Kao set to build a second plant to meet demand

By Michelle Yeomans

- Last updated on GMT

Related tags: Southeast asia

Kao has announced its plans to build a second plant in the east of Jakarta, Indonesia.

The project is said to reinforce Kao's stable supply system as it anticipates increasing demand for daily-use products in the Indonesian market on the back of rapid economic growth in the country.

According to the company, the second plant site covers about 140,000 square meters, which is 1.6 times larger than the area of the existing plant with operations scheduled to begin at the end of 2013.

Kao positions Asia and the ASEAN region-particularly growing countries such as Indonesia, China and Vietnam as very important to its strategy and will actively promote business expansion in these areas. Construction of the second plant is in line with the strategy. Investment for the new plant, including land and new facilities, will amount to approximately 10 billion yen.

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