In a press release the company said that it will continue to make TV’s but will not manufacture its own LCD panels. The company withdrew from making plasma TV production three years ago.
Panasonic has been making LCD panels from its Himeji factory in western Japan since 2010. Company executives are now planning to end production of the parts by September.
They say they will continue to manufacture LCD panels at the plant for products other than televisions, such as medical equipment and cars. But they say cuts in output will lead to transfer of hundreds of workers to other factories or offices, out of about 1,000 currently employed at the plant.
The move leaves Sharp and its Taiwanese parent firm Hon Hai as the only Japanese producer. Panasonic said that its executives are trying to streamline operations to focus more on profit, rather than scale of sales.