KYOTO, Japan & JAMSHEDPUR, India--(BUSINESS WIRE)--Kyocera Corporation's (NYSE:KYO)(TOKYO:6971)(herein "Kyocera") wholly-owned subsidiary dedicated to sales in the Asia-Pacific region, Kyocera Asia Pacific Private Limited, and industrial cutting tool manufacturer, CTC (India) Private Limited (herein "CTC"), today announced that the two companies have signed a joint-venture agreement to establish a manufacturing company in India. The companies have entered into this agreement to further strengthen their industrial cutting tool business in the Indian market. Production at the new company is scheduled to start in June 2013, and will become the first Kyocera Group manufacturing location in India.
In India the market for automotive and general industrial machinery is rapidly expanding, with fundamental growth also seen in infrastructure-related industries including energy, railway and road construction. Based on these circumstances it is expected that the market for industrial cutting tools will continue to grow at an average of 10% annually — which is the highest level out of all the newly developing countries. Furthermore, with the foray of more automotive manufacturers into India, price competition is intensifying, leading to a priority for purchasing domestically made products.
With the establishment of the new company, Kyocera aims to construct a manufacturing system to meet local demand for industrial cutting tools together with CTC. In August 2009, Kyocera Asia Pacific India Private Limited was established in Gurgaon City as a sales subsidiary for the company's products, and currently operates sales offices in four cities in India including Pune, Bengaluru (Bangalore) and Chennai. The company plans to further strengthen its network by setting up new sales offices in India in the future. Furthermore, in June of this year Kyocera also plans to establish a technical center for cutting tools in Gurgaon to support the needs of local customers by providing a technical support system.
By establishing a structure for manufacturing, sales and technical support in the expanding Indian market, Kyocera aims to expand sales of cutting tools in India to seven billion yen annually in five years.
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New Company Outline |
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Company |
KYOCERA CTC Precision Tools Private Limited | |
| Location | Jamshedpur, Jharkhand (eastern India) | |
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Investment |
Kyocera Asia Pacific Private Limited: 74%
CTC (India) Private Limited: 26% |
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| Establishment | June 2012 (planned) | |
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Start of |
June 2013 (planned) | |
| Operations | Manufacture of industrial cutting tools (inserts, tool holders, etc.) | |
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Manufacturing |
Lot area: approx. 8,000m2
Floor space: approx. 7,000m2 |
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No. of |
Approx. 200 in 5 years (planned) | |
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For more information about Kyocera Cutting Tools: |
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For more information about CTC (India) Private Limited: |
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CTC (India) is the largest manufacturer of PCB Cutting Tools in India located in the industrial city of Jamshedpur. CTC was established in 1983 and today employs around 300 people at its state-of-the-art manufacturing facilities in Jamshedpur and another 30 people at its plant in Schwaebisch Gmuend, Germany. From these facilities CTC serves its worldwide customers in North America, Japan, China, Asia and Europe. Through its subsidiary Kemmer Praezision in Germany, CTC serves customers in over 22 countries in Europe and Latin America. CTC maintains a support office in Kolkata, India and California, USA. CTC has had a close strategic relationship with Kyocera, through which it serves some of its global customers and shares technology development with its strategic partner in the United States, Japan and China.
Kyocera Corporation (NYSE:KYO)(TOKYO:6971)(http://global.kyocera.com/), the parent and global headquarters of the Kyocera Group, was founded in 1959 as a producer of fine ceramics (also known as "advanced ceramics"). By combining these engineered materials with metals and plastics, and integrating them with other technologies, Kyocera has become a leading supplier of cutting tools, industrial ceramics, solar power generating systems, telecommunications equipment, printers, copiers, electronic components and semiconductor packages,. During the year ended March 31, 2011, the company's net sales totaled 1.27 trillion yen (approx. USD15.3 billion). The company is ranked #604 on Forbes magazine's 2011 "Global 2000" listing of the world's largest publicly traded companies.