Shimano Opens Manufacturing Subsidiary in the Philippines
OSAKA, Japan – To enhance its production capabilities for the emerging markets, Shimano Inc will invest 3.5 billion yen (€ 27 mn) to put up a production facility in the Philippines.
The factory will be located at the First Philippine Industrial Park in Tanauan City, Batangas and the site will measure 106,620-square meter. The Philippine facility will be part of Shimano (Singapore) PTE. LTD.
According to Japanese Chamber of Commerce executive director Nobuo Fujii the construction of the plant will start this month. The production is expected to commence next December.
Growing importance of the Philippines
The Philippines is the latest country on the list of low cost locations which might rejoice the growing interest of production companies, also from the bicycle industry. According to Eurostat, the export of bicycles from the Philippines boomed last year. In 2012 a total of 649,006 units were exported from the Philippines to the European Union. This is an increase of 30.38% related to 2011.
Also the average price per unit of exported bicycles from the Philippines to the European Union grew substantially in 2012 by 8.7% to € 44.34.