth strategy within high-value-added supply chains and remain committed to contributing to the country and local communities.