Panasonic shares plunge 9% due to issues faced by Tesla during past few weeks
Over the last few weeks, US electric carmaker Tesla Motors has been in the news for wrong reasons, and that has apparently taken a toll on the shares of the company’s sole battery supplier, Japan-based Panasonic Corporation.
There has been a 9 percent plunge in Panasonic’s shares, after reports about another fatal crash involving a Tesla vehicle, as well as Tesla’s inability to achieve the production targets for its mass-market Model 3. Moreover, another recent bad-news story linked to Tesla is that Moody's Investors Service has downgraded its rating for the company on account of liquidity concerns.
Due to the issues being faced by Tesla of late, the Panasonic stock has tumbled. In addition, there has also been a sharp rise in the cost to insure Panasonic's five-year debt.
Panasonic’s efforts are presently focused on the auto industry. The company has solid battery technology, and is heavily dependent on Tesla and the broader electric-vehicle industry. In March 2018, Panasonic commenced the production of batteries for hybrid cars in the north-eastern city of Dalian.
Prior to that, in February, Panasonic had made a downward revision to its sales and operating profit estimates for rechargeable batteries for the full fiscal year. The company said that the reason behind the move was that its sales plans in North America had to be pushed out to “future periods.”
In a recent announcement, BYD has revealed that it has opened its new 24 GWh electric-vehicle battery factory this week. The factory is located in the Qinghai province in Western China.
In a recent announcement, New York-based startup Bollinger Motors revealed that it has efforts underway to bring its B1 all-electric utility truck to production. The startup announced that it has partnered with engineering firm Optimal, Inc.
With Germany targeting a figure of 1 million electric vehicles (EVs) cars on its roads by the year 2020, Munich-based EV start-up Sono Motors has efforts underway to launch its solar-powered electric car ‘Sion’ in 2019.
At the Monterey Car Week industry event held at Pebble Beach in California, German automaker Mercedes-Benz has unveiled a new, one-seater all-electric race car prototype --- the ‘Vision EQ Silver Arrow.’
At the 2018 Busan International Motor Show in Korea, Kia Motors is set to unveil the production version of its new all-electric vehicle, the Niro CUV. The South Korean automaker had revealed the all-electric Niro concept earlier in 2018.
According to a Reuters report, Japanese electronics giant Panasonic is seeking new buyers, other than Tesla Motors, for the solar cells which it is producing at the Tesla’s Gigafactory 2 in Buffalo, New York.