Finland’s Peikko Group opens €10m factory in Johor Bahru - MIDA | Malaysian Investment Development Authority
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Finland’s Peikko Group opens €10m factory in Johor Bahru

Finland’s Peikko Group opens €10m factory in Johor Bahru

19 Oct 2023

Finland’s Peikko Group Corporation, a leading global supplier of concrete connections and composite structures, has opened its newest factory, marking an exciting chapter for the Asia-Pacific region.

Peikko Asia Pacific vice-president Michal Horak said the €10 million (RM50 million) facility has about 3,000 square metres of space and is equipped with cutting-edge machinery and production lines, enabling the company to provide more precise and professional services to its clients.

The new facility at Tebrau Industrial Estate 2, Johor Bahru, is ideally positioned to cater to the dynamic requirements of Malaysia, Singapore, Australia and other Southeast Asian markets, he added.

Horak said the opening of a new production facility is a logical step forward, as Peikko has had a sales and technical support team in Singapore for some years already, and Johor is strategically an excellent choice of location when increasing its operations in Malaysia and the broader Asia Pacific region in the coming years.

“The Malaysia factory plays a vital role in meeting demands for Southeast Asia. The factory’s presence allows us to better address local customer needs, reducing delivery times and enhancing customer satisfaction.

“This is crucial for the Southeast Asian market, which is a rapidly growing region in need of swift and reliable solutions,“ Horak told a press conference on Wednesday here.

He added that the location enables quick delivery of their products to customers in the Malaysian and Singaporean markets.

“In an area of 3,000 square metres, we are able to manufacture various products from ribbed steel bars, wire ropes and steel plates, with a combination of various technologies,“ he said.

Horak shared that with a strong history of delivering innovative solutions, such as precast and cast-in-situ connections, Deltabeam slim floor structures and lifting systems, Peikko Malaysia will now be able to provide its clients with precise and professional services, even faster delivery times, and improved accessibility to our cutting-edge solutions.

Meanwhile, Peikko Group Corporation chief CEO Topi Paananen said Peikko Malaysia eagerly embarks on this new chapter and is committed to serving its customers while making substantial contributions to Malaysia’s vibrant construction landscape and beyond.

He said the group will explore additional investment opportunities in Malaysia within the next two to three years, depending on the business demands of the Johor Bahru facility and the needs in the Asia-Pacific customers.

Besides that, Peikko Malaysia will create employment opportunities in the region and collaborate closely with local suppliers, contractors, and consultants to support the development of the construction sector in the region.

He reckoned the factory will also strengthen collaboration and services with customers as they can work closely with clients to meet their specific requirements and provide customised solutions while laying a solid foundation for their growth in the Southeast Asian market.

“Regarding the trends in precast construction and sustainable construction in the Asia Pacific region, it’s evident that the Southeast Asia area is undergoing rapid development.

“Precast construction technology plays a crucial role in improving efficiency and quality especially with sustainable construction has become a global trend,“ said Paananen.

As the factory supports precast construction and continuously drives innovation in sustainable construction, Peikko believes that by combining these two factors, it will achieve sustainable growth in the Southeast Asian market while delivering advanced construction solutions to the region.

Source: Bernama