Japan’s Canon Inc. said Tuesday it would spend 170 million dollars to build a new plant in Thailand employing a workforce of 5,000 to meet rising global demand for inkjet printers.
The Tokyo-based company will invest 14.6 billion yen (170 million dollars) in the plant in the northeastern province of Nakhonratchasima, with operations set to start in October 2011, it said in a statement.
“Increasing demand expected in the future has created a pressing need for Canon to expand its production capacity for inkjet printer products,” the company said in a statement.
The new plant is the Canon group’s second manufacturing foothold in Thailand and will have an annual production capacity of around 5.5 million units a year.
Canon expects to realise benefits from the new facility, including synergies with the existing plant in Ayutthaya about 170 kilometres (100 miles) away through using its parts supplies and infrastructure.
Canon also makes inkjet printers in Vietnam.