Minolta currently has manufacturing subsidiaries in Malaysia and China, which serve as manufacturing bases for cameras. The plant in Malaysia manufactures SLR cameras and the plant in China manufactures compact cameras, but optical part manufacturing and optical unit assembly have been handled entirely in Malaysia. In summer 2001, however, Minolta made a full-scale entry into the digital camera market, so the company reviewed its manufacturing capabilities within the Minolta Group to prepare the group as a whole to meet increasing manufacturing demands. As a result of this review, Minolta has decided that, in addition to starting production of digital cameras in Malaysia, Minolta will also be concentrating resources on the establishment of a new manufacturing subsidiary that will handle optical units in China. This joint venture will allow Minolta to establish an integrated manufacturing system for compact cameras in China.
With the establishment of this new joint venture, Minolta aims to increase the cost competitiveness of its lens and finder units, key components in both digital and film cameras, by manufacturing these units in China. Furthermore, because the new joint venture will be located in Song Jiang ward, the same area as Shanghai Minolta Optical Products Co., Ltd., Minolta’s camera manufacturing base in China, the two companies will be able to work efficiently in related manufacturing processes, such as the integration of lens barrels and lens bodies. This will result in both improved product quality and in reduced manufacturing time. Minolta is also considering, as a future possibility, the sales of optical units manufactured by the joint venture to other companies.
The new company will begin full-scale optical parts manufacturing in November. The company will begin with the manufacturing of optical units for compact cameras, and will phase in the manufacturing of optical units for digital cameras. Utilizing Minolta’s strong points, the new joint venture will provide optical.
SOURCE: COMPANY PRESS RELEASE
