Hitachi’s current focus is the global rollout of its Social Innovation Business, which provides social infrastructure solutions supported by Hitachi’s highly efficient and highly reliable Information and Telecommunication Systems. Hitachi’s goal is to increase the ratio of overseas sales, which reached a record high of 43% in FY2010, to more than 50% by FY2012. Hitachi has identified 11 key regions including Brazil, which are expected to see increased demand for the Social Innovation Business, and is building a structure that will enable the implementation of strong, locally led strategies in each of these regions.
Brazil boasts the largest economy of any South American country, and is expected to demonstrate a high rate of economic growth along with China and India. Hitachi is anticipating a substantial increase in business opportunities in the Social Infrastructure Business. With Brazil hosting the FIFA World Cup soccer tournament in 2014, and Rio de Janeiro having been chosen as the venue for the 2016 Summer Olympics, investments in infrastructure are expected to continue well into the future. Last year, Hitachi held a 70th commemoration ceremony of its first entry into the Brazilian market. A number of customers, government officials and business partners also attended this very special event. Given its long history of working in Brazil, Hitachi has experience working in the local culture, and in implementing business activities that are in keeping with local needs. Based on its track record, Hitachi will establish new business strategies in Brazil to further strengthen its business operations, by directing investments into the Social Innovation Business, particularly Information and Telecommunication Systems, Power Systems, Social Infrastructure and Industrial Systems and Railway Systems, in addition to the air conditioning equipment business and other core business fields.
The Hitachi Group's plans to expand its business in Brazil are already well underway. In March of this year, Hitachi Plant Technologies, Ltd. reached an agreement with Mayekawa Mfg. Co., Ltd. regarding collaborations in the compressor business in Brazil; in August, Hitachi Kokusai Electric Inc. confirmed that it would acquire shares in Linear Industries, Inc., a Brazilian manufacturer of broadcast transmission devices; and in October, Hitachi Construction Machinery Co., Ltd. reached an agreement with Deere & Company to establish a joint venture company for the manufacture and sale of hydraulic shovels. The Hitachi Group will continue to contribute to the growth and development of Brazilian society by expanding its operations with a focus on the Social Innovation Business.
About Hitachi, Ltd.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 360,000 employees worldwide. Fiscal 2010 (ended March 31, 2011) consolidated revenues totaled 9,315 billion yen ($112.2 billion). Hitachi will focus more than ever on the Social Innovation Business, which includes information and telecommunication systems, power systems, environmental, industrial and transportation systems, and social and urban systems, as well as the sophisticated materials and key devices that support them. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.
Hitachi America, Ltd.
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