Matsushita to build plant for plasma TVs

Matsushita Electric Industrial Co. said Wednesday that it would spend about $2.4 billion to build the world’s largest plasma TV display panel plant amid expectations of a surge in demand for flat-panel televisions.

The Osaka-based maker of Panasonic-brand electronics said it aimed for annual sales of 10 trillion yen ($84 billion) by the end of March 2010, up from an estimated 8.95 trillion yen in fiscal 2006.

Matsushita dominates in plasma display flat-panel TVs with its Viera line. Plasma is a different technology from liquid crystal displays that are also used in slimmer TVs. Rivals include Samsung Electronics Co. of South Korea and Japanese electronics maker Sharp Corp.

In a move that would consolidate its lead, Matsushita said it would boost plasma panel production with a new plant in the western industrial city of Amagasaki that would roll out 1 million display units a month -- the most in the world.