Friday, July 30, 2010

Nihon Garter: infrastructure and competent governance among reasons for Penang expansion

GEORGE TOWN: The tri-lingual ability of Malaysians, the world-class workforce, infrastructure, facilities and competent governance were the reasons why Japan-based NGC Garter (M) Sdn Bhd (Nihon Garter) expanded its operations here from just a sales office six years ago to a full-fledged manufacturing plant today.

Its managing director CY Tan, a Penangite who migrated to Japan 28 years ago said the decision for the company to invest RM40 million in the Penang plant was based on the tremendous potential for growth in the country.

"I was sent here six years ago to set up the sales office and the business has expanded at a rapid pace which is why we decided to set up the plant here instead of Thailand and Singapore or even other states in Malaysia.

"With multi-lingual engineers, we are able to serve our customers worldwide effectively and this is something we can never achieve elsewhere," Tan added.

Nihon Garter is the world leader in the industry controlling 72% of the world market for the manufacturing and assembling of industrial equipment and carrier tape that is widely use in the semiconductor & LED market.

Among Nihon Garter's customers are leading LED multi-national companies namely OSRAM, Agilent, Philips Lumined, Panasonic and Renesas, among others.

It has manufacturing facilities in China, Taiwan, Korea, Philippines and Japan, aside from their presence in Russia, India, Vietnam and Thailand.

Leveraging on Nihon Garter Japan's core competencies, Malaysia Garter provides total solutions to its customers in the region, including those in Malaysia with a broad range taping and sorting handlers, and a wide variety of carrier tapes & cover tapes.

"We are well positioned to service targeted markets and be a preferred supplier to our customers, offering one stop packaging solutions," Tan added.

Tan said from a staff force of four, Nihon Garter now has 26 personnel, mostly engineers for its fully automated 22,000 sq ft facility in Bayan Lepas, which was only utilising two-thirds of its capacity.

Tan said Nihon Garter Malaysia target was to contribute 30% of Nihon Garter's worldwide revenue by 2011.

"We are still looking to hire more engineers in the years to come to help us grow 40% to 50% annually," he added.


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