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Japan's Koito adding capacity at Indonesia auto lamp factory

Move reflects similar expansions planned for Mexico and China

TOKYO -- Koito Manufacturing, a leading maker of automotive lighting, plans to boost production capacity at a plant in Indonesia by 50%.

In operation since 2011, the Indonesia plant is now stretched to capacity, making 1 million headlights and 300,000 rear lights a year, mostly for autos. To keep up with the aggressive production plans of Japanese automakers in Indonesia, Tokyo-based Koito will spend 2 billion yen ($17.7 million) to construct a new building at the plant and lift its capacity for both headlights and rear lights by half.

The new facility is expected to begin operating in 2019.

Koito already has plans to boost capacity during the latter half of 2018 at factories in Mexico and China, so the plans for Indonesia bring its total overseas spending to 5 billion yen.

The Mexico plant, which can now make 1.3 million vehicle lights a year, will get a nearly 50% capacity boost. Production capacity at the facility in Fujian Province, China, which can now churn out 1 million units annually, will be increased 70%.

(Nikkei)

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