Panasonic and China’s GS-Solar to end PV business partnership
Panasonic says that it will exercise its right not to proceed with the proposed collaboration with GS-Solar in the photovoltaic business.
Like Panasonic, GS-Solar is a photovoltaic module manufacturer engaging in research & development, production and sales of heterojunction photovoltaic modules.
In May 2019, Panasonic and GS-Solar reached an agreement to establish a new, jointly operated company after the separation of research and development functions from Panasonic. At the same time, it was also agreed that Panasonic would fully transfer its solar manufacturing subsidiary, called Sun Everywhere Sdn. Bhd. (formerly Panasonic Energy Malaysia Sdn. Bhd.), to GS-Solar.
However, Panasonic says in a press release that it will exercise its right not to proceed with the agreement due to GS-Solar’s “failure to fulfill the requirement necessitated to launch by the deadline agreed to in the contract.”
Panasonic gave an extension to GS-Solar, considering the ongoing COVID-19 impacts on the scheduled procedures. However, GS-Solar could not comply with the requirement by the extended deadline. Panasonic says it will take resolute measures, which does not rule out taking legal action against GS-Solar for a breach of contract.
Moving forward, Panasonic says it will look into every possible measure, including new business collaboration with other partners, to restore profitability in the solar business by the fiscal year ending March 2023, with more focus on the energy solution business combining photovoltaic modules, HEMS and storage batteries.
The company will continue its manufacturing activities for the solar business in Nishikinohama (Osaka), Shimane and Fukushima in Japan as well as in Malaysia.
Source : evertiq
