PPG Industries (NYSE:PPG) has expanded its aerospace business operations
in Japan with the relocation of its application support center to a site
in Miyoshi that supports increased production capacity, adds warehouse
PPG Industries (NYSE:PPG) has expanded its aerospace business operations in Japan with the relocation of its application support center to a site in Miyoshi that supports increased production capacity, adds warehouse space and affords new service capabilities. The new site in Miyoshi Kurozasa Industrial Park includes a 1,994-square-meter manufacturing facility and office as well as an 890-square-meter stand-alone on-site warehouse. The larger site, near Nagoya, enables PPG Aerospace to expand its capabilities in the region as Japan’s role as a major aerospace center continues to grow, according to Paul Bowman, PPG Aerospace general manager for Asia Pacific. PPG established operations at its former application support center in Handa City in 2005 after serving the Japanese aerospace market from a facility in Tokyo for sealants and coatings distribution. “We designed the ASC in Miyoshi as a brand-new operation with the ability to expand upon our current customers’ needs and to include all of our other product and service platforms that could not be accommodated at the previous location,” Bowman said. Atsushi Suda, PPG ASC-Japan business manager, said having a stand-alone, PPG-owned warehouse on-site gives the company the ability to offer customers just-in-time and point-of-use delivery of its products. “It is a big step forward to begin offering Total Service Solutions chemical management for our major customers,” Suda said. The modular approach for customized chemical management can include turnkey outsourcing of chemical and fluid management, process and point-of-use program management, and logistics. “We also have expanded capacity for custom packaging of premixed frozen sealant with this larger plant to support increased commercial and regional aerospace demand,” Suda said. The ASC repackages sealant for delivery to customers in packaging designed for easy application without waste. It also provides PRC(R) seal caps used in the aerospace industry to seal fasteners with reduced waste and higher quality. Packaging and dispensing solutions are provided to customers with SEMCO(R) packaging and application systems that include Value-Added Packaging for aerospace sealants, aerospace coatings, and adhesives and solder paste for electronics. In addition, the new ASC offers color-matching and local blending capabilities for aerospace coatings.
Jefferies analysts note that recent construction spending data indicates a cycle rotation away from construction-exposed names and toward industrial- and durable goods-levered firms could be playing out.