Technological Strategy of Panasonic Energy- for Sustainability and Well-Being

February 8, 2023
Panasonic Energy Co., Ltd.
Executive Vice President and CTO
Shoichiro Watanabe

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Notes:
1. This is an English translation from the original presentation in Japanese.
2. In this presentation, “Fiscal 2023” or “FY23” refers to the year ending
March 31, 2023.

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1. Position in the Panasonic Group
Panasonic Holdings Corporation

Sales Composition in the Panasonic Group(FY2022)

Panasonic Energy

Panasonic Corporation
Panasonic Automotive Systems Co., Ltd.
Panasonic Entertainment & Communication
Co., Ltd.

764.4（10%）

Panasonic Housing Solutions Co., Ltd.
Panasonic Connect Co., Ltd.

Panasonic Group
7,388.8 billion yen※Automotive

61%

Industrial& Consumer

Byapplication

39%

Panasonic Industry Co., Ltd.

Panasonic Energy Co., Ltd.
Panasonic Operational Excellence Co., Ltd.

Started as Panasonic Energy Co., Ltd. from April 1, 2022
*The composition ratio is the net sales ratio after offset.

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22. Mission/Vision/Will of Panasonic Energy

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33. Technological Strategy of Panasonic Energy

In development of lithium-ion batteries① Higher energy density② Less rare metals③ Response to the environment

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44. Technological development and future evolution of LIBs
① Higher energy density:

Driving energy density evolution as a pioneer in introducing cutting-edge technologies. We aim to further evolve energy density by 20% or more.

② Less rare metals:
Leading the evolution of higher-capacity and less-cobalt high-Ni cathodes. Going forward, aiming to develop cobalt-free and less-nickel cathodes.

1,100

Volume energy density

1,000

1994
LCO cathode
Graphite anode2006
NCA cathode

Co＜15%

2013
Silicon added anode～2030
Cathode: less Nickel
Anode: More silicon

Co＜5%900

20%
more

800

Co100%

700

Continuing the evolutionof lithium-ion batteries

600
500
400
2003
Co 33%
NCM cathode

300

2009
Separator witha heat resistantlayer

200

3 times higher
energy density
vs. 1st gen.

Within2-3 years

Ni

Co 0%
Leading thegrowth of LIBs

100

Less Nickel
Cobalt-free0
LCO: LiCoO2 1990
NCA: LiNiCoAlO2
NCM: LiNiCoMnO21995

2000

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2005

2010

2015

2020

2025

2030
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5. Competitive edge of our cathode materials
The high Ni and low Co of NCA can realize a higher capacity than other chemicals.
The maximum use of material informatics (MI) accelerates development.
Layered metal oxide(Layered rock salt structure)

800

Panasonic
NCA

Massproduction
2011

Lower Co content

Within 2₋3 years

2015
NCMX

700

Cathode capacity / Wh/kg *1

High Ni & Co-free2020(LiNi0.8Mn0.1Co0.1O2)

Highercapacity

Approx. 2020～*2

Competitive materials
with less rare metals

High capacitywith safety and quality

500

Higher capacity
Less rare metal content(LiNiCoMnXO2)
Approx. 2021～*2

NCM811600

Lower Ni

LNMO(LiNi0.5Mn1.5O4)
400

LMO(LiMn2O4)
LFP(LiFePO4)

SpinelOlivine300
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105

Cobalt content

0*1: Practical capacity, *2: Panasonic estimation based on various reports
66. Our competitive edge in manufacturing
Introduction of DX evolves the existing infrastructure for cylindrical cells,
allowing thorough pursuit of cost advantages.
Production rate of cylindrical cells >7 million cells/day (>80 cells/sec.)*1

Our strength
・ High-speed, high-quality process
・ Product safety management
・ Established traceability system*1: Panasonic estimation based on global production numbers

MaterialElectrode

Black box equipment: In-house manufacturing

AssemblyInspection

DX introduction: Traceability & central monitoring

Global management: from factory to market

ModuleMarket

No. 1 share in North America: Cumulative cell
production of more than 10 billion cells
Cell size

Cumulative cells
shipped2170

5.5 billion
cells*21865

4.6 billion
cells*2*2: As of Dec 2021

EV unitconversion

1.7 million
units*3*3: Panasonic estimation

Zero recall of automotive lithium-ion batteries (from 2012)*

4*4: Battery-attributed
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77．Initiatives for carbon footprint (CFP) reduction③ Response to the environment: Reduce CFP by half in FY2031(vs. FY2022)
Processes

CO2emissions*

Raw material
miningRaw material
processing

86%

CFP halved
through overall
supply chain

Logistics

Battery
manufacturing

Carbon neutrality for
all factories in FY2029

14%
FY2022

FY2031*Panasonic estimation from Li-ion batteries for EVs produced at the North American factory

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88. Establishment of low CFP supply chain●Usage of recycled battery materials●Promotion of local procurement

