05 April 2012 - Kyoto / Neuss – Kyocera Corporation’s 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, 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.
