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Panasonic Expands Czech Factory to Boost Heat Pump Production

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Panasonic has started operations at a new building in its Czech factory, which produces air-to-water heat pumps. These systems use heat from the atmosphere to generate hot water for building heating and are seen as an important technology for reducing CO2 emissions compared to fossil fuel-based systems. Demand is expected to rise as Europe pushes toward decarbonization.

The factory first opened in 1996 began producing heat pumps in 2018 and added outdoor unit production with natural refrigerant R290 in 2023. In 2024, it expanded its role by setting up an R&D department to meet European market needs.

With the new facility Panasonic plans to increase capacity from 150,000 units to around 700,000 units annually supported by 80 robots and enhanced automation. By 2028, the factory aims to double automation in assembly and reach fully unmanned operation in component processing. It is also raising in-house production of key components to about 70% for improved cost efficiency and quality.

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