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Japanese auto group toasts new VN plant
The Pegasus-Shimamoto Auto Parts Vietnam Co Ltd inaugurated an automobile manufacturing plant in Long Duc Industrial Zone on Monday in the southern province of Dong Nai.
The company, an overseas subsidiary of the Japanese group Pegasus and established in April 2013, covers an area of two hectares with a total investment of US$20 million.
The plant will manufacture components and spare parts for automobiles and motorbikes. It is expected to export products to Thailand and Japan in the initial years with annual estimated revenue of $38 million per year.
Speaking at the launch ceremony, Dinh Quoc Thai, chairman of the Dong Nai People's Committee, said that in recent years, the number of Japanese investors registering to do business in the province has been increasing.
Japanese investors accounted for approximately 30 per cent of the more than $1.6 billion foreign direct investment in Dong Nai in 2013, he added.
Thai also expressed his belief that there will be more Japanese enterprises investing in Long Duc Industrial Zone in particular and in other zones in the province in general.
The Japanese group established Pegasus Vietnam Sewing Machine Co Ltd in January 2008 and now owns a factory which manufactures industrial chain stitching machines in Tan Truong Industrial Zone in the northern province of Hai Duong.