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Toshiba holds groundbreaking for new motor manufacturing facility in Vietnam
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Toshiba leaders commemorate the beginning of the TIPA construction in Vietnam.
Toshiba leaders commemorate the beginning of the TIPA construction in Vietnam.

Toshiba International Corporation held a formal groundbreaking ceremony was held in Vietnam on April 20-21, 2009, to commemorate the beginning of the construction of Toshiba's new motor manufacturing and sales base in southern Dong, Nai Vietnam. Toshiba leaders from all over the world met to participate in the landmark event.

The new branch, Toshiba Industrial Products Asia Co., Ltd (TIPA), will manufacture high efficiency, NEMA Premium, 100 HP and below, 140 though 360 frame, IEC and JIS motors. The project is a joint venture between Toshiba International Corporation, Toshiba Corporation, Toshiba Industrial Products Manufacturing Corporation, and Toshiba Industrial Products Sales Corporation. The strategic investment will enable Toshiba to meet the global market's growing demand for premium efficient motors and improved environmentally-responsible products that consume less power and emit less carbon dioxide.

Toshiba leaders commemorate the beginning of the TIPA construction in Vietnam. TIPA is scheduled to go live in September 2010 and will consist of approximately 861,113 sq. ft., with an expected total investment in the facility and equipment to be in the region of $77 million. It is projected that TIPA will reach full manufacturing capacity in 2015, with 500 employees, and will be able to manufacture up to 1.2 million high efficiency industrial motors a year. Products manufactured will target markets in Vietnam, North America, China, Southeast Asia, and Japan. Toshiba Group strives to have over $700 million in net motor sales by FY2015.

The Energy Independence and Security Act of 2007 has significantly raised minimum efficiency standards for general purpose electric motors and in 2011 will require that newly built motors meet the new mandates. This will make many EPACT products obsolete, thereby increasing the demand for NEMA Premium products. Toshiba wants to be fully prepared for the transition and ultimately become one of the top three global motor companies. In keeping with this goal and working to form a complete manufacturing and sales system serving the global market TIPA will join the three pre-existing Toshiba manufacturing bases (Toshiba International Corporation in the United States; Toshiba Industrial Products Manufacturing Corporation in Japan; and Toshiba Dalian Co., Ltd. in China). Toshiba International Corporation (TIC) is a Toshiba America Inc. Group Company, and is a wholly owned subsidiary of Toshiba Corporation. TIC is comprised of two divisions: the Industrial Division headquartered in Houston, Texas and the Power Systems Division headquartered in San Francisco, California.

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