Toyoda Gosei to bolster airbag output in Vietnam
HANOI, NNA – Japanese auto parts maker Toyoda Gosei Co. will ramp up airbag production capacity in Vietnam by 50 percent to 25 million units annually over the next four years to meet global demand.
The company plans to invest some 1.8 billion yen ($16.6 million) to build a facility at an airbag and steering wheel plant near Hanoi. Construction is scheduled to begin in May next year and operations to begin in October 2021, it said in a statement Wednesday.
The unit of Toyota Motor Corp. established Toyoda Gosei Haiphong Co. in 2004 to produce car safety products in the Southeast Asian country.
The Vietnam unit runs a factory in the northern port city of Haiphong and a second one in the Tien Hai Industrial Park in Thai Binh Province, south of the city, which became operational in July this year.
Through the latest investment, the Thai Binh factory will increase floor space to about 55,000 square meters from some 20,000 sq. meters and the number of workers to some 2,000, up from around 700 as of September this year, the statement said.
The two plants ship all products to its airbag assembly factories in Europe, Japan, North America and other Southeast Asian countries, according to Toyoda Gosei, headquartered in Kiyosu, Aichi Prefecture in central Japan.
In a mid-term management plan toward fiscal 2025, the car component maker plans to boost global airbag production capacity by about 60 percent to 100 million units annually in the year to March 2024 compared to fiscal 2018, it said.