This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration. Need a new registration confirmation email? Click here
The Hershey Company (NYSE: HSY) today announced it will build a new confectionery manufacturing plant in Johor, Malaysia, to meet the growing consumer demand for its products in its fastest-growing region.
“Consumers across Asia are discovering a range of Hershey confectionery products, and China in particular is growing faster than any other market,” said Terence O’Day, Senior Vice President and Chief Supply Chain Officer, The Hershey Company. “Our new Malaysia plant will feature the latest confectionery manufacturing technology and will complement production at our existing joint-venture plant in China. Adding this new manufacturing capacity will put us in a strong position to meet the growing demand for our products across the region.”
Major Investment in the Region
Hershey has been investing in its Asia business for several years, building its presence across the region. The Johor plant, a $250 million USD (RM816 million) investment, represents the single- largest investment in Asia during the company’s 18-year history in the region.
“We are honored that Hershey selected Malaysia for the site of its next manufacturing plant,” said Datuk Noharuddin Nordin, Chief Executive Officer of Malaysian Investment Development Authority (MIDA). “This is a testament to the continued attractiveness of Malaysia for multinationals making substantial commitments to the region. This project will bring years of positive economic benefit to Malaysia in the form of jobs and business for local suppliers.”
The new plant will include innovations in automated candy-making technology, including proprietary equipment and systems developed to Hershey’s specifications.
The plant’s capabilities will include high-speed wrapping machines featuring proprietary, specially engineered wrapping technologies.
The plant’s location in Johor is a strategic geographical choice that provides Hershey with easy distribution access to more than 25 markets across Asia. Malaysia also offers a well-educated potential workforce, a stable political environment, a strong supply chain infrastructure and globally recognized Halal food manufacturing certification that is an advantage for products sold in the region.