Kubota boosts RI production

Kubota boosts RI production

TOKYO (Nikkei): Kubota Corp plans to double its production of all-purpose engines in Indonesia by transferring one of its production lines in Japan to its subsidiary, P.T. Kubota Indonesia, in Semarang, The Nikkei Industrial Daily reported in its yesterday edition.

With transfer of the line, scheduled to begin operation in April 1999, the unit will also produce vertical diesel engines of up to 40 horsepower.

In fiscal 1999, the subsidiary is expected to make 15,000 of the vertical engines. In fiscal 2000, the line is to be in full operation, with an annual production of 25,000 units.

Investment costs are expected to reach about 1 billion yen.

The engines, which Kubota hopes to offer at a more competitive price, are to be exported to Japan as well as the U.S., Europe and other countries in Southeast Asia.