- Nidec has doubled its press machine production capacity to meet growing AI-driven industrial demand.
- The new Shiga plant improves supply flexibility and reduces geopolitical manufacturing risks.
A strategic manufacturing shift is underway as Nidec strengthens its industrial equipment capabilities to address rising global demand driven by artificial intelligence infrastructure. The company has operationalized a new press machine assembly facility in Ritto City, Shiga Prefecture, marking a key expansion of its production footprint. This move aligns with the growing requirement for high-performance machinery used in AI data center ecosystems, where precision and scalability are becoming increasingly critical. The transition from its earlier base in Kyoto reflects a calculated effort to scale output while improving operational resilience.
New Shiga Facility Enhances Production Scale
The newly established plant replaces the previous assembly location in Nagaokakyo City and significantly boosts manufacturing capacity. Annual production of press machines has now doubled from 60 units to 120 units, enabling the company to cater to expanding industrial demand. This increase is particularly relevant for sectors linked to artificial intelligence and advanced computing infrastructure, where high-tonnage press machines are essential for component manufacturing. The facility has been designed to streamline assembly processes while supporting a broader and more flexible production lineup.
Expanded Product Range to Meet Diverse Industrial Needs
Alongside capacity expansion, the company has enhanced its product portfolio by extending machine capabilities. The press machine lineup now ranges from 150 tons to 330 tons, allowing it to address a wider spectrum of industrial applications. This expanded offering supports industries requiring heavy-duty forming and precision engineering, including electronics and advanced manufacturing sectors. The broader lineup ensures that the company remains competitive in evolving markets influenced by semiconductors and high-performance computing technologies.
Strategic Manufacturing Distribution Across Asia
The establishment of the Shiga facility also contributes to geographic diversification of production. By distributing manufacturing operations across multiple locations in Asia, the company reduces exposure to regional disruptions and geopolitical uncertainties. This approach enhances supply chain resilience while enabling quicker adaptation to market fluctuations. The strategy supports long-term stability in supply chain operations and ensures consistent delivery capabilities even during periods of demand volatility.
Operational Flexibility and Demand Responsiveness
With the new plant fully operational since March 2026, the company is better positioned to respond to dynamic market requirements. The increased production capacity, combined with diversified manufacturing locations, allows for faster turnaround times and improved customer responsiveness. This flexibility is crucial in industries experiencing rapid growth, particularly those linked to data centers and digital infrastructure. By aligning production capabilities with emerging technological demands, the company reinforces its role as a key supplier in the industrial machinery ecosystem.
Frequently Asked Questions
Why did Nidec establish a new press machine plant in Shiga?
The new plant was established to increase production capacity and meet growing demand from industries such as AI data centers. By relocating and expanding operations, the company can produce more machines while improving efficiency. The facility also enables faster response to market needs and supports a broader product range. Additionally, it helps reduce dependency on a single location, enhancing operational resilience and supply chain stability across Asia.
How does the new plant impact Nidec’s manufacturing strategy?
The plant strengthens Nidec’s manufacturing strategy by doubling production capacity and diversifying its geographic footprint. This reduces risks associated with geopolitical disruptions and demand fluctuations. It also allows the company to serve a wider range of industrial applications with an expanded product lineup. Overall, the move enhances flexibility, improves delivery timelines, and positions the company to better support rapidly growing sectors like AI infrastructure and advanced electronics manufacturing.
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