Kubota and Sumitomo Plan Mutual Supply of Equipment

News: Southeast Asia

2023-11-16

Kubota and Sumitomo Plan Mutual Supply of Equipment

JAPAN REPORT
Akihiro Komuro
Akihiro Komuro

Kubota Corporation and Sumitomo Construction Machinery Co., Ltd. said they have begun discussions regarding the mutual supply of construction equipment.

Internationally, the growing demand for housing and the expected increase in construction work related to infrastructure investment and urban development, plus the increasing shortage of construction labor, are expected to create strong demand for construction equipment to improve efficiency and reduce labor requirements.

Kubota develops, manufactures, and sells small construction equipment used in urban construction, while Sumitomo Construction Machinery specializes in medium and large construction equipment used in a wide range of civil engineering and forestry work.

Read More»

China Auto OEM To Invest in Thai EV Motorbike Plant

THAILAND REPORT

Chinese automotive equipment manufacturer Suzhou Harmontronics Automation Technology plans to build an electric motorcycle factory in Thailand’s Eastern Economic Corridor (EEC), eyeing a market set to grow, thanks to government subsidies.

The company plans to invest $281 million (10 billion baht) to secure annual production capacity of 150,000 units by 2028. The plans were revealed by the office of the EEC.

Suzhou Harmontronics will build the factory at an industrial park in Chonburi Province, within the EEC zone, and will assemble electric motorcycles and manufacturing replaceable batteries and charging equipment at the facility. A start date for operations was not disclosed.

Read More»

2023-10-24

Malaysia’s Proton Considers Building EV Plant in Thailand

SOUTHEAST ASIA: MALAYSIA REPORT
Akihiro Komuro
Akihiro Komuro

Malaysian state-owned carmaker Proton is considering building an EV plant in Thailand, according to reports from Thailand government officials. The Thai government has long focused on promoting related industries.

At a joint press conference with the Prime Minister of Malaysia, where he is visiting, the Thai Prime Minister said, “I hope we can confirm clear steps to invite the plant and proceed quickly,” and indicated that he plans to work out the details with the parties involved soon. The amount of investment and production capacity were not disclosed.

Proton was established in 1983 as a national policy to revive Malaysia’s automotive industry. Currently, the company is rushing to switch to EVs after receiving an investment from Geely, a private Chinese automotive giant.

Read More»

2023-08-21

Firms Develop Hydrogen-Powered Generator

FAR EAST: JAPAN REPORT
Akihiro Komuro
Akihiro Komuro

Komatsu, Hitachi, and Denyo announced the commercialization of a gen-set that uses a mixture of hydrogen and light oil as fuel. It is possible to mix up to 50% hydrogen, which does not emit CO2 when burned, and CO2 emissions can be reduced by 50%.

The first unit will be installed at Komatsu’s Oyama Plant, with full operation scheduled for the end of September. Hitachi will serve as the point of contact for the system, which will be marketed to a wide range of external customers.

The system can mix up to 50% hydrogen with diesel engines that use diesel oil. The power output is 250 kW. Komatsu and Hitachi provided the fuel injection control technology and the function to safely stop the engine in case of abnormal combustion, respectively, and Denyo assembled them into the generator.

Read More»

2023-06-19

Indonesia Plans To Become Major Player in Car Industry

SOUTHEAST ASIA: INDONESIA REPORT

Amid the global shift to EVs, Indonesia is vying to become the new leader in this segment.

Indonesia has already surpassed Thailand in passenger car production and has begun full-scale EV production ahead of Thailand. Thailand has begun to defend its position as the auto manufacturing hub of Southeast Asia by offering preferential policies for EVs, including subsidies for both domestic production and sales.

Indonesia’s greatest strength is its abundance of nickel, which is used in car batteries. It is said to have the largest nickel reserves in the world, and investment in this resource is growing rapidly. In April, the Indonesian government announced that it was considering investing in a nickel production venture involving Ford of the United States and that VW of Germany was also considering participation.

