Mitsubishi Materials Corporation (MMC, President: Hiroshi Yao, capital: 119.4 Billion yen) is hereby announcing that the Advanced Materials & Components Company has made a decision to establish a manufacturing base for sintered parts (*) business on the outskirts of Jakarta, the capital of Indonesia.
The sintered parts business of our company group has been mainly growing through production sites in Japan and Malaysia. However, following the increase in the overseas demand for sintered parts propelled by recent expansion of the market of eco-friendly automotives, our company group examined possibilities with making inroads into China last year and with launching operations in Indonesia this year. These steps shall enable further expansion of the overseas business of the group, especially in the emerging countries. In concrete terms, based on the fact that the needs for the localization of automotive mechanical parts and oilless bearings are increasing in Indonesia, our company group made a decision to produce and supply sintered parts in Indonesia from April, 2014.
In order to reduce the time needed for the initiative to be implemented and promptly respond to the customers' needs, in establishment of the manufacturing base in Indonesia, we shall not newly establish an affiliated overseas company, but instead create a manufacturing base for sinters in the MMC Metal Fabrication, a local subsidiary of the company with an operational track record of over 14 years in Indonesia. Below is the overview of the manufacturing base to be established.
* Sintered parts are manufactured through powder metallurgy process, whereby metal powder is pressed with a high pressure press into a desired shape and then heated to bond them together in a sintering furnace.
Powder metallurgy is a manufacturing process suitable for production of metal parts of complicated shapes at low costs in large quantities, and is used in a wide range of areas centering on automobiles and electrical machinery.
(Reference) Overview of PT. MMC Metal Fabrication