is part of the Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Chinaplas 2008: Futaba, D-M-E announce strategic alliance

Shanghai—At a conference held April 19 on his firm’s stand here at the Chinaplas trade show, Dave Lawrence, president of D-M-E, announced the formation of a strategic alliance between Tokyo’s Futaba Corp. and D-M-E Co. (Madison Heights, MI). Futaba, best known in this industry as a leading Asian mold base manufacturer, acquired 49.1% of D-M-E''s Japan joint venture, JADME, from Mitsubishi Steel Manufacturing (MSM). The deal was finalized on March 31. D-M-E maintains majority ownership in JADME. Both firms’ mold components’ businesses are approximately equal in size, with annual revenues between $150 and $200 million.
Lawrence said the alliance will be global in nature and gives D-M-E access to Futaba’s manufacturing facilities in China and Vietnam, letting it manufacture a wider array of its products in Asia, while giving Futaba access to some of D-M-E’s technology and its global distribution and service network, allowing for expansion of Futaba products outside of Japan. “We’re better in some technical products, and they’ve a better position in Asian manufacturing,” Lawrence said. D-M-E’s initial intention is to increase its business in Japan, he said, noting moldmakers there are grabbing an increasing share of Asia’s high-tech mold market.
Though not present at the conference, in a statement Nobumitsu Kanetsuna, executive VP of Futaba, said, “The joining of these two companies leads to our ability to better serve molders and moldmakers around the globe. It truly is a mutually beneficial agreement with D-M-E gaining manufacturing capacity and presence in the Asian market and Futaba gaining access to technologies such as hot runner systems.”—[email protected]
TAGS: Business
Hide comments
account-default-image

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish