Komatsu Opens Myanmar Production Base

Japanese mining and construction equipment manufacturer Komatsu Ltd has established a factory in Myanmar’s second-largest city Mandalay.

Komatsu Manufacturing Myanmar Ltd (KMM), a wholly owned manufacturing and sales subsidiary of Komatsu, will manufacture and sell “Reman” components of construction and mining equipment as well as power generators.

The paid up capital for the new company is $5.5 million, Komatsu said.

Komatsu has recently been strengthening its Reman business, which remanufactures used components such as engines and transmissions through a variety of processes to quality on par with new ones and supply them back to the marketplace.

KMM, Komatsu’s 13th Reman factory, also represents Komatsu’s first production base related to construction and mining equipment in Myanmar. The factory, which is on an area of 11,613 square metres, will employ 14 people.

The firm said it will also manufacture power generators to help Myanmar solve its electric power supply shortage problem.

Komatsu said that in addition to Myanmar’s rapid economic development for the last few years, it is expecting growth in demand for construction and mining equipment in the long term, as Myanmar is a leading producer of jades in the world.

Komatsu has been engaged in sales and service of construction and mining equipment in Myanmar since it opened its Yangon Office in 1995.

“With KMM, Komatsu is better positioned to supply Reman products closer to customers’ jobsites, and will thus be able to help customers improve their productivity and reduce operating and maintenance costs,” the firm said in a statement.

“At the same time, Komatsu will also be able to capture aftermarket demand and work to expand sales,” it added.

Source: http://www.mmbiztoday.com/articles/komatsu-opens-myanmar-production-base

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