Yokohama Rubber starts construction of marine products plant in RI
Wednesday, July 30 2014 - 02:04 AM WIB
Japan?s Yokohama Rubber Co., Ltd. announced Tuesday that it held a groundbreaking ceremony in June for its new marine products plant at the Kabil Integrated Industrial Estate near the east coast of Indonesia?s Batam Island.
The ceremony was sponsored by the company's new local subsidiary, PT Yokohama Industrial Products Manufacturing Indonesia, which was established in April this year. Construction of the plant is scheduled to be completed in July 2015.
Demand for marine products made by Yokohama Rubber, such as marine hoses and fenders used in the handling and transferring of crude oil at sea, is rising steadily along with expanding global demand for petroleum products, the company said in a statement.
?As one of the world's leading makers of such products, Yokohama Rubber is constructing this new plant with the aim of increasing its market share as it responds to burgeoning global demand,? the statement said.
Indonesia?s Batam Island was selected as the site for the new plant because it is located just 20 km from Singapore, Asia's largest hub port, providing superior access to international distribution routes. In addition, the location is expected to enhance cost competitiveness, it added.
Yokohama Rubber currently produces its marine products in Japan. Upon completion, the new plant will provide the marine products group with a two plant production structure that will enable it to expand production by 50 percent, Yokohama said.
Editing by Reiner Simanjuntak