BANGKOK, Thailand--(BUSINESS WIRE)--Nov. 1, 2002--
- Raw materials for new silicones finishing plant to be supplied by Bht 10,500 million silane-monomer and siloxane production plant announced last year - Products mostly for direct and indirect export
GE Toshiba Silicones, a joint venture between General Electric of USA and Toshiba of Japan, today announced plans to invest over Bht 2,200 million (approx. US$ 50 million) to construct a silicones finishing plant on a 49-rai (7.8 hectare) site at the Asia Industrial Estate, near Map Ta Phut, Thailand.
The announcement follows last year's Bht 10,500 million investment decision by GE Toshiba Silicones and Shin-Etsu Chemical Co., Ltd. to establish a plant that produces the raw materials necessary for the production of silicone end products.
A groundbreaking ceremony for the new plant was held at the site yesterday (31 October). Construction will begin in November. The finishing plant is expected to become operational in the first half of 2004. The new plant will be GE Toshiba's third wholly-owned finishing plant in the Pacific, joining plants in Ohta, Japan, and in Shanghai, China. The plant will employ approximately 100 engineers, technicians and other staff.
Mr. Akihiko Kumagai, President and CEO of GE Toshiba Silicones said, "Because of the huge investment required to establish an integrated silicone manufacturing facility, such projects are only rarely undertaken, and only after very careful assessment. We decided to put the finishing plant in Thailand because the facility that will supply this new plant with raw materials such as silane-monomers and siloxanes is in Thailand. We also have strong confidence in the long-term stability of Thailand and appreciate the support from the Board of Investment."
Mr. Kumagai continued, "Locating this plant in Thailand will also help us support our customers better, many of which need to ship their products to competitive export markets."
The new plant will have a capacity to manufacture approximately 45,000 metric tons of silicones fluids and rubber, annually. The majority of the plant output will be exported directly to many different countries in Asia Pacific such as China, Korea, Taiwan, Australia, and New Zealand, as well as other countries in Southeast Asia. Certain types of products will be exported to Japan, the United States and Europe.
The plant will also serve local customers in Thailand in industries such as electrical, electronics and computer goods, automobile components, personal care and household products, healthcare equipment, as well as the construction sector. Many of the end products manufactured by these industries are exported. Mr. Kumagai estimated that between these direct and indirect exports, more than 90% of the new plant's output would be exported.
Mr. Stuart Dean, National Executive for GE in Thailand and President of GE Southeast Asia, said, "Thailand is an important base for GE in this part of the world. In the last 12 months we also located the regional headquarters of GE's consumer finance business in Thailand, and decided to invest more than Bht 3,000 million in a multi-phase project to build Asia's largest aerospace tubing, ducting and configuration components manufacturing and servicing facility."
Mr Dean added, "Earlier in the year, we also committed Bht 400 million to expand the aircraft support centre GE has in U-Tapao to repair, overhaul and finish thrust reversers for large jet aircraft engines."
Established in 1971, GE Toshiba Silicones manufactures and sells a wide range of silicones products for industrial and consumer markets. It is a joint venture between General Electric (GE) and Toshiba, and currently operates in 12 Asian countries with over 700 employees.
GE is one of Thailand's largest foreign investors with investments of over Bht 40,000 million in the fields of silicones manufacturing, plastics compounding, medical systems, financial services, and jet aircraft engine component manufacturing and support services.
GE is a diversified technology, services and manufacturing company. GE operates in more than 100 countries and employs over 300,000 people worldwide.
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CONTACT:
GE Toshiba Silicones
Miharu Wada, (81-3) 3479-5361
or
GE Silicones
Milissa Rocker, 518/233-3893
or
Bangkok Public Relations Ltd.
Hasan Basar or Ananya Sopittakamol, 0-2664 9500,
ext. 105 or 110