MIKATSU has concluded a contract on partial transfer of production
MIKATSU Corporation has concluded an agreement on the partial transfer of production of boat motors to the capacity of our partner's plant in China.
Mikatsu Outboards and Wuxi Huace Automobile tightly cooperate already throughout the year, so in view of compliance with all production standards, it was decided to conclude a historic agreement on the assembly of Mikatsu motors at the factory of our business partner. At the same time, quality control and the provision of technology, a number of parts, spare parts and all kinds of assistance remains in the jurisdiction of Mikatsu.
This cooperation will reduce the cost of duties and production processes, which will affect the more favorable final price for the consumer who will buy products manufactured at the Wuxi Huace Automobile Co., Ltd.
The main goal of this transformation is the desire of our company to increase sales volumes and optimize expenses related to:
- taxes on ecology in Korea
- more expensive human resources
- large duties and taxes on the production of two-stroke technology
- Limited production facilities directly in Korea
At the same time, we declare that we will continue to produce engines in Korea, but only multi-strong 2-stroke and the entire 4-stroke line, but only for the domestic market and western countries with a stable economy. At the same time pricing for products produced in Korea will remain the same.
Motors will be made from the same components that are used in production in Korea, under the close supervision of the specialists of the corporation MIKATSU.