BookTitleToyota Tsusho 70-Year History

Summary

Toyota Tsusho 70-Year History

Asahi Kinzoku Kogyo Inc. in March 2015, ToyotaTsusho established an aircraft parts surface treatmentcompany, Asahi Aero Malaysia Sdn. Bhd. (AAM),in Kuala Lumpur, Malaysia. A worldwide increasein air passengers had caused the demand for aircraftin the Asian region to skyrocket, and production byEuropean and American aircraft parts manufacturerswas already under way in the region. In 2010, theMalaysian government began implementing corporatetax exemptions and other preferential measures forcompanies investing in the aircraft industry, leadingto a more conducive environment for manufacturingaircraft parts. Asahi Kinzoku Kogyo was Japan’s firstNadcap (National Aerospace and Defense ContractorsAccreditation Program) certified supplier and had proventrack records in the aircraft parts surface treatment fieldand considerable technological prowess. Using theirtechnological background and Toyota Tsusho’s networksAAM conducted surface treatment operations for localparts manufacturers.5 Business Development in SingaporeSingapore was where Toyoda Tsusho establishedToyoda (Singapore) Pte. Ltd. in 1975 (renamed ToyotaTsusho (Singapore) Pte. Ltd. in 1987), and that companyplayed a central role in Toyota Tsusho’s businessactivities in Southeast Asia. In April 2012, Toyota Tsusho(Singapore) was renamed Toyota Tsusho Asia PacificPte. Ltd. to reflect Singapore’s role as the regionalheadquarters of the Asia-Pacific region. Toyota Tsushowas highly active in Singapore, developing businessesin the energy, bunkering, logistics, electronics, and otherfields. In May 2012, the company purchased 26.9% of theoutstanding shares of Sin Heng Heavy Machinery Ltd., amajor construction machinery rental and sales companyin Singapore. This led to Toyota Tsusho’s involvement inthe construction machinery rental and sales business inSingapore, Malaysia, and Indonesia.6 Business Development in MyanmarWith the establishment of T.T.A.S. Co., Ltd., in March1996, Toyota Tsusho began developing a network ofToyota Authorized Service Stations in Myanmar. InSeptember 2013, Toyota Tsusho received an order forconstruction machinery from Myanmar’s Ministry ofConstruction as a form of grant by official divelopmentassistance (ODA) from the Japanese government. Thevehicles were to be used for the construction of roads inKayin State. There were several development projectsongoing in Kayin State, including the construction oftunnels and roads linking Hpa-an Port to Thailand, thatrequired the use of many transport vehicles. Workingthrough the Japanese government, Toyota Tsushoreceived an order for 27 vehicles, mainly Hino branddump trucks, which it began supplying in 2014. Thiswas Toyota Tsusho’s first ODA project for Myanmarafter the country’s transition from military to democraticgovernment.7 Business Development in CambodiaEstablishment of a Total Car Support Direct SalesStoreSince its establishment in 1993, Toyota (Cambodia)Co., Ltd., had been at the center of Toyota Tsusho’sautomobile business activities in Cambodia. In November2013, Toyota Tsusho joined forces with Denso Corp. andAisin Seiki Co., Ltd., to establish PIT & GO AutomotiveService (Cambodia) Co., Ltd. This company directlymanaged service shops that provided total car supportand maintenance services in Cambodia’s capital, PhnomPenh. Under the brand PIT & GO, the directly managedservice shops began providing automobile repair andmaintenance services and parts sales in February 2014.Entering the Captive Finance and Lease BusinessIn response to increased demand in Cambodia forautomobiles, motorcycles, agricultural machinery, andconstruction machinery, in June 2014 Toyota TsushoAsahi Aero MalaysiaODA in Myanmar162