Jinpao aims to cash in on EEC with factory in Hemaraj Estate 2
JINPAO PRECISION Industry Co Ltd yesterday signed a deal with leading industrial estate developer Hemaraj Land And Development to purchase from the latter a 54-rai plot in the Hemaraj Eastern Seaboard Industrial Estate 2 (HESIE 2), where it will build a new plant to produce structural sheet metal parts.
Output from the new plant will serve the aerospace and medical industries.
Jinpao president Chung Kuo-Sung said yesterday that the combined cost of land acquisition and construction of the new plant will be around Bt2 billion. The new plant is expected to start operation in the next two years.
The new plant will be the company’s third facility in Thailand and its first one at Hemaraj ESIE 2. It has two plants in the Bangpoo Industrial Estate.
Jinpao is a subsidiary of Taiwanese company JPP Holding, specialising in the manufacturing of structural sheet metal parts for several industries such as aerospace, telecommunications, electronics, energy, healthcare and the food-related sector.
“This land purchase at Hemaraj ESIE 2 is a significant step in our company’s development,” Chung added. “Hemaraj ESIE 2 represents a great location in terms of logistics, transportation and convenient infrastructure, so we can continue delivering our products to our customers in Thailand and overseas.
“Moreover, with the development of the Eastern Economic Corridor [EEC], the location of Hemaraj ESIE 2 is perfect to serve our requirements,” he said.
Chung said that this year Jinpao has targeted sales revenue growth of between 5 per cent and 10 per cent. Its revenue last year was around Bt1.5 billion.
Hemaraj is a subsidiary of WHA Corporation.
“The land contract happens at a momentous time and is a perfect illustration of WHA’s commitment to support the government-sponsored EEC initiative and the development of the country’s 10 targeted S-Curve industries,” said Jareeporn Jarukornsakul, WHA Group chief executive officer.
The EEC areas cover Rayong, Chon Buri, and Chachoengsao provinces. The businesses in the S-Curve industries range from next-generation automotive, robotics, aviation and logistics, to medical hub.
