Husqvarna expands in Asia
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In connection with the integration of the recently acquired Zenoah operation in Japan, the Husqvarna Group, based in Stockholm, Sweden, will expand its production base and presence in Asia.
Husqvarna has decided to build a new plant in Changzhou, China, which will replace Zenoah’s existing Chinese plant and is expected to become operational in the first quarter of 2009. The new facility represents an investment of about MSEK 70 (US$11 million) and involves increasing production capacity for brush cutters and hedge-trimmers, as well as expanding production to include chainsaws for the consumer market. This will increase the group’s annual production in China by about one million units.
In addition to the new plant, about MSEK 20 (US$3 million) will be invested in the Zenoah facility in Kawagoe, Japan. This plant produces mainly chainsaws, trimmers, blowers and brush cutters, and also manufactures large volumes of components. The investment will enable increasing production of engine cylinders by about 600,000 units annually.
As of Dec. 1, Zenoah Co. Ltd and the Husqvarna Co., in Japan will be combined as a single company, Husqvarna Zenoah Co. Ltd.
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In connection with the integration of the recently acquired Zenoah operation in Japan, the Husqvarna Group, based in Stockholm, Sweden, will expand its production base and presence in Asia.
Husqvarna has decided to build a new plant in Changzhou, China, which will replace Zenoah’s existing Chinese plant and is expected to become operational in the first quarter of 2009. The new facility represents an investment of about MSEK 70 (US$11 million) and involves increasing production capacity for brush cutters and hedge-trimmers, as well as expanding production to include chainsaws for the consumer market. This will increase the group’s annual production in China by about one million units.
In addition to the new plant, about MSEK 20 (US$3 million) will be invested in the Zenoah facility in Kawagoe, Japan. This plant produces mainly chainsaws, trimmers, blowers and brush cutters, and also manufactures large volumes of components. The investment will enable increasing production of engine cylinders by about 600,000 units annually.
As of Dec. 1, Zenoah Co. Ltd and the Husqvarna Co., in Japan will be combined as a single company, Husqvarna Zenoah Co. Ltd.