Komatsu commences production at new Russian excavator factory

Following an investment of JPY 13 billion (US$ 140 million) Komatsu has opened a 50200 m² assembly plant in Yaroslavl, Russia. Equipped with an integrated production line from welding to assembly, the new plant will produce PC200, 220, 300 and 400 hydraulic excavators.

President and CEO Kunio Noji attended the opening ceremony in Yaroslavl as production commenced. Operated by Komatsu Manufacturing Rus, the company will initially produce PC400 excavators, but it plans to expand the model range as market conditions demand.

Future plans for the Russian factory include the production of utility equipment including forklift trucks, pipelayers, mining equipment and large construction equipment.

A Komatsu spokesperson said, "While the Russian demand for construction equipment is declining at present against the backdrop of a sluggish economy, we are anticipating growth in demand resulting from the development of rich natural resources and infrastructure in the mid-to-long term."

The new plant will produce equipment previously exported from Japan and China. "We believe that we will be better positioned to not only reduce both transportation costs and inventories, but also further improve our product support capability for local customers," said the spokesperson.