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Japanese Household Products Maker to Invest 3.5 Billion Baht for New Factory.
Byline: Nareerat Wiriyapong
Aug. 6--Kao Corp, Japan's largest household products maker, will invest about 3.5 billion baht within three years to build a regional production base in Thailand for consumer products.
According to the plan, the new plant would be built at Amata Nakorn Industrial Estate, Chon Buri, producing detergents, hair-care and skin-care goods, sanitary napkins and chemical products.
The new investment will result in Kao Industrial (Thailand) Co, a wholly owned Kao subsidiary, increasing its production capacity by 50 percent, with operations due to start in 2005.
"The Thai plant and our plant in Indonesia will become our main production bases for household products in Southeast Asia," company president Takuya Goto told Reuters in Tokyo.
Kao plans to aggressively expand its overseas operations this year to offset potential losses in the deflation-battered Japanese market. The company's flagship brands are Bioer skin-care products and Attack detergent.
An executive at Kao's Thai operations confirmed that the new facility would replace the existing manufacturing plant at Samut Prakan, which had been operating for almost 40 years.
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