Sandvik invests in new load and haul factory in Malaysia to support growing mining BEV market

Rhea-AI Summary

Sandvik has announced a significant investment of SEK 350 million to establish a new production unit in Malaysia for manufacturing underground loaders and trucks. The factory will begin operations in the fourth quarter of 2023 and will focus on meeting the growing demand for battery-electric vehicles (BEVs) in the mining sector. In addition to BEVs, the facility will produce conventional equipment and battery cages. This investment will enhance Sandvik's capacity to serve its customers in the Asia Pacific region with improved lead times and adhering to high quality and safety standards.

Positive

• Investment of SEK 350 million in a new production unit in Malaysia.
• Factory to begin operations in Q4 2023, catering to demand for BEVs.
• Enhanced capacity to serve Asia Pacific customers with shorter lead times.

Negative

• None.

STOCKHOLM, March 10, 2023 /PRNewswire/ -- Sandvik has decided to invest in a new production unit in Malaysia for manufacturing underground loaders and trucks. Equipment production is planned to begin in the fourth quarter of 2023 following factory upgrades and other site improvements. The investment is expected to total SEK 350 million over the coming three years.  

The establishment of the new factory will help Sandvik Mining and Rock Solutions to cater to the growing demand for battery-electric vehicles (BEVs) in the mining industry. While the primary focus at the new facility will be BEVs, it will also manufacture conventional loaders and trucks as well as battery cages.

"Malaysia is among the most technologically developed countries in Southeast Asia and has abundant skilled labor, strong local industrial suppliers and reliable infrastructure. Our mining customers in Asia Pacific will enjoy shorter lead times for equipment manufactured to the same Sandvik standards for quality and safety," says Mats Eriksson, President of Sandvik Mining and Rock Solutions.

Stockholm, March 10, 2023

Sandvik AB

For further information, contact:
Louise Tjeder, VP Investor relations, phone: +46 (0) 70782 6374 or Johannes Hellström, Press and Media Relations Manager, phone: +46 (0) 70721 1008.

The following files are available for download:

https://mb.cision.com/Main/208/3730742/1903437.pdf

Sandvik invests in new load and haul factory in Malaysia to support growing mining BEV market

 

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SOURCE Sandvik

FAQ

What is Sandvik's recent investment in Malaysia?

Sandvik is investing SEK 350 million to establish a new manufacturing unit in Malaysia for underground loaders and trucks.

When will production start at Sandvik's new factory in Malaysia?

Production at the new factory is planned to begin in the fourth quarter of 2023.

What products will Sandvik manufacture in Malaysia?

The new facility will manufacture battery-electric vehicles (BEVs), conventional loaders, trucks, and battery cages.

Why is Sandvik investing in the production of battery-electric vehicles?

The investment aims to meet the growing demand for battery-electric vehicles in the mining industry.