CHINO Corporation, TOKYO KEIKI INC., NAGANO KEIKI CO., LTD., and OVAL Corporation form a business alliance to target the overseas water market.
We are pleased to announce that CHINO Corporation (hereinafter, CHINO), TOKYO KEIKI INC. (hereinafter, TOKYO KEIKI), NAGANO KEIKI CO., LTD. (hereinafter, NAGANO), and OVAL Corporation (hereinafter, OVAL) have resolved to enter into a basic agreement on a business alliance to form a comprehensive business alliance with the main purpose of developing the growing overseas water market.
The current state of the global water business
Currently, demand for water is increasing all over the world due to population growth, urbanization, and industrialization, and in emerging countries experiencing rapid development in particular, there is an urgent need to secure water for industrial use, a stable supply of water for daily life, and protect the water resource environment through sewage treatment. Against this backdrop, the size of the global water business market, currently said to be 36 trillion yen, is expected to expand to 87 trillion yen by 2025. In this global water market, private companies including water majors and corporate alliances backed by governments are competing in each country.Purpose of the business alliance
TOKYO KEIKI has a high share of the domestic water and sewerage market, mainly in ultrasonic flowmeters and radio wave level meters. NAGANO is the manufacturer with the top share of pressure meters in Japan, CHINO has a strong track record both domestically and overseas as a manufacturer of measurement and control equipment such as recorders, sensors, and loggers, and OVAL is the largest in Japan in the fluid measurement market, and also has extensive experience and a track record in overseas markets and the oil market. The purpose of this business alliance is to enhance the product lineup in the global water market and other fluid-related equipment markets by collaborating with the four companies, each with their own unique strengths, and to quickly create new added value that leads to customer satisfaction and expand business opportunities by mutually utilizing the management resources of each company, such as sales, technology, production, service, and logistics. In the future, a project team configuration of the four companies will begin to build and improve a specific collaborative system for sales, technology, production, service, logistics, etc., in order to quickly develop overseas markets. In addition, we will actively approach overseas water majors, domestic and overseas plant manufacturers, and local governments that are expanding overseas.Details of the business partnership
With overseas water markets as our immediate target, we will consider the specific form of business collaboration with regard to the following items.
- Sales cooperation
The four companies will launch a new brand that symbolizes their partnership and will enhance their product lineup. They will also mutually utilize the management resources of each company, including sales, service, and logistics, based overseas, to enhance their local sales activities and support systems.- Creation of high-value-added products and instrumentation system packages
By combining the unique technologies of each company, we will create new high-added-value products and instrumentation system packages, and rapidly respond to demands for advanced, large-scale, and diverse systems.
- Mutual use of production bases
We will strengthen our global price competitiveness by mutually utilizing each company's production bases.
Company Profile
CHINO CORPORATION
| Location | 32-8 Kumano-cho, Itabashi-ku, Tokyo |
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| Representative | President and CEO Takao Kariya |
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| Foundation | March 1, 1913 |
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| Capital | 4,292 million yen |
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| Consolidated employees | 916 (consolidated) |
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| Business Overview | A manufacturer of measurement control equipment that mainly produces temperature measurement and control equipment, as well as instrumentation systems such as fuel cell and compressor test equipment, and thermography that display images of temperature distribution. |
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TOKYO KEIKI INC.
| Location | 2-16-46 Minamikamata, Ota-ku, Tokyo |
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| Representative | President and CEO Kenichi Waki |
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| Foundation | May 1, 1896 |
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| Capital | 7,218 million yen |
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| Consolidated employees | 1,372 (consolidated) |
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| Business Overview | The company is a leading manufacturer of ultrasonic flowmeters for the domestic water market, having successfully development the world's first ultrasonic flowmeter in 1963. It operates in a wide range of markets, including marine and port equipment, hydraulic equipment, defense and communications equipment. |
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NAGANO KEIKI CO., LTD.
| Location | 1-30-4 Higashi Magome, Ota-ku, Tokyo |
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| Representative | President and CEO: Yoshio Yoda |
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| Foundation | May 1, 1896 |
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| Capital | 4,380 million yen |
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| Employee | 2,031 people (consolidated) |
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| Business Overview | In 1948, the company became independent from the current TOKYO KEIKI INC. It is the top manufacturer of pressure gauges in Japan, and in 2006, it acquired Ashcroft, a prestigious American manufacturer of pressure measuring instruments, as a subsidiary. The NAGANO KEIKI Group is the world's largest manufacturer of pressure gauges. |
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OVAL Corporation
| Location | 3-10-8 Kamiochiai, Shinjuku-ku, Tokyo |
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| Representative | President and CEO Jun Tanimoto |
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| Foundation | May 10, 1949 |
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| Capital | 2,200 million yen |
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| Employee | 632 people (consolidated) |
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| Business Overview | The company is a leading manufacturer of flow meters in Japan, including volumetric, vortex, and Coriolis types. It has expanded overseas, mainly to the oil market, including Korea, Taiwan, China (Beijing, Shanghai, Hefei), Singapore, Thailand, Vietnam, Indonesia, Malaysia, and the Netherlands. |
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