German “Economic Weekly” quoted Japanese auto parts supplier Musashi as saying that Musashi Precision Industries plans to close its two factories in Hannoverch Muenden and Leinefelde in central Germany and reduce the number of employees at its Luechow factory. It is reported that the move is expected to affect hundreds of employees.
This decision by Musashi Seimitsu Industries reflects the current challenges facing the automotive industry, including supply chain disruptions and changing market demands.This factory adjustment may have a significant impact on its layout in the European market. According to industry insiders, this decision may be related to the transformation and cost control of the European automotive industry.However, the company has not yet officially commented on the report.
Image source: Musashi Precision Industries
It is worth noting that Musashi Seimitsu Industries is actively deploying its operations in Asia and Africa as the closure of the above plants is planned. On June 20, Musashi Seimitsu Industries signed a memorandum of understanding with Japanese mobility startup Glafit to cooperate in promoting the sales and deployment of two-wheeled electric vehicles in the South Asian country of Bangladesh. The two sides also signed a capital cooperation agreement, which will give full play to their respective advantages and promote the comprehensive development of the electric vehicle business.
In addition, in fiscal 2024, with the support of the Japanese government, Musashi Seimitsu Industry and Africa’s leadingElectric vehicleARC Ride has jointly launched a demonstration project in Nairobi, the capital of the East African country of Kenya, to develop an ecosystem of electric two-wheelers such as electric motorcycles, batteries, battery swapping stations and digital services. Through this initiative, both parties have made positive contributions to reducing environmental impact, improving driver convenience and safety, and raising awareness of electric motorcycles among the Kenyan public.
Around the world, Musashi Seimitsu Kogyo is developing and manufacturing powertrain systems, steering, and chassis components for next-generation automobiles and motorcycles for electrification and autonomous driving. At the same time, in new business areas, the company actively expands businesses such as electric mobility, smart industry, energy solutions and plant biotechnology through open innovation strategies.
