In another move to avoid disaster, Suzuki Motor Corp. will relocate major facilities in Iwata and in a lowland area of Hamamatsu, both in Shizuoka Prefecture, to higher ground, the automaker said July 11.
In another move to avoid disaster, Suzuki Motor Corp. will relocate major facilities in Iwata and in a lowland area of Hamamatsu, both in Shizuoka Prefecture, to higher ground, the automaker said July 11.
The automaker will invest about 50 billion yen ($619 million) in acquiring land and buildings for the relocation.
The facilities include the company's motorcycle development and engineering departments at its Motorcycle Technical Center in Iwata, and the electric-vehicle development department and motorcycle engine production facility in Hamamatsu.
The relocation site is an industrial complex 80 meters above sea level.
Osamu Suzuki, chairman and CEO of the automaker, said the company decided to realign its manufacturing sites after witnessing the impact of the March 11 Great East Japan Earthquake and tsunami.
The company earlier said it will shift half of its engine production at its Sagara plant in Shizuoka Prefecture to avoid potential disruptions from the nearby Hamaoka nuclear power plant.
Reactors at the plant have been shut down due to concerns about the long-expected Tokai earthquake hitting the region.
According to Suzuki's schedule, the motorcycle and EV departments will be moved to the site in August 2016. The motorcycle engine production facility will be relocated in May 2017.
Annual production at the new site is expected to be worth 93 billion yen, with the number of workers totaling 2,200, including new recruits.
Motorcycle maker Yamaha Motor Co. initially planned to move to the site but abandoned the plan in 2010. The Hamamatsu city government has since tried to lure companies to the area.