Rayong site of crane maker's fifth global plant
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Rayong site of crane maker's fifth global plant

Tadano, the Japanese crane maker, has started production at its 310-million-baht Rayong plant in a bid to keep pace with growing regional demand.

Koichi Tadano, the president and chief executive, said Thailand is a big market for cranes, used mostly in the construction industry.

The new plant, which has an annual capacity of 1,000 cranes, had an inauguration ceremony yesterday.

It is Thailand's first crane manufacturing factory. Previously, all cranes were imported from Japan.

"Tadano sees a lot of potential for truck cranes in Thailand and Southeast Asia, so it was a clear objective to start a production line in this region," Mr Tadano said.

Tadano (Thailand) Co is its fifth global plant, joining those in Japan, the US, Germany and China.

The factory is located on 18 rai of the Hemaraj Eastern Seaboard Industrial Estate.

Tadano is the first crane maker to be awarded investment privileges by the Board of Investment.

The factory will employ 60 workers by year-end, up from 25 now including Japanese specialists.

"In the very first year of production, Tadano (Thailand) will function as an assembly plant using both local and Japanese content," said Mr Tadano.

Some 20-30% of crane parts will come from domestic suppliers, with Tadano planning to increase the proportion to 70% by 2018.

The Rayong plant will serve the domestic and Southeast Asian markets. The company plans to start exports next year.

Tadano will build 300-400 cranes this year and increase production to 2,000 by 2018 after spending another 150 million baht.

Construction of the second phase of the plant is scheduled to start in 2015.

Atiphong Phongwan, executive vice-president and chief operating officer, said the company targets sales of 1 billion baht this year.

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