Panasonic exits unprofitable washing machine, refrigerator segments in India
29 Jun 2025

Japanese electronics giant Panasonic has announced its exit from India's refrigerator and washing machine segments.

The decision comes as part of a global restructuring strategy, aimed at focusing on more profitable verticals such as heating, ventilation, and air conditioning (HVAC); business-to-business (B2B) solutions; and home automation.

The company's market share in both of these segments was minimal.

Market share was below 2% in both categories
Market performance

According to GfK data, Panasonic's market share in washing machines was a mere 1.8% and just 0.8% in refrigerators.

The company has reported six consecutive years of sales losses in both categories.

"This is in line with our global strategy and evolving market dynamics," a Panasonic Life Solutions India spokesperson said, adding that they will focus on HVAC and televisions while discontinuing washing machines and refrigerators.

Panasonic will assist dealers in clearing existing stocks
Strategic shift

The company will assist dealers in clearing existing stocks and continue providing complete after-sales service, including spare parts and warranty.

This decision is part of a larger strategy by Panasonic Group CEO Yuki Kusumi, who had announced plans to exit unprofitable businesses globally.

For its India operations, Panasonic will continue investing in other key verticals.

Consumer electronics portfolio to remain unchanged
Product continuity

Despite the restructuring, Panasonic has clarified that its consumer electronics portfolio—air conditioners, televisions, kitchen appliances, beauty products, and Lumix cameras—will remain intact.

"In our journey toward long-term sustainable growth, we acknowledge that the evolving business model has led to certain roles being restructured. This is a difficult but necessary step," the spokesperson said.

Panasonic India reported a revenue of ₹11,500 crore in FY25 with double-digit growth overall.

Competitor stocks surge post-announcement
Market reaction

The news of Panasonic's exit from the refrigerator and washing machine segments has already impacted the Indian stock markets.

Shares of competitors Whirlpool and Voltas surged on June 26, with some closing up to 18% higher.

The jump was fueled by investor expectations that these companies could take over Panasonic's market share in these categories.