Japan's Yamaha Motor Co., Ltd. has announced that it will establish a new company in Hanoi, Vietnam, to produce engine parts for motorcycles.
The new company, called Yamaha Motor Parts Manufacturing Vietnam Co., Ltd. (YPMV), will be capitalized at $14.3 million and will be a 100% subsidiary of Yamaha Motor Co., Ltd.
The new factory is expected to have an annual production capacity of one million die-cast motorcycle engine parts, including cylinder heads, and 900,000 steel parts, such as gears and transmissions. The company will have 540 employees, and the business plan for the first year of operations calls for sales of $20 million.
The Vietnamese government granted approval for the company's establishment on January 4, 2005. Construction will begin in February 2005, and operations are scheduled to begin in January 2006.
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