Published on : Dec 20, 2013
Toshiba Machine Co Ltd, a manufacturer of injection presses, has expressed its plans to expand capacity at its factory in India that it had acquired in 2012. With expansions underway, the company will use the factory as an export business base for markets such as North America. It will initially primarily export small-sized hydraulic machines, later adding large and all-electric machines to the ambit.
Toshiba, a Tokyo-based manufacturing company, had acquired the Chennai factory from Larsen & Toubro, the Indian industrial conglomerate. The purchase was a part of Toshiba’s global strategy of gaining deeper access to emerging markets including India while creating a network of economical production centers across Asia.
The company introduced two new hydraulic machines at the recently concluded Plastivision 2013 show in Mumbai. The machine incorporates Japanese technology that has been customized for Indian manufacturing conditions.
The company that had thus far focused on all-electric machines has been able to make inroads into hydraulic machine development by on-boarding the India manufacturing unit. The company intends to leverage its hydraulic machine manufacturing business to build exports to North America that current has a demand for over 1000 smaller hydraulic machines a year and currently, Toshiba aims to capture at least 10% of the American market over the next three years backed by its India operations. The long-term plan is to scale up sales to reach around 700 machines a year in North America and at least 300 machines in South and Central America over the next three years.
To enable these ambitious plans, Toshiba will likely first undertake capacity expansion at its Chennai plant to accommodate its growing operations. The company however did not state a specific time for this anticipated expansion.