・Signs a procurement agreement with Redwood
regarding recycled materials (cathode material andcopper foil)(Press release in Nov. 2022)・Signs an MOU regarding graphite supply Offtake
Agreement with Canada’s NMG - Produces withrenewable energy (hydraulic power process)

REDWOOD MATERIALS

Cathodematerials

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Copper foilfor batteries（Press release in Oct. 2022)

NOUVEAU MONDE
GRAPHITE

Graphite99. Commercialization of 4680 cells

Expected impacts:
・Reduction of cell assembly personnel（by 30-50%）
・Reduction of pack assembly cost (number of welds × 1/5）＝
4680

2170 × Approx. 5 cells（Starting up at Wakayama site in Japan）

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1010. Contribution to CO2 reduction through products
・Production capacity of automotive batteries:-aim to expand global production capacity toward FY2029 approx. 3 to 4 fold (vs. FY2023)
・Contribution to CO2 reduction:-aim to expand our contribution approx. 5 fold in FY2031 (vs. FY2022; 60 million tons)■ Production capacity of automotive batteries
vs. 2023
Approx. 3-４ fold

■ Reduction of CO2 emissions by using BEVs
equipped with our batteries‐Replacing ICE with BEV helps reduce CO2 emissions for society

FY202213 million
tons

Kansas factory will
start operation(FY2025)

North America,etc.
Approx.
50 GWhGWhJapan

FY2023

FY2026

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FY2029FY2025

FY2031

21 million
tons
60 million
tons

vs. 2022
Approx. 5 fold11

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Disclaimer Regarding Forward-Looking Statements
This presentation includes forward-looking statements about Panasonic Holdings Corporation (Panasonic HD) and its Group companies (the Panasonic Group). To the extent thatstatements in this presentation do not relate to historical or current facts, they constitute forward-looking statements. These forward-looking statements are based on the current
assumptions and beliefs of the Panasonic Group in light of the information currently available to it, and involve known and unknown risks, uncertainties and other factors. Such risks,uncertainties and other factors may cause the Panasonic Group's actual results, performance, achievements or financial position to be materially different from any future results,performance, achievements or financial position expressed or implied by these forward-looking statements. Panasonic HD undertakes no obligation to publicly update any forwardlooking statements after the date of this presentation. Investors are advised to consult any further disclosures by Panasonic HD in its subsequent filings under the Financial Instrumentand Exchange Act of Japan (the FIEA) and other publicly disclosed documents.
The risks, uncertainties and other factors referred to above include, but are not limited to, economic conditions, particularly consumer spending and corporate capital expenditures in
the Americas, Europe, Japan, China and other Asian countries; volatility in demand for electronic equipment and components from business and industrial customers, as well asconsumers in many product and geographical markets; the possibility that the spread of the novel coronavirus infections may adversely affect business activities of the Panasonic Group;
the possibility that excessive currency rate fluctuations of the U.S. dollar, the euro, the Chinese yuan and other currencies against the yen may adversely affect costs and prices ofPanasonic Group’s products and services and certain other transactions that are denominated in these foreign currencies; the possibility of the Panasonic Group incurring additionalcosts of raising funds, because of changes in the fund raising environment; the possibility of the Panasonic Group not being able to respond to rapid technological changes and changing
consumer preferences with timely and cost-effective introductions of new products in markets that are highly competitive in terms of both price and technology; the possibility of notachieving expected results or incurring unexpected losses in connection with the alliances or mergers and acquisitions; the possibility of not being able to achieve its business objectives
through joint ventures and other collaborative agreements with other companies, including due to the pressure of price reduction exceeding that which can be achieved by its effort anddecrease in demand for products from business partners which Panasonic Group highly depends on in BtoB business areas; the possibility of not achieving expected benefits inconnection with the transition to a new organizational system in which Panasonic is a holding company; the possibility of the Panasonic Group not being able to maintain competitive
strength in many product and geographical areas; the possibility of incurring expenses resulting from any defects in products or services of the Panasonic Group; the possibility that thePanasonic Group may face intellectual property infringement claims by third parties; current and potential, direct and indirect restrictions imposed by other countries over trade,manufacturing, labor and operations; restrictions, costs or legal liability relating to laws and regulations or failures in internal controls; fluctuations in market prices of securities and otherfinancial assets in which the Panasonic Group has holdings or changes in valuation of non-financial assets, including property, plant and equipment, goodwill and deferred tax assets;
future changes or revisions to accounting policies or accounting rules; the possibility of incurring expenses resulting from a leakage of customers’ or confidential information from
Panasonic Group systems due to unauthorized access or a detection of vulnerability of network-connected products of the Panasonic Group; as well as natural disasters including
earthquakes, prevalence of infectious diseases throughout the world, disruption of supply chain and other events that may negatively impact business activities of the Panasonic Group.
The factors listed above are not all-inclusive and further information is contained in the most recent English translated version of Panasonic HD’s securities reports under the FIEA andany other documents which are disclosed on its website.

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