Mazda president Yasumichi Kogai

Mazda president Kogai says company will strengthen overseas production from 2016

At an April 14 press conference in Hiroshima, Mazda president Yasumichi Kogai told the press that an important part of the company’s “Structural Reformation Stage 2” business plan for 2016-19 would be strengthening its facilities in foreign countries like Mexico.

Mazda opened a Mexico factory in 2014 and in 2015 it added a Thai factory to produce engines. Mr. Kogai said, “There are a number of issues, such as its low rate of operation at the Mexico plant.” He said that in the next three years, he wants make both facilities more competitive.

The goal of Structural Reform Stage 2 is to accelerate attempts to achieve qualitative growth and improve brand value. It aims to bring total units sold globally to 1,650,000 units for 2018 (the year ending in March, 2019) and a rate of operating profit of over 7%. This is based on an exchange rate of 120 yen per US dollar and 130 yen per euro.

Regarding global production in light of the high yen, Mr. Kogai said the company is not considering changing the balance between domestic and international production.

(Translated by Greg Scott)