Japan's Fanuc to build machine tools factory: report
TOKYO (Reuters) - Japan industrial robot maker Fanuc Ltd (6954.T: Quote) plans to build a new factory near Tokyo to double its domestic output capacity of machine tools to produce parts of smart phones by the end of the year, the Nikkei financial daily reported on Sunday.
Fanuc will boost domestic output aimed at meeting rising global demand for smart phones, the Nikkei said.
The company hopes to raise price competitiveness by concentrating its production operation in Japan, the newspaper said, doubling production of a machine tool that can make frames for smart phones to 5,000 units per month by December, the Nikkei reported without citing sources.
The company recently has increased production capacity of the machine tools to 2,500 units from 1,600, the Nikkei said.
The factory will be built in Ibaraki prefecture, located about 130 kilometers (80.8 miles) northeast of Tokyo.
Fanuc forecasted last month that its group net profit will rise by 24.8 percent to 150 billion yen ($1.93 billion) during the financial year ending in March.
(Reporting by Chikafumi Hodo; Editing by Ed Lane)
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