TOKYO, Nov 25 (Reuters) - Japan's Panasonic Energy will

supply cylindrical batteries to Amazon's ( AMZN ) self-driving

unit Zoox starting from early 2026 under a multi-year agreement,

the Panasonic Holdings ( PCRFF ) unit said on Tuesday.

"Panasonic Energy will deliver its latest 2170 batteries

beginning in early 2026 to support Zoox's growing robotaxi

service and operations," the company said in a statement.

The cells will initially come from Japan, with plans to

expand to Panasonic Energy's Kansas plant, it added. The company

also supplies Tesla.

The agreement comes after Zoox started offering free rides

for early users in parts of San Francisco last week, amid rising

competition in the autonomous ride-hailing sector.

Last month, Panasonic Holdings ( PCRFF ) cut its annual profit outlook

on weaker expected earnings at the energy unit as well as lower

projected automotive battery sales due to worsening conditions

in the U.S. electric-vehicle market.