Hitachi has no plans to take direct control of its Australian appliance business following Beko’s shock exit, according to industry sources, leaving retailers facing uncertainty over the brand’s future supply and distribution.

A local distributor could emerge under a sweeping restructure of Hitachi’s global appliance operations, but sources say the Japanese technology group has little interest in running the Australian business itself.

“Hitachi has no appetite directly for being in the appliance market in Australia anymore,” one source claimed.

The uncertainty puts the spotlight on Harvey Norman, Bing Lee and Winnings owned Appliances Online, which have sold Hitachi appliances, including its premium refrigerators.

It also follows claims of friction over pricing and distribution.

ChannelNews understands Harvey Norman had grown sales of Hitachi refrigerators before Beko management struck a distribution deal with Appliances Online.

According to sources, subsequent discounting at Appliances Online angered Harvey Norman, which had been generating strong margins from the range resulting in deranging at stores.

The Australian upheaval comes as Hitachi reshapes its appliance interests globally, shifting its focus towards digital infrastructure, artificial intelligence and technology services.

Yesterday,  Hitachi Global Life Solutions announced that a new standalone company, Kadenova Corporation, would operate its home appliance business under a strategic partnership with Japanese electronics retailer Nojima.

The new entity is expected to oversee development, manufacturing and after sales services, with operations targeted to begin during the financial year ending March 2027.

For Australian retailers, the question is who will supply and support the brand once the changes take effect.

A former senior Hitachi executive said the restructure could create an opening for an independent Australian distributor to take on the appliance range.

That would provide a potential route back to market without Hitachi having to rebuild its own local appliance operation. However, the sources cited have not identified an appointed distributor or a timetable for an Australian transition.

The ownership arrangements are more complicated than the Hitachi name on the products suggests.

Since 2021, Hitachi’s overseas appliance business has been majority owned by Arçelik, the Turkish manufacturer behind Beko and part of the Koç Group.

Arçelik acquired control of the overseas operating business, including manufacturing, sales and servicing operations, alongside rights to use the Hitachi name. It did not buy the Hitachi brand outright.

Its original disclosure outlined a brand licence outside Japan for at least 15 years, with potential renewals extending the arrangement to 40 years, subject to agreement on licence terms at ten year intervals.

The agreement also included licence payments to Hitachi Global Life Solutions.

Arçelik adopted Beko as the corporate brand for its global operations in 2024, while retaining the Arçelik parent company name.

That overseas ownership structure is now set to change under the proposed combination of Hitachi’s Japanese and international appliance operations within the Nojima partnership.

For Australian retailers, the immediate issue is continuity: who takes responsibility for stock, distribution and after sales support.

A new distributor could give Hitachi appliances a fresh start locally. Until an arrangement is confirmed, retailers face uncertainty over the future of a brand that had built a position in the premium refrigerator market.