Panasonic Energy's Strategic Shift Away From Chinese Supply Chain

Panasonic Energy, a key Tesla battery supplier, aims to reduce its reliance on Chinese supply chains in response to potential U.S. tariffs under President Trump's administration. The company is focusing on diversifying its supply to safeguard against trade policy uncertainties, particularly in the U.S. and global market.

Panasonic Energy, a major supplier of electric vehicle batteries to Tesla, is determined to cut its supply-chain dependence on China for its U.S.-made products. This move is prompted by anticipated tariffs under President Donald Trump's administration, according to senior executive Allan Swan.

The Japanese company's strategic realignment underscores a global business shift as firms reassess manufacturing processes amid anticipated U.S. tariffs on Chinese imports. Particularly, Panasonic seeks to overhaul its supply network to align with potential new trade policies.

The firm operates a Nevada factory and is expanding with a forthcoming Kansas plant, reflecting proactive measures to mitigate risks associated with fluctuating international trade relations.

(With inputs from agencies.)