Japan’S Seiko Epson Corp. said it will invest 12.3 billion yen (P4.6 billion, $103 million) in manufacturing subsidiary Epson Precision (Philippines) Inc. to build a new plant to expand production of its inkjet printers and 3LCD projectors.
In an statement on its website, Epson said the state-of-the-art facilities will be built at the site of its subsidiary in Lipa City, Batangas by the early part of 2017, with operations slated to begin in the spring of that year.
The plant area will measure approximately 100,000 square meters. Epson said it plans to install a mega solar power generation system with a capacity of approximately 3,000 kWh on the roof of the new plant.
“This system will reduce overall daytime electricity consumption at Epson Precision (Philippines) by half,” it said.
Epson plans to increase the workforce at its Philippine unit to approximately 20,000 from the current 12,500 to respond to the planned increase in production.
“As it implements its mid-range business plan, Epson has determined that its current inkjet printer and projector manufacturing facilities in China, Indonesia and the Philippines are insufficient to meet expected demand,” the company said.
For inkjet printers, the company said there is a need to boost production capacity for its core high-capacity ink tank models, which are currently experiencing rapid growth, and also for office inkjets, which are beginning to make steady inroads into the market.
“Epson also sees the need to increase projector production as it expands its lineup.
With growing demand for projectors used in business and education, expanding commercial applications, and increasing penetration in emerging economies, Epson forecasts its growth will surpass that of the market,” it said.
Construction of the plant will have no material impact on Epson’s business results for the fiscal year ending March 2015, the company said.
Epson’s lineup ranges from inkjet printers, printing systems and 3LCD projectors to industrial robots, smart glasses and sensing systems and is based on original compact, energy-saving, and high-precision technologies
Led by the Japan-based Seiko Epson Corp. the Epson Group comprises more than 72,000 employees in 94 companies around the world.