Panasonic To Shut Down Shah Alam Factory, Around 400 Jobs Affected

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Panasonic will progressively cease operations at its Panasonic AVC Networks Kuala Lumpur Malaysia Sdn Bhd (PAVCKM) factory in Shah Alam, with around 400 employees expected to be affected as the company restructures its global manufacturing operations.

The Japanese electronics manufacturer said production of televisions at the Shah Alam facility will end by September 2026, while the plant is expected to cease operations completely by March 2027.

The move is part of Panasonic’s global manufacturing reorganisation, which will see production of several product lines relocated overseas.

According to Panasonic Malaysia, manufacturing of Blu-ray Disc players will be transferred to China Hualu Panasonic AVC Networks Co. Ltd. in China, while production of Technics-branded hi-fi audio products in Malaysia will end by February 2027 before being shifted to another Panasonic Group company.

“As a result of this reorganisation, PAVCKM will cease operations. Approximately 400 employees are expected to be affected by the end of March 2027,” the company said in a statement.

Panasonic said it is working closely with the relevant authorities, government agencies and the Electrical Industry Workers’ Union (EIWU) to ensure affected employees receive adequate support, including job placement assistance and career transition programmes.

Despite the closure, the company stressed that Malaysia remains a key market for its regional operations.

The Panasonic Group currently employs around 12,000 people in Malaysia across high-value manufacturing, research and development, and corporate functions.

“Malaysia remains one of Panasonic’s key regional hubs.

“Panasonic will continue investing in Malaysia to support its growth strategy within high-value-added supply chains and remain committed to contributing to the country and local communities,” it said.

The announcement comes amid broader concerns over job security in Malaysia.

According to government data, 42,807 people lost their jobs nationwide between January and June 12 this year, with 17,485 workers — or 40.85% — retrenched due to business closures and company downsizing.

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Panasonic To Shut Down Shah Alam Factory, Around 400 Jobs Affected
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