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Loan for Manufacturing and Sales Business of Construction and Industrial Machinery Parts by Japanese Company in China
Supporting Overseas Business Deployment of Japanese SMEs

  • Region: Asia
  • Manufacturing and Services
  • Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
  • Overseas Investment Loans

August 29, 2014
  1. The Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Watanabe) signed today a loan agreement totaling up to USD2.0 million (JBIC portion) with GOH SHOJI CO.,INC. (GOH SHOJI; Headquarters: Tokyo; Director and President: Tsutomu Higaki). The loan is cofinanced with Sumitomo Mitsui Banking Corporation, bringing the overall cofinancing amount to USD2.883 million.
     
  2. The loan is intended to finance JINING GOH HYDRAULICS MANUFACTURING.CO.,LTD (GHM), a subsidiary of GOH SHOJI in China, for manufacturing and selling business of construction and industrial machinery parts. The financing will specifically support GHM's expansion of production facilities.
     
  3. GOH SHOJI is a specialized trading company which sells parts for home appliances, forged goods, fitting and hydraulic hoses manufactured mainly by its group companies. While the demand for construction machineries is expected to increase backed by emerging countries'economic growth, the company established GHM in May 2011 as a manufacturing and sales base in China for its overseas business deployment, and plans to expand the production capacity of GHM and expand the business in emerging countries from China, by manufacturing and selling the products for Japanese construction and industrial machinery manufacturers. Thereby, this loan will contribute to maintaining and strengthening the international competitiveness of Japanese industries, through supporting overseas business deployment of GOH SHOJI.
     
  4. As Japan's policy-based financial institution, JBIC will continue to support overseas business deployment of Japanese companies, including mid-tier enterprises and small and medium-sized enterprises (SMEs), in growing markets such as China, by drawing on its various financial facilities and schemes for structuring projects, and performing its risk-assuming function.

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