Business

Friday September 18, 2009

New made-in-Malaysia Bosch power tools for US, Europe

By DAVID TAN


Products to be made at Bayan Lepas plant; workforce to be increased

GEORGE TOWN: Robert Bosch Co Ltd will soon produce at its Bayan Lepas facility new power tool products targeted for the US and Europe markets.

Bosch Power Tools (Asia Pacific) vice pres-dent Dr Klaus Thunig told a press conference that production would focus on cordless power tools, which had an estimated market value of 1.3bil euros in Asia.

“To prepare for the increase in output, we are currently looking to add 150 to 200 operators and engineers to the 1,200-strong workforce now engaged at the Bayan Lepas plant.

“Recruitment of workers in Penang, however, is not easy, as there seems to be a (labour) shortage,” he said, adding that five million power tools were produced in Penang last year.

From left: Robert Bosch Asia Pacific Engineering vice-president Falk Hermann, Klaus Thunig and Robert Bosch Power Tools Malaysia Sdn Bhd managing director Eberhard Schanz strike an interesting pose with some power tools.

Speaking after a media briefing on the global and Asia Pacific market for power tools, Thunig said Bosch would expand the production space at the Bayan Lepas plant and invest more in test laboratories, new engineering capabilities and research and development (R&D) activities.

Some 40% of the power tools produced in Penang go to the Asia-Pacific market.

Bosch Power Tools is introducing more than 120 new power tool products this year.

“Next year, the volume should be about the same. We have to decide how much of the new products will be produced in Penang,” Thunig said.

He said although the cost of production was higher in Malaysia than some countries in the region, the company would still expand in Penang, and not move to another country.

Bosch Power Tools, which generated 3.15bil euros in world sales in 2008, allocates 4% of its revenue for R&D activities in Penang, China, and India.

In 2008, while the power tools markets in North America and Europe declined, the Asia-Pacific market grew by about 4%.

“However, Bosch’s sales increased much faster in the region than the market, rising by 12%,” Thunig said.

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