10/11/2016

Japan’s IHI to make greenfield investment in Turkey

Hurriyet Daily News – The Tokyo-based heavy industry group IHI will establish a factory in Turkey and produce compressors in a joint-venture with Turkish industrial machinery maker Dalgakıran Makine. IHI will be the first Japanese company to establish a factory in this segment in Turkey. The company sees Turkey as a base for exporting the machines to Europe, the Middle East, and other growing markets as well as Japanese markets.

 

With an investment of USD 14.4 million, the factory will kick-off production of compressors in April 2018 and aims to reach an annual output of about 200 compressors by 2021. The joint-venture will be 51 percent owned by IHI and is expected to provide employment for around 60 people. IHI’s mainline turbo compressors are used in variety of sectors from steel to food.

 

The investment in Turkey is part of IHI’s plan to spend more in three years, starting from 2016, on equipment and research for its rotating machinery segment, which includes compressors.

 

Toyota Motor, Honda Motor, Isuzu Motors, air conditioner maker Daikin Industries, and other Japanese manufacturers already have factories in Turkey while Mitsubishi Electric plans to produce air conditioners in Turkey in 2018.
japan; IHI; investment; turkey; dalgakıran

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