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MHI's New Turbocharger Plant in Thailand Begins Mass Production

Posted on July 23, 2009

Mitsubishi Heavy Industries, Ltd. (MHI) has completed the construction of a new turbocharger production plant near Bangkok, Thailand, and recently began mass production. The new plant mainly produces cartridges, the core portion of turbochargers, and plays an important role in the company's global production and supply structure. With the addition of the new Thai plant, complementing production bases in Japan and the Netherlands, MHI brings to completion an optimum production and procurement system based on a tripolar global structure encompassing Japan, Europe and Asia.

The new plant serves as a plant of Mitsubishi Turbocharger Asia Co., Ltd. (MTA), a wholly owned turbocharger manufacturing subsidiary established by MHI in January 2008 within the Amata Nakorn Industrial Estate. The plant has capacity to produce 3 million cartridges annually and undertakes the task of supplying cartridges globally, which has been so far performed exclusively by the Main Plant of MHI's General Machinery & Special Vehicle Headquarters in Sagamihara, Japan. The Thai plant also has capacity to produce 500,000 turbochargers annually as finished products, and undertakes sales and handle local marketing activities as well as technical and quality assurance services.

The new plant, construction of which began in April 2008, has a 60,000 square meter floor area on 147,000 square meter property. The plant started production equipment installation this January and began trial production in March. Initially the plant is operating with 130 employees, and staff will be expanded to 700 once production reaches full capacity.

Although market of turbochargers has been sluggish since last year under the influence of the economic and financial crises after continuous market expansion worldwide, the demand is expected to increase sharply again over the medium to long term due to implementation of intensified emissions controls from 2010 and more stringent fuel efficiency requirements.

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