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                Increase to Production Capacity at Indonesian Plant


                In 2011, Sumitomo Construction Machinery Co., Ltd. (president: Yasunobu Kazumi) established a plant in Indonesia, its third plant worldwide, to provide products to the ASEAN market. The annual production capacity of the plant started that year at 1,000 excavators, but the number of units produced was raised to match increased sales thereafter, increasing to about 1,500 excavators, the plant’s maximum production capacity, during FY 2018. With the production of units at the other plants in Chiba and China both being strained, the company is investing $US 33 million (about 3.5 billion yen at an exchange rate of 107 yen to the dollar) to increase capacity at the plant in Indonesia, where land has already been set aside for expansion.

                Location of investment : Karawang, West Java, Republic of Indonesia
                PT. Sumitomo S.H.I. Construction Machinery Indonesia
                Investment amount : Approx. 3.5 billion yen
                Investment details : Buildings: $US 18.7 million (approx. 2.0 billion yen)
                Other equipment: $US 14.3 million (approx. 1.5 billion yen)
                Timing of investment : October 2019
                Post-increase production capacity : 2,500 units annually
                New plant production start date : January 2021
                Exterior view of the Indonesian plant
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