Kobelco to build new Japan production facility

Concept illustration of the new plant (Image: Kobelco)

Kobelco Construction Machinery is set to develop a new plant in Yamakuni Industrial Park, in Kato City, as part of its efforts to consolidate its business base and support growth.

Developed on approximately 100,000 sqm of land, plans are underway for a testing ground and production facilities for construction machinery.

The company said the industrial park was selected due to its “excellent access to the wide-area transportation network and the potential for future expansion of the business site.”

Aiming to consolidate its currently “dispersed” production, testing and evaluation functions for construction machinery, Kobelco said it is looking to improve operational efficiency, strengthen governance and optimise fixed costs, while building “a robust business foundation that can respond to changes in the business environment.”

In addition to manufacturing, the facility will be used as a testing and evaluation field for automation technologies, remote control technologies and environmentally friendly technologies, to allow it to respond to the digital transformation, green transformation and carbon neutrality.

Site preparation is due to begin during the current financial year and start of operations is slated for 2029.