Updated — Sanko Gosei Technologies USA Inc. is investing a total of $5.46 million in equipment and building improvements at its facility in New Haven, Ind., near Fort Wayne. The project is expected to create 48 jobs.
CEO Laurence Tabner said the investment is driven by new opportunities from Tier 1 and OEM customers requiring additional equipment and the latest technologies to maintain a competitive edge within the automotive industry.
“The growth is across all areas of our business, but particularly an increase in tool manufacture and added-value products,” he said in a Feb. 28 email interview.
“Last year, we invested in our toolmaking capability with CNC and EDM machinery and a spotting press to handle our largest molds,” he added. “Not only will we be able to handle the influx of new tooling, but this also gives us a technical ability not generally seen at injection molding facilities.”
Sanko Gosei, which manufactures various interior and exterior components for the auto industry, is spending $3.16 million of the total investment on manufacturing equipment. This includes the purchase of four injection molding machines with clamping forces ranging from 200-720 tons, in addition to a 1,800-ton Ube machine. The five new machines will complement the company's all-electric presses, Tabner said.
Sanko Gosei currently has 20 injection molding machines at its New Haven facility. The presses range from 200-3,000 tons.
The company acquired the New Haven facility — its only North American location — when it purchased the assets of auto supplier Bhar Inc. in 2015.
In addition, the auto parts maker is spending $100,000 of the total investment on information technology equipment.
“With the increase in product design and toolmaking, then we need improved server capability to handle our data needs,” Tabner said.
“We already use a cloud-based MRP [material requirements planning] system, but want to expand the application to be more integrated with machines control and sensor integration through PLC [programmable logic controller] use,” he added.
The 95,000-square-foot facility will also be expanded an additional 25,000 square feet to improve workflow and efficiency, and reduce logistics waste. Sanko Gosei is spending $2.2 million of the total investment on the building improvements and expansion.
“New programs will see us move to a higher assembly content and, hence, the need for space to accommodate the assembly lines with a clean product flow,” he said.
Tabner said the funding of the investments should be finalized in March, with project completion scheduled for June 2019.
“We continue to push forward with technology that challenges faster production cycles with lighter weight components that can help our customers achieve their objectives,” he said.
Sanko Gosei Technologies USA Inc. employs 169 at its Indiana facility. The company ranks No. 128 in the annual survey of North American injection molders by Plastics News, with an estimated $51 million in sales for 2016. Parent company Sanko Gosei Ltd., headquartered in Toyama, Japan, employs about 2,000 workers worldwide.