Read More»

2023-04-18

Beiqi Foton Motors and Cummins Set Joint Investment

CHINA REPORT
Jack Hao
Jack Hao

Beijing Foton Motors and Cummins said they will further strengthen their strategic cooperation in the Southeast Asian region and sign a joint investment agreement with the Foton Cummins Thailand engine factory to provide powertrains for the Foton Zhengda vehicle base and Southeast Asian business.

This signing would mark a further strategic cooperation between Foton Motors and Cummins, targeting a wider range of regional markets and providing more diversified power solutions to global customers.

As a global emerging economy, ASEAN (Association of Southeast Asian Nations) has become one of the regions with the greatest development potential in the world. In recent years, Foton Motors has had significant business expansion in Southeast Asian countries including Thailand, Malaysia, and the Philippines. Their market share has gradually increased in trucks, buses, and other specialized vehicles, and they have built their reputation in the local market.

Read More»

2023-02-17

Thailand Kubota Takes Measures To Secure Manpower

SOUTHEAST ASIA: THAI REPORT
Akihiro Komuro
Akihiro Komuro

In Thailand, one of the most industrialized countries in Southeast Asia, automation is accelerating in the manufacturing industry as the working population tapers off. Workers’ attitudes are changing, and fewer Southeast Asians are migrating to Japan. Business models based on cheap labor are no longer viable in Asia.

When I visited the Amata City plant of Siam Kubota, a locally incorporated subsidiary of agricultural machinery giant Kubota Corporation, I saw countless automated guided vehicles (AGVs) running in every direction.

Sales of tractors and combine harvesters are booming, thanks in part to the government’s special demand for subsidized farm machinery for those who lost their jobs due to the COVID-19 disaster and are now returning to their hometowns to start farming. The fruits of this policy are being returned in the form of year-end bonuses, and Siam Kubota is not suffering from a labor shortage at this time.

Read More»

2023-01-20

EV Purchase Subsidies Planned To Promote Sales

SOUTHEAST ASIA: 6 MAJOR COUNTRIES REPORT
Akihiro Komuro
Akihiro Komuro

Indonesia plans to introduce a subsidy program to encourage the purchase of EVs starting in 2023. The goal is to increase the number of EV users to 2.5 million by 2025 and reduce air pollution. The EV purchase subsidy program will be added to the list of EV policies introduced by President Joko Widodo over the past year.

Transportation Minister Boudi Karya Sumadi said the government is also considering subsidies for retrofitting internal combustion engine vehicles, but the government is carefully considering this plan because it would bring major changes to the labor-intensive auto industry. The Ministry of Transport plans to approach existing Indonesian automakers, such as South Korea’s Hyundai Motor and China’s BYD, to create an EV ecosystem for Borneo’s new capital city, he said.

Read More»

2022-11-15

New Vehicle Sales Increase 33% in September

SOUTHEAST ASIA: 6 MAJOR COUNTRIES REPORT

New vehicle sales in the six major Southeast Asian countries totaled 317,765 units in September, up 33% from the same month last year. The figures were compiled from new vehicle sales statistics released by automobile industry associations and other organizations in each country. This is the 12th consecutive month that sales have exceeded those of the same month last year; the economic recovery from COVID-19 continues, with sales up 8% compared to September 2019, even before the spread of the infection.

Indonesia, the largest new vehicle market in the region, saw a 19% y/y increase to 99,986 units. This was the highest single-month sales volume in 2022. The tax exemption for some models ended at the end of September, and there appears to have been a rush demand for new vehicles.

Read More»

2022-07-20

VinFast Ends Sales of Two Gasoline Vehicles

VIETNAM REPORT
Akihiro Komuro
Akihiro Komuro

VinFast, an automotive subsidiary of Vingroup, the largest conglomerate in Vietnam, announced that it ended orders for two types of gasoline-powered vehicles in early July. The models covered are SUVs and sedans, and the company now will only sell the Fadil, a compact gasoline-powered vehicle. The company has announced its plan to withdraw from the production of gasoline-powered vehicles by the end of this year and is hastening its shift to EV production.

VinFast states that the reason for the suspension of orders for the two models is that “procurement of parts has become difficult and the number of units delivered to customers was not as large as expected.” The company did not mention the timing of the suspension of orders for Fadil. The company began selling EVs in Vietnam in December 2021.

Read More»