Panasonic to review further investment in Gigafactory

Panasonic Corp is studying further investments in battery production at its Gigafactory venture with Tesla Inc, the company said, responding to a media report that the two companies had frozen previous plans.

Tesla, whose shares fell 3.3 percent in trading before the bell in New York, said it would continue to invest in the Nevada plant as need be but believed more output could be gained from its existing resources than previously thought.

Giving no details of its sources, Japanese financial daily Nikkei reported here earlier on Thursday that financial issues had led the companies to rethink plans to expand the capacity of Gigafactory 1 by another 50 percent next year.