Komatsu plans major expansion in China

Japan's Komatsu has announced plans for a major expansion in China including relocating its Komatsu (Changzhou) Construction Machinery (KCCM) operations, building a new plant, and establishing the KC (Komatsu China) Techno Center

In a statement on its website the company said it believed continued government investment in infrastructure - highways, railways - and growth in the mining sector mean "the construction and mining equipment market should further expand in the mid- to long-range future."

The new factory is expected to start operations in 2010 and will have a + 15% higher production capacity than the old site.

The new site will also be home to a new initiative, said the company. The KC Techno Center will include a demonstration and training facilities alongside a remarketing centre, which will be for used equipment and Reman components.