Tokyo, August 8, 2006 – Kawasaki Precision Machinery, Ltd. (KPM) today announced that its Chinese subsidiary has begun production of its renowned hydraulic pumps for excavators.
Kawasaki Precision Machinery (China) Ltd. was established in December 2005 in Suzhou, and construction of a factory has been under way. The company launched with a staff of 15 and plans production of 100 pumps per month, with an increase to 700 units per month and 30 employees in 2008.
KPM had been supplying hydraulic components to the Chinese market from its main works in Kobe. The new local presence and knockdown production will enable it to respond more promptly to rising orders in the rapidly growing market.
China’s expansive urban and rural development projects, coupled with strong economic growth, have made its hydraulic excavator market the world’s largest. Continued growth in the mid- and long term will be further bolstered by the 2008 Beijing Olympic Games and the 2010 Shanghai World Expo, as well as ongoing infrastructure improvements in irrigation, gas, electricity and transportation networks.
Kawasaki is committed to providing highly reliable, high-performance products to the global hydraulic equipment market through the development and deployment of advanced technologies. It also works to continually enhance its aftersales and service capabilities and to improve customer satisfaction.
Overview of KPM (China)
(1) Company name: Kawasaki Precision Machinery (China) Ltd.
(2) Address: Yangshan Industrial Park, 9 Guanshan Rd., New District, Suzhou, People’s Republic of China
(3) President: Hiroshi Morita
(4) Establishment date: December 26, 2005
(5) Capital: ¥500 million (wholly owned by KPM)
(6) Businesses: Manufacturing and sales of hydraulic components for construction machinery
(7) Floor space: 3,150 m2
(8) Number of employees: 15