DENSO Corporation has announced today that it will establish a new company — DENSO East Japan Corporation — in Tamura-shi, Fukushima Prefecture, Japan to manufacture car air conditioning systems. The new company, which will be established in April, will have an initial capital investment of 2.6 billion yen (approximately $25 million U.S.).
Start of operations is scheduled for January 2010. DENSO expects investment in the new company to total 16 billion yen (approximately 153 million U.S.) by fiscal year 2015, and projects sales of approximately 30 billion yen (approximately $286 million U.S.) in fiscal year 2015.
"To meet increasing vehicle production by Japanese car manufacturers in the Tohoku and Kanto regions, as well as to establish a competitive production system in Japan, we have decided to set up a new company in Fukushima, Tohoku region," says Sojiro Tsuchiya, senior managing director responsible for DENSO's Production Promotion Center. "We also aim to strengthen our competitiveness with the help of the many talented people in the region."
DENSO Corporation, headquartered in Kariya, Aichi prefecture, Japan, is a leading global supplier of advanced technology, systems and components. For more information, visit the company's Web site.
