Yamaha announced plans in late July to build a second motorcycle plant in
The company said it will spend about $44 million to put up a modern, 61,966 m2 plant on a 161,874 m2 site just north of
The new plant will take on a workforce of 700 when it goes into operation in October 2008, Yamaha said. It will be heavily automated.
The company has already broken ground, and says the new structure should be completed by next spring. It is in a rush because it expects sales this year to gain 24 percent and reach 435,000 units, pushing very close to the 470,000-a-year limit of its existing capacity.
Yamaha, which first moved into
The overall market is expected to climb 400,000 to 2.7 million units this year, making it the world¡¯s fourth largest, after
The company holds 46 percent of a joint venture with state-owned Vinafor and Hong Leong, a Malaysian banking, realty and commodities conglomerate.
Yamaha said the existing plant, which employs a large workforce, will gradually transfer production of finished bikes to the new unit, and become mainly a maker of castings and machined parts for the new plant at Noi Bai. The company said it has an existing workforce in
It said it plans to expand its dealer roster from the current 300 to a 350-400, but did not indicate over what period.
Honda president Takeo Fukui announced plans last month to invest $65 million, for a second, 500,000 units-a-year motorbike plant at Vinh Phuc, also in the