Daihatsu Motor Kyushu Completes Construction of Kurume Plant and Commences Operations

Aug. 29, 2008

DAIHATSU MOTOR CO., LTD. (Daihatsu) announced today that its subsidiary Daihatsu Motor Kyushu Co., Ltd. (President Kazuki Uoi) located in Nakatsu, Oita Prefecture has completed the construction of the Kurume Plant and begun full-scale operations of it. Numerous guests attended today's ceremony to mark the completion of construction; and a plant tour and celebratory reception were also held in Kurume City.

The Kurume Plant is a simple, slim, and compact plant dedicated to the production of engines for mini vehicles, which integrates the streamlining measures fostered at Daihatsu's manufacturing bases such as the Oita (Nakatsu) Plant No. 2. The size of the plant building and investment in plant equipment were significantly reduced, compared to previous plants, and various environmental measures have been implemented to reduce energy usage. This has resulted in a plant with a high level of productivity. The plant has the manufacturing expertise to produce high-quality, cost-efficient engines that meet the needs of the global market.

Daihatsu intends, through the operation of the Kurume Plant, to improve the efficiency of its supply of engines to the Oita (Nakatsu) Plant (by shortening transportation lead-time and reducing logistics costs)-in line with the expansion of the company's mini vehicle production-while also establishing a business model that will ensure higher revenue from mini vehicles.

Outline of Daihatsu Motor Kyushu Kurume Plant

Location: Kurume-City, Fukuoka Prefecture (in the Kyushu Island), Japan
Site Area: Approx. 174,000 m2
Floor space: Approx. 13,000 m2
Plant and equipment investment: Approx. 10 billion yen
Production capacity: 216,000 engines/year (two-shift operation; regular working hours)
Production model: Type KF engine (for mini vehicles)
Number of employees: Approx. 200 (as of August 2008)
Operations: Engine production (Casting, machining, and assembly)

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