Panasonic AWE unveils a new China-Northeast Asia business strategy: building on China as the foundation, driving global win-win development

Sina Digital News, March 12 — The 2026 China Home Appliances and Consumer Electronics Expo (AWE) officially opened in Shanghai. Panasonic showcased its theme, “A Century of Craftsmanship, Intelligent Comfortable Living,” at the exhibition, and on the opening day held a core strategic launch event, unveiling two major business strategies for Northeast Asia and China home appliances, clearly outlining a development blueprint for deepening China’s market and empowering global growth. This release confirmed that Panasonic will implement a new business structure starting in April this year, upgrading its China operations from “In China, For China” to “In China, For the World,” while establishing a business philosophy of mutual benefit among brand, channels, and users. The focus will be on core businesses such as living space appliances, fully presenting its development plan in China and its global integration approach.

Panasonic China Business Strategy Launch and Top Channel Partner Conference

Strategic Upgrade: Panasonic China Business Embarks on a New Globalization Journey

Panasonic Group will officially launch its new business structure in April 2026. During the event, Panasonic Corporation CSO and Northeast Asia Business President Masaharu Nakayama detailed the positioning of the Northeast Asia business under this new structure and explained the strategic direction.

Panasonic’s mid-term plan focuses on three key areas: solutions, components, and smart living. The new Panasonic Corporation will oversee the smart living sector, aiming to increase profits while enhancing brand value, staying close to customers, and continuously contributing to society. Under this new structure, Panasonic will transition from the first phase—CNA (China Northeast Asia Company)—to the second phase—CNAB (China Northeast Asia Business). With departments dedicated to major appliances, small appliances, AVC products, and global marketing, the Northeast Asia business is under the umbrella of the new Panasonic Corporation, serving as the only regional organization with cross-business coordination functions, tasked with upgrading from “In China, For China” to “In China, For the World.”

Regarding the strategic thinking of using China as a starting point to drive global growth, Nakayama stated that since the establishment of CNA in 2019, Panasonic has followed the principle that “China’s affairs are decided in China,” continuously advancing localization reforms with remarkable results. From 2019 to 2024, CNA generated over 15 billion RMB (about 300 billion yen) in operating cash flow. This success is attributed to three key factors: product differentiation; market, distribution channels, and customer touchpoints; and talent. By honing China-specific costs, models, and speed, Panasonic significantly shortened product development cycles and successfully built cost competitiveness meeting global standards. Relying on China-originated planning and development, Panasonic has launched high-value-added new products such as living space appliances, Himalaya series refrigerators, and ALPHA washing machines, creating new market opportunities.

Nakayama further emphasized that the core initiative of CNAB is to provide space value. Looking toward a sustainable future, Panasonic aims to offer spaces that contribute to health and the environment, aligning with the Wellness Smart (WS) concept. Another initiative is expanding “Made by China,” promoting innovative products originating from China to the global market. These products, evolving to meet the diverse needs of China’s 1.4 billion people, will serve as a foundation for accelerating global expansion.

Additionally, Panasonic’s small kitchen appliances business will undergo a thorough reform, accelerating R&D innovation from China, fostering growth and strengthening its foundation. Panasonic will work toward achieving global standard costs based on global benchmarks, leveraging China’s position as the world’s largest supply chain market to speed up global expansion. At the same time, the company will strictly adhere to the quality standards refined in China, accurately meet genuine user needs, and enhance customer satisfaction through innovative products to achieve sustainable growth.

Panasonic Corporation CSO and Northeast Asia Business President Masaharu Nakayama

Breaking Barriers: Coexistence and Win-Win Across Market Cycles

Lin Yibin, Vice President of Panasonic Corporation China Northeast Asia Business and Head of Smart Living Business Division, delivered a speech on Panasonic’s China home appliance strategy, systematically explaining how Panasonic will further solidify and deepen the win-win reform strategy among customers, channels, and the company amid industry changes.

Lin Yibin noted that the current Chinese home appliance market features “three constants and two changes”: demand continues to decline, the existing market is increasingly competitive; consumer demand shows a K-shaped divergence, and industry growth faces challenges; however, China remains the core hub of the global home appliance industry. Meanwhile, domestic brands are accelerating their overseas expansion, and strategic cooperation among companies is deepening; channel flattening improves efficiency, and market agility is increasing, with dealers facing survival challenges.

Panasonic’s century-old management wisdom advocates a “coexistence and win-win” business philosophy. Upholding the mission that “businesses are societal tools,” working hand-in-hand with all stakeholders to coexist and win is the only way for long-term development through industry cycles. After 48 years in China, Panasonic has consistently adhered to the following business principles: using differentiated products and solutions to meet diverse consumer needs and deliver better quality life experiences; employing a core channel strategy of online platforms,代理商 (agents), and hypermarkets to connect the full customer journey and build a new ecosystem of full-channel collaboration, enabling partners to achieve sustainable growth and long-term benefits; continuing to focus on China to ensure long-term, stable, high-quality development, aiming to be China’s number one foreign brand.

Looking ahead, Panasonic’s China home appliance business will deepen through three strategic initiatives: first, focusing on in-depth development of individual products, continuously strengthening high-quality offerings based on customer value, and creating popular flagship products like the world’s first four-tube heat pump washer-dryer ALPHA G5 and rice cookers; second, evolving the “Living Space Appliances” strategy in 2026 with comprehensive solutions for “living spaces,” including the launch of the Himalaya flagship series and upcoming upgraded product lines; third, practicing the “coexistence and win-win” strategy by building an open business ecosystem through deep, boundaryless cooperation across the entire industry chain and addressing genuine user needs to unlock incremental value in the home appliance industry.

Lin Yibin, Vice President of Panasonic Corporation China Northeast Asia Business and Head of Smart Living Business Division

Countercyclical Growth: Profit and Channel Dual-Drive for High-Quality Development

Hu Jinxin, Head of Marketing at Panasonic China Northeast Asia Business Smart Living Division, highlighted the company’s impressive achievements over the past year with “兑现” (“Delivering Results”) as the key theme. In 2025, amid fierce price wars in the industry, Panasonic home appliances refused to participate in bottomless competition. Direct sales categories grew by 106% year-over-year, with market share increasing by over 30%, and profit quality improved against the trend. This success was driven by three core principles: “prioritizing structure, stabilizing pricing systems, and achieving win-win value chains”—upgrading product structures for long-term profits; maintaining stable pricing to ensure channel profitability; and insisting on value chain cooperation without zero-sum games.

In 2026, Panasonic will further focus on promoting “Living Space Appliances” solutions, reducing low-margin products, and concentrating resources on creating reliable bestsellers. The company will also upgrade profit protection mechanisms, using digital tools to strictly control price cuts and prevent channel profit erosion for short-term gains. The goal is to become the foreign brand with the best profit quality, operational stability, and channel confidence.

Hu Jinxin, Head of Marketing, Panasonic China Northeast Asia Business Smart Living Division

Panasonic’s China Northeast Asia business has clarified its global development focus centered on China, along with its strategic direction of mutual benefit among brand, channels, and users. Moving forward, Panasonic will leverage the Chinese market to advance its global expansion and brand development plans.