News

Nov 04, 2009

Toppan Printing undertakes initiatives to strengthen overseas operations Toppan Group constructs a new plant in Beijing, China for book, magazine and package printing

Toppan Printing Co., Ltd. (hereafter Toppan Printing; head office: Chiyoda Ward, Tokyo; President & CEO: Naoki Adachi) is proactively expanding printing-related operations overseas in collaboration with group companies. Toppan Printing has strengthened its organizational structure in order to further expand overseas operations. Now, in order to respond to fierce demand in the ever-growing Chinese printing market, a new production base named "Toppan Leefung Beijing Printing Hub" has been opened in China’s Beijing as part of the Toppan Group and operations began on November 3, 2009. With these undertakings, Toppan Printing aims to further strengthen its expansion of business overseas, increase its percentage of overseas sales to 30% in the medium term, and contribute to the growth of the company as a whole.

Background and objectives
-Toppan Printing has expanded to have around 60 companies in 12 countries including those in the USA, Asia, Europe and Oceania. As globalization accelerates, the company has expanded its operations to numerous fields and responds to the diverse needs of local customers.
Specifically, focusing on printing-related business in China, where the scale of the printing market has expanded over 10% and demand is increasing for high-quality printed matter, the company is actively pushing forward its advances overseas for various products offered by the Toppan Group including security products such as IC cards and holograms for which global demand for safety is increasing, and functional films with high barrier properties.

-In October 2009, Toppan Printing enhanced the functions of the International Division established in January 2009 as a global center, and will aim for further expansion of overseas business. Specifically, in addition to the fields of publications printing and commercial printing that the International Division was already responsible for, the financial and securities field and packaging field have been added and the Division will comprehensively oversee overseas operations and subsidiaries in all these fields. Global expansion that was previously carried out in each field respectively will be fused together, efficiency will be improved, and business will be strengthened so that integrated solution proposals offered in Japan can be provided overseas as well.

-In order to promote even closer collaboration with leading Singapore printer SNP Corporation Ltd., which joined the group in June 2008, its name has been changed to Toppan Leefung Pte. Ltd. (hereafter Toppan Leefung). By combining the advanced technological capabilities that Toppan Printing has developed with Toppan Leefung’s sales network and production structure, which is strong in China, Europe and the US, a business unifying manufacturing and sales will be expanded on a full scale in fields including publications printing, commercial printing and packaging.
The new Toppan Leefung Beijing Printing Hub has been constructed jointly with Toppan Leefung group companies as a new production base in China’s Beijing and operation has begun. The Toppan Group will aim for further business expansion in the growing Chinese domestic market, and supported by its Chinese production bases, target further expansion of printing-related business in the European and US markets.

-In the future, Toppan Printing will also focus on promising markets in emerging regions such as Brazil, Russia and India, develop markets and enhance global expansion.


The construction of the Toppan Leefung Beijing Printing Hub
Toppan Printing subsidiary Toppan Leefung has constructed a new plant named the "Toppan Leefung Beijing Printing Hub" (location: Tongzhou District, Beijing) and from November 3, 2009 operations began for the magazine printing plant as a first phase. As a second phase, the start-up of a packaging (paper container) line is planned and total investment is scheduled to be completed in 2012.
This plant will be operated jointly by Toppan Leefung Changcheng Printing (Beijing) Co., Ltd., which mainly handles magazine printing and is a joint venture with a Chinese company, and Toppan Leefung Packaging & Printing (Beijing) Co., Ltd., which mainly handles packaging printing.


Conceptual image of the completed Toppan Leefung Beijing Printing Hub
Copyright 2009 TOPPAN PRINTING CO., LTD.

[Background and objectives]
-The Toppan Group is involved in a wide range of operations in China covering items including magazines and books, electronic components, cutting-edge IC cards, packaging and cardboard. In particular, the Toppan Leefung Group is highly competitive with a 60% share of the world market in the manufacture of pop-up books and a 70% share of the Chinese domestic market for high-quality magazines.

-In order to respond to demand in the growing market, the Toppan Group has constructed a new plant, and enhanced its production capacity for book and magazine printing. With the new plant added to the production bases that have already been operated in China, an even more robust production network will be constructed focused on the large markets of northern, eastern and southern China. By using this network, it will be possible to increase efficiency through the implementation of production in optimal locations matched to the production situation at each base and product destinations, promptly respond to customer needs and expand publications printing business to all of China.
The Toppan Group will also continue to proactively advance business expansion in the Chinese market through measures such as the organization of sales structure.

[Main features of the Toppan Leefung Beijing Printing Hub]
-The group’s largest scale production base in China. Production output on completion in 2012 is forecast to be around 14 billion yen.
-Advanced equipment installed for packaging printing and magazine printing, and industry-leading digital printing technology provided.

[Details of the Toppan Leefung Beijing Printing Hub]
-Name: Toppan Leefung Beijing Printing Hub
-Location: No. 2 Zhengfulu, Beijing OPTO-Mechatronics Industrial Park (OIP), Tongzhou District, Beijing
-Site area: Approximately 66 thousand square meters (building area approximately 78 thousand square meters)
-Completion: First phase - November 2009 (completion scheduled for 2012)
-Investment: First phase - approximately 7 billion yen (Total investment on completion - approximately 14 billion yen)