Sumitomo Riko earmarks €600m for ‘facility investments’

Nagoya-shi, Japan – Sumitomo Riko has earmarked Yen90 billion (€602 million) for “facility investments” over the next three years under its mid-term business plan.

The Japanese rubber components maker is also investing Yen55 billion in R&D to support ‘sustainable growth’ as defined by its mid-term plan, to 2025.

With the investments and ‘human resource' developments, Sumitomo Riko aims to increase business profit by 55% to Yen28 billion over the three-year period.

Consolidated sales are expected to grow by nearly 15% to Yen620 billion by 2025, from Yen540 billion in 2022, added a 30 May announcement from Sumitomo Riko.

Other goals include expanding skills programmes, to offer ‘executive training’ to 100 people and digital IoT and AI courses to personnel.

In terms of sustainability, the Nagoya-shi group expects to reduce CO2 emissions in scope 1 and 2 by 20% by 2025, compared to a 2018 baseline.

Longer-term, Sumitomo Riko aims to build a “flexible and strong organisation” with over Yen700 billion sales, focused on ‘responding to changes in the environment.’

By its 100th anniversary in 2029, Sumitomo Riko will be geared up to “respond to next-generation mobility” opportunities in the global automotive industry.

Lead image: Generic futuristic vehicle interior image / source Mercedes AG.