Hida Tec Launches Offshore Auto Recycling Business

Japanese major automobile recycler, Hida Tec and Chinese automobile scrapper agreed to establish automobile recycling plant in Tianjin, China. The plant will start the operation on July 1. Hida Tec also opened Malaysian joint sales company with local firm to deal old automotive parts.

Niigata based Hida Tec and Chinese scrapper established the Jinghai, Tianjin based plant in one of the largest recycling industrial estates in northern China. Tianjin government recommended Hida Tec as partner of local scrapper last year and 2 firms officially signed a joint venture contract in April. Hida Tec provides engineering, equipments and technical support to the joint plant.

Hida Tec also established Malaysian old automotive parts sales joint venture, Gogo Japan Industry in April. Hida Tec has been exporting old parts. The firm directly exports the parts to Malaysia through the joint venture to meet the growing demand in the country while Hida Tec can follow offshore users’ trend speedy through the joint venture’s sales network.

Hida Tec tries to use profit from Malaysian business to increase the old automotive parts purchase in Japan under tightening old car supply. The firm also eyes export expansion to third countries through Malaysian base.

Hida Tec belongs to Japanese old automotive parts dealers’ group, Super-Line Partners Network. The firm tries to create benefit for the group’s members through the development effort in international market.