Kobe Steel plans to establish two 100%-owned companies in
July, one in Europe and the other in the Middle East, to expand
the global marketing and servicing of its compressors.
Kobelco Machinery Europe GmbH will be set up in Munich,
Germany, to strengthen the marketing of Kobe Steels
nonstandard compressors in Europe, the company said.
will also procure parts for use in the manufacture of
compressors in Japan.
The new subsidiary will be capitalized at 100,000
(about 10 million yen). Employees will increase from the
current staff of seven to eight.
Meanwhile, Kobelco Machinery Middle East will be established
in Dubai, United Arab Emirates.
To be located at Dubai Airport Freezone, the company says it
will provide after-sales services for nonstandard compressors
sold in the Middle East.
The unit will be capitalized at 1 million UAE dirhams (about
20 million yen). Employees will increase from the current three
Kobe Steel currently has representative offices in Germany
and the UAE. By turning these offices into companies, Kobe
Steel will be able to strengthen compressor marketing, parts
procurement and after-sales services, as well as increase its
presence in the two regions, it said.
Kobe Steel says it is the worlds only comprehensive
manufacturer that makes screw, centrifugal and reciprocating
The company estimates it has a 40% share of the world market
for nonstandard screw compressors.
Nonstandard compressors are used in petrochemical plants, natural
gas plants and other large facilities.