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S'pore's precision engineering sector to gain from regional demand
Publication Date : 20-03-2014
Singapore's precision engineering sector has grown by leaps and bounds and will benefit from growing demand in the region, said Minister of State for Trade and Industry Teo Ser Luck.
A sign of the industry's growing importance is the increase in output, which has risen almost fourfold over the past 20 years to hit S$32 billion (US$25 billion) last year.
Teo noted also that Singapore is poised to ride on the wave of demand for high-technology machine tools as developing nations in Asia invest to improve infrastructure. "Industrial production in Asia is projected to grow at 5 per cent or more this year... Singapore is strategically located in the heart of Asia, and well-positioned to capture growth opportunities in the region," he said yesterday at an industry event.
To ensure the momentum continues, he said the Government will continue to upgrade the workforce and boost research and development activity in the sector.
Teo, who was speaking at at the opening of Japanese manufacturer Yamazaki Mazak's facility in Jurong, said the industry's success would also depend on the private sector. Firms like Mazak are thus important, as they are committed to investing in its staff and facilities, he noted.
The company has expanded its facilities, the fifth time it has done so since setting up a sales and support office here in 1988. It has boosted its presence here by establishing production lines. The latest expansion saw its factory grow from 7,300 to 15,300 sq m. It also built a new technology centre four times bigger than its predecessor to showcase its products and provide comprehensive sales support across the region.
It declined to disclose the size of its investment here but the expansion will raise production capacity by 60 per cent. Its president Tomohisa Yamazaki said yesterday: "Our continuous investment over the last 23 years is the proof that we have been happy with our growth in Singapore."
Mazak has five global production facilities outside of Japan. It produces advanced machine tools used to make things like engines, for example, for sports car makers Lamborghini and Ferrari.