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Published on December 22, 2007

Aluminium Land will be a centre for the company's entire local manufacturing and assembly, from aluminium frames to parts, all in one location.

"It will be our largest investment outside Japan, because we view Thailand as a key strategy in developing our business in Asia," said president Yasuo Ishida.

He said the Kingdom also had a rapidly growing market for automotive, hard-disk-drive and semiconductor products.

Board of Investment tax incentives and cheap local labour prompted SUS to set up factories in Lamphun.

Meanwhile, subsidiary SUS (Thailand) has completed its new Bt330-million factory, which will start operations early next year.

It is the first factory in the world with exterior walls that contain large electrically driven louvers. Ishida called it a "sustainable factory", designed with special features for adapting to the Kingdom's hot climate and heavy rains.

SUS (Thailand) has targeted revenue of Bt200 million in its first year through the new factory's production.

SUS Corp began its involvement in Thailand with a consignment production of nuts in 2000, followed by construction of its own factory the next year.

It now maintains three local subsidiaries: Standard Units Supply (Thailand), SUS (Thailand) and SUS Lamphun. Each one manufactures nuts and brackets used in factory automation.

A fourth subsidiary is a sales office in Bangkok called System Upgrade Solution BKK.

Yutthana Chaisri, managing director of all of the Thai subsidiaries, said 95 per cent of local production was exported to Japan, Taiwan, China and Asean members, with the rest entering the domestic market.

Combined revenue from all local subsidiaries has been targeted at Bt370 million this year and Bt400 million next year, increasing 10-15 per cent annually after that.

Yutthana said the baht's appreciation was not a concern, because the subsidiaries enjoyed sound financial management.

Demand for aluminium parts keeps growing in the global market, because it is an environmentally friendly material that can be recycled, he added.

Chalida Ekvitthayavechnukul

 The Nation