Kobelco Construction to expand capacity at Sri City facility

Our Bureau Hyderabad | Updated on March 21, 2018 Published on March 21, 2018


Kobelco Construction Equipment India, the Indian arm of the Japanese Kobelco Group, has started work on expanding its manufacturing facility located in Sri City.

Akira Kinoshita, Director and Senior Managing Executive Officer, Kobelco Construction Machinery, said, “At present, the plant has an annual production capacity of 2,000 units, and has been operating at near full capacity meeting domestic requirement mainly and some exports. With the manufacturing capacity almost hitting its upper limit, we have decided to further enhance the production capacity by 50 per cent.”

“I am optimistic that the expansion will further drive the economic growth in the region. Also, I am confident, this region, in line with AP CM's vision, will soon grow as an automobile cluster, developing a symbiotic ecosystem benefiting the auto component makers.” he added.

Tetsuo Yamamura, Deputy Director, Shimizu Corporation, said, “Shimizu Corporation, being an Engineering Design Bureau and construction company, has a strong attachment with Kobelco India. We will complete the construction of this new plant well before the scheduled time.”

Yutaka Goto, Managing Director & CEO, KCEI said, “We started our operations in India 10 years ago, and through Sri City plant we are continuing to provide innovative solutions to customers based on their feedback. Our business increased by 10 times, and hence to meet the market demand we are expanding the production facility.”


KCEI will invest Rs 75 crore for commissioning the new plant of 6,500 sq.m. area. It is expected to be ready within 12 months. The highly automated plant will create direct jobs for 50 people.

When the new facility becomes operational, the annual production capacity of KCEI will be about 3,000 of Hydraulic Excavators of capacity ranging from 14 t to 38 t.

Ravindra Sannareddy, Founder Managing Director, Sri City, said,“Kobelco Group is the very first Japanese customer in Sri City and progressing very well. This is the third expansion by the Group, following the augmentation of its Crane unit and Plate Processing units in the recent past.”

Published on March 21, 2018
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