JS Group to Launch Sash Plant in Vietnam

JS Group builds new housing sash plant in Vietnam for around 30 billion yen. The construction will complete in October 2013 for the plant with annual around 30,000 tonnes of output capacity. The firm tries to expand offshore business through the investment. The firm expects the diversification also contributes to risk management while the Thai plant was damaged by the major flood in 2011.

The firm secures 55 hectare of land for the new plant in Dong Nai of southern Vietnam. With the new plant, the firm expands the housing sash making capacity by around 10%. The firm will supply the sash for offshore market from the new plant.

The firm tries to expand the offshore sash sales through tie-up with Asia and Pacific unit of American Standard. The firm targets 1 trillion yen of offshore sales in fiscal 2015 ending March 2016.

The firm makes sash at Thai plant to supply Japanese market. The Thai plant represents around 35% of the housing sash sales. The plant stopped the operation after Thai flood and Japanese plant covers the production loss. New Vietnamese plant will contribute to better supply stability.