| Japan Corporate News Network |
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| Fire at Matsushita Plant May Affect Phone Battery Replacement |
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Tokyo, Oct 1, 2007 (Jiji Press) - Matsushita Battery Industrial Co. is suspending its production of lithium-ion batteries for mobile phones due to a fire at a western Japan plant, a development that may affect the ongoing worldwide replacement of batteries for Nokia Corp.'s mobile handsets, it was learned Monday.
The fire occurred on Sunday at the manufacturing complex located within the premises of Matsushita Battery's head office in Moriguchi, Osaka Prefecture, hitting the building that houses the manufacturing line for lithium-ion batteries for notebook computers.
Matsushita Battery, a unit of Matsushita Electric Industrial Co. <6752>, is suspending the line along with one for making batteries for mobile handsets, located in the same building, company officials said.
It remains to be seen when Matsushita Battery will be able to resume the operations of both lines, the officials said, adding that the company does not know yet how much damage the fire caused.
Matsushita Battery manufactures lithium-ion batteries in Moriguchi and China, with a combined monthly capacity of 25 million units. The company has not disclosed the capacity of the Moriguchi plant alone.
At present, Matsushita Battery is recalling lithium-ion batteries for Nokia handsets around the world following reports of overheating and fires. The free replacement covers a total of 46 million batteries.
A prolonged suspension at the Moriguchi plant could affect the recall as well as the company's supply of notebook computer batteries to computer makers.
Copyright © 2010 JCN. All rights reserved. A division of Japan Corporate News Network KK.
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