Toshiba Starts Building Motor Manufacturing Facility in Vietnam

Toshiba International Corp., Houston, Texas, broke ground on a new motor manufacturing and sales base in Vietnam. Toshiba leaders from around the globe participated in the formal ceremony in southern Dong, Nai Vietnam, which was held April 20-21, 2009, to commemorate the event.

The new branch, Toshiba Industrial Products Asia Co., Ltd (TIPA), will manufacture high-efficiency, NEMA Premium, 100 HP and below, 140 though 360 frame, IEC and JIS motors. The project is a joint venture between Toshiba International Corp., Toshiba Corp., Toshiba Industrial Products Manufacturing Corp., and Toshiba Industrial Products Sales Corp.

TIPA is scheduled to go live in September 2010 and will measure approximately 861,000 square feet; $77 million is being invested into the facility and its equipment. It is projected that TIPA will reach full manufacturing capacity in 2015, with 500 employees, and will be able to manufacture up to 1.2 million high-efficiency industrial motors a year. Products manufactured will target markets in Vietnam, North America, China, Southeast Asia, and Japan. Toshiba Group strives to have over $700 million in net motor sales by FY2015. In order to keep this

The Energy Independence and Security Act of 2007 has significantly raised minimum efficiency standards for general purpose electric motors and in 2011 will require that newly built motors meet the new mandates. This will make many EPACT products obsolete, thereby increasing the demand for NEMA Premium products. Toshiba wants to be fully prepared for the transition and ultimately become one of the top three global motor manufacturers.