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JSP to build Thai plant for expanded polypropylene

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JSP to build Thai plant for expanded polypropylene
JSP is investing in a new plant in Thailand to manufacture expanded polypropylene to meet the growth in demand from Southeast Asia.

The Japanese company – which manufactures and sell automotive parts, as well as cushioning and packaging materials, such as returnable containers for transporting IT products, cushioning and packaging materials for transporting home appliances and impact protection materials for artificial sports surfaces – has established a subsidiary in Thailand through its Singapore-based subsidiary, JSP Foam Products Pte Ltd, to take charge of the plant project.

The new subsidiary, JSP Foam Products (Thailand) Co Ltd, and plant will be located in the Asia Industrial Estate in Samut Prakarn province, about 30km east of Bangkok, on a 13,600 square metre site. With a build-up area of 3,500 square metres, the manufacturing facility will have an annual production capacity of 1,800 tons and is slated to start operations in January 2016.

“In recent years, the ASEAN region is one of the few areas of the world with high prospects for strong economic growth,” said JSP. “Economies are growing rapidly in Thailand and Indonesia as well as in many other countries in this region.

“Most of the ASEAN production operations of Japanese automakers are located in Thailand. The concentration of automakers and parts manufacturers in Thailand makes it possible to operate plants efficiently. In addition, there are many manufacturers of electric and electronic parts in Thailand.

The company explained, “As a result, demand for ARPRO/P-BLOCK (JSP’s expanded polypropylene product) is growing steadily.”

JSP currently meets demand in Thailand by exporting ARPRO/P-BLOCK, from its Singapore subsidiary. The company does not expect to stop these exports because of the outlook for more rapid growth in demand for lighter materials with a high expansion ratio, but says the new Thai plant will help ensure a reliable supply as demand grows.

In addition, the Thai subsidiary will further strengthen sales operations in Thailand as well as provide customers with technical support.


1 PBIA May2015 web


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