Toyota Industries Corporation (TICO; President: Akira Onishi) is to construct a new factory to produce automotive air-conditioning compressors in the Kunshan Economic & Technological Development Zone, Jiangsu Province, People's Republic of China. The move is designed to increase supply capabilities in response to the growing Chinese automobile market.
The factory will be constructed as a new facility for the compressor manufacturing subsidiary TD Automotive Compressor Kunshan Co., Ltd. (TACK) and is scheduled to begin operation in October 2014.
The construction of the new factory is planned to bring capital investment of 357 million yuan (approximately 4.65 billion yen) and 300 new jobs.
TACK currently has an annual production capacity of 500,000 units at its present factory, from which it supplies compressors to the Chinese market. As technical capabilities for TICO's compressors is highly appreciated by customers, the demand for TACK's products is growing. For that reason, TACK will boost its annual production capacity to 1.5 million units. The present factory's production facilities and equipments will be moved in stages to the new factory.
TICO will work to enhance its global supply capabilities covering Japan, North America, Europe, Asia, and South America so as to respond swiftly and accurately to worldwide customer needs with the aim of further growing its compressor business.