Singapore contributed to most of Bosch's sales in Southeast Asia for its 2012 fiscal year, netting S$390 million (US$306 million) to achieve a year-on-year increase of over 85 percent.
The global supplier of technology and services also reported a seven percent increase in manpower in its regional headquarters in Singapore in 2012. Regionally, there was an overall increase of nine percent in staff count, contributed by its growth in Indonesia, Philippines and Vietnam.
"Southeast Asia is currently the fastest growing region for Bosch, and we expect to maintain this growth momentum and achieve double-digit growth for 2013," said Martin Hayes, president of Bosch in Southeast Asia.
To deepen its existing commitment to Southeast Asia, Bosch has opened a representative office in Yangon in April 2013, and offices in Chiang Mai and Cebu in May 2013. It has also broadened its presence in Balikpapan this year.
Strong potential of Southeast Asia
Bosch presented an automotive position paper at the third ASEAN-EU Business Summit in March this year.
A key recommendation in the paper to address challenges faced by the automotive industry in the region is the harmonisation between local and international standards to facilitate the region in becoming a singular manufacturing hub for the global marketplace.
"The expanding economy and rising middle-class present a strong case for Bosch to focus its efforts to further develop the market, while cost of labour and infrastructure build-up makes the region globally competitive for manufacturing its products and components," said Hayes.
Bosch currently has five manufacturing plants in Thailand, Malaysia and Vietnam which delivers varied products including power tools, automotive components and multimedia, and industrial technology that meets the domestic and international demand.
Bosch closed its 2012 fiscal year at S$1.13 billion (US$887 million) in sales in Southeast Asia. This is the result of increased sales revenue in the region across the company's various business divisions, as follows:
- Thermotechnology division saw the strongest growth of around 70 percent. This is the result of increased presence in the region and key projects secured in the food and beverage industry in Vietnam, Indonesia and various industries in Singapore.
- Drive & Control division saw high sales growth of more than 60 percent due to projects in marine and offshore industry
- Automotive Aftermarket, Power Tools and Security Systems divisions posted double-digit growth.
- Packaging Technology increased its sales by about 25 percent and continues to be on track for growth, especially in the confectionary and pharmaceutical industries.
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