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MHI Compressor Corp. Establishes Local Subsidiary in South Korea Through Joint Venture with Mitsubishi Corp.

October 1, 2018

TOKYO--(BUSINESS WIRE)--Oct 1, 2018--Mitsubishi Heavy Industries Compressor Corporation (MCO), a group company of Mitsubishi Heavy Industries, Ltd. (MHI)(TOKYO:7011), has established MHI Compressor Korea, Ltd. (MCO-K), a joint venture with Mitsubishi Corporation, and began operations today. The new company aims to further cultivate the promising market in South Korea, where it has sold many compressors and drivers.

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Compressor train for mega ethylene plant (Photo: Business Wire)

MCO-K was established in Seoul with capitalization of 900 million won (approx. 100 million yen). MCO holds a 70% share, with the remaining 30% owned by Mitsubishi Corp. The company was launched with a four-person team led by President Ryota Okada from MCO, and will be expanded going forward. MCO-K will strengthen the organizational structure by creating a central point of contact for customers in South Korea, provide closer connections and faster responsiveness to end users and EPC (Engineering, Procurement, and Construction) companies, and focus on cultivating demand for new construction as well as renovation and after-sales service.

MCO has sold over 200 compressors and drivers in the South Korean market, mainly for petrochemical plants. The ethylene and other petrochemical materials and products produced in South Korea are exported to the major consuming area of China, where firm demand is expected to continue. The new company MCO-K will be in a position to respond quickly to needs from these end users for increased production capacity, overhauls, and regular maintenance. In addition, with South Korean EPC companies exerting a greater presence worldwide in petrochemical plant construction, MCO-K will strengthen ties to allow for cooperation from the plant planning stage.

With the launch of MCO-K, MCO will work to expand sales in South Korea, with a view to utilizing the new company to facilitate broader market development. MCO will also work in close cooperation with MHI and Mitsubishi Corp. to expand market share and strengthen the competitiveness of MCO products.

About Mitsubishi Heavy Industries Group

Mitsubishi Heavy Industries, Ltd. (MHI), headquartered in Tokyo, is one of the world’s leading industrial firms with 80,000 group employees and annual consolidated revenues of around 38 billion U.S. dollars. For more than 130 years, the company has channeled big thinking into innovative and integrated solutions that move the world forward. MHI owns a unique business portfolio covering land, sea, sky and even space. MHI delivers innovative and integrated solutions across a wide range of industries from commercial aviation and transportation to power plants and gas turbines, and from machinery and infrastructure to integrated defense and space systems. For more information, please visit MHI’s website: www.mhi.com/index.html For Technology, Trends and Tangents, visit MHI’s new online media SPECTRA: spectra.mhi.com

View source version on businesswire.com:https://www.businesswire.com/news/home/20180930005055/en/

CONTACT: Mitsubishi Heavy Industries, Ltd.

James Bennett, +81-(0)3-6716-2168

Corporate Communication Department

mediacontact_global@mhi.co.jp

Fax: +81-(0)3-6716-5860

KEYWORD: ASIA PACIFIC SOUTH KOREA JAPAN

INDUSTRY KEYWORD: ENERGY OIL/GAS TECHNOLOGY HARDWARE MANUFACTURING CHEMICALS/PLASTICS ENGINEERING

SOURCE: Mitsubishi Heavy Industries, Ltd.

Copyright Business Wire 2018.

PUB: 10/01/2018 01:30 AM/DISC: 10/01/2018 01:30 AM

http://www.businesswire.com/news/home/20180930005055/en

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