Toyoda Gosei Establishes a New Subsidiary in Vietnam for Manufacturing Safety System Components
September 21, 2004
|Toyoda Gosei Co., Ltd|
Aichi, Japan, September 21, 2004 – Toyoda Gosei Co., Ltd. announced today the establishment of a new subsidiary in Vietnam. Toyoda Gosei Haiphong Co., Ltd. (TGHP) will manufacture bags for airbag modules at a production facility in Nomura Haiphong Industrial Park in Haiphong City, in the northern region of Vietnam. TGHP’s operation will significantly enhance Toyoda Gosei’s production capacity, ensuring a stable bag supply so that the company’s global airbag module production business can meet future anticipated demand while enhancing cost competitiveness. Principal shareholders are Toyoda Gosei (95%) and Toyota Tsusho (5%). Start-up capital of 17 million US dollars (approximately 1.8 billion yen) has been committed. Four executives have been appointed to the board of directors. Construction will soon start on a 20,000 m2 plant (on a 54,000 m2 site) scheduled to commence operation in October 2005. The plant will initially employ approximately 300 employees, and this number is expected to grow to 1,200 by 2007. The plant has a first-year sales target of 250 million yen, and sales are forecasted to reach 8 billion yen by 2007.