Fuji Electric Expansion in India with a Proposed Large-Scale Factory
By Mohan Krishna Challaturu | 31-10-2023
Summary
- Strategic Expansion: Fuji Electric is actively pursuing expansion in India, with plans to set up a larger factory in Tamil Nadu and diversify its supply chain operations away from China.
- Investment and Employment: The company is investing Rs 150 crore in a new Chennai facility, aiming to increase its current workforce of over 500 employees and enhance its R&D capabilities.
- Global Trade Aspirations: Fuji Electric is looking to export products made in India to the APAC region and European countries, and is also exploring acquisitions of motor manufacturers to facilitate business growth.
Fuji Electric, a prominent player in industrial automation solutions, is setting its sights on an extensive expansion in India, with plans to ramp up investments significantly. The company is currently exploring options for establishing a larger factory, with Tamil Nadu emerging as the top choice.
This move is part of Fuji Electric’s broader strategy to diversify its supply chain operations, shifting some of its focus away from China.
In the coming two years, the company plans to strengthen its workforce at its Chennai plant, which currently employs over 500 individuals and includes a research and development center. Just six months ago, Fuji Electric committed Rs 150 crore to a new factory in the city.
Furthermore, Fuji Electric is eyeing the export market, with plans to ship products manufactured in India to countries within the Asia-Pacific region. The company also intends to export casting parts to various European nations and beyond.
Currently a provider of AC drives, Fuji Electric is actively seeking opportunities to acquire motor manufacturers, aiming to broaden its business horizons.
On a related note, the parent company based in Japan is gearing up for substantial investments, with plans to inject up to USD 200 million by the next year.
As we look to expand our presence in #India, we are doubling our #investments to diversify our #SupplyChain operations. #Readmore on how we plan to achieve these figures in the article posted by the @The Economic Times https://t.co/PBgmwQbsCE pic.twitter.com/n2T54osT8E
— Fuji Electric (@fuji_india) October 30, 2023
ABOUT FUJI ELECTRIC Company:
Fuji Electric has been a significant player in India’s industrial landscape for over three decades, initially entering the market through joint ventures. In 2009, the establishment of Fuji Electric India Pvt. Ltd., a wholly-owned subsidiary of the Fuji Electric Group, marked a new era of direct engagement in the region.
The company has since expanded its presence, establishing itself as a leader in drives for lifts and escalators, and a major provider of motion control solutions for packaging and special-purpose machines. The strategic acquisition of Consul Neowatt in 2019, India’s largest UPS company, has further strengthened Fuji Electric’s position in the country, bringing the total workforce to over 1,000 employees across various industry verticals.
With a comprehensive portfolio of energy and automation solutions, backed by a robust service network, Fuji Electric is committed to contributing to India’s industrial growth and innovation. The company’s future plans include expanding manufacturing capabilities, enhancing R&D efforts, and continuing to provide top-notch solutions and services to its customers.