The demand for factory automation products is expected to increase robustly in countries such as Malaysia, where strong economic growth is forecasted. (AP pic)
PETALING JAYA: Mitsubishi Electric Corporation announced it will acquire an 80% stake in Fuji Bakelite Vietnam Co Ltd in the outskirts of Hanoi, a subsidiary of Fuji Bakelite Co Ltd in Okayama Prefecture, Japan.
In a statement, the electrical and electronic manufacturer said the new joint venture (JV) company will be named Mitsubishi Electric FP Automation Vietnam Co Ltd and will be established on June 1.
It said the JV company will begin production of air circuit breakers in January 2025, in addition to the current company’s existing line of small low-voltage circuit breakers.
Mitsubishi Electric stated that the new JV will utilise the skilled workforce and manufacturing expertise of Fuji Bakelite Vietnam for its manufacturing operations.
Fuji Bakelite Vietnam, which has been in operation since 2014, manufactures small low-voltage circuit breakers for Mitsubishi Electric’s Fukuyama Works in Hiroshima Prefecture.
“Establishing a JV company in Vietnam will enable Mitsubishi Electric to build a production system for low-voltage circuit breakers,” it said.
Moving forward, it said the JV company aims to further expand its factory automation (FA) systems business by enhancing product supply capabilities in Asean countries to meet the growing demand for FA products.
Up to now, Mitsubishi Electric has expanded its FA business in the Asean region by exporting products manufactured mainly in Japan.
In the future, however, the demand for FA products is expected to increase robustly in countries such as Vietnam, Thailand, Indonesia, and Malaysia, where strong economic growth is forecasted.
