Sumitomo Starts Work on US$18Mln Plant in Vietnam
Sumitomo Nacco Materials Handling Vietnam Co Ltd has started work on a new plant with total investment of US$18 million to produce transmissions and axle components for forklift trucks for export.
The plant is scheduled to be operational in seven months and hopes to earn $2 million in revenue each year.
Covering an area of about 2.7 ha in Thang Long Industrial Park, Dong Anh District, the project will be divided into three phases with the total investment capital of $60 million.
The second phase will involve in making forklift parts and the third phase will concentrate on making the machines.
Sumitomo decided to invest in Vietnam thanks to the country’s labor quality, political stability, tax incentives and geographical advantages, said the company’s director, Takashi Yoneda.
The Vietnam plant follows others in the Philippines and China.
The operation is a joint venture between the Japanese Sumitomo Heavy Industries (Japanese company) and Nacco Materials Handling Group Inc of the United States. (VNA)
Vietnamese
