Ar elik Hitachi Home Appliances, the new joint venture will play a major role in the Asia-Pacific region and will expand global sales of Hitachi branded products (excluding Japan)
ISTANBUL and TOKYO - (July 1st, 2021) - Today Ar elik A. . (ARCLK:IST, Ar elik ) and Hitachi Global Life Solutions, Inc. ( Hitachi GLS ) announced the launch of a new joint venture company, Ar elik Hitachi Home Appliances B.V. The new joint venture, established by transferring 11 subsidiaries outside Japan (two manufacturing and nine sales companies) of Hitachi GLS, is operationally based in Bangkok, Thailand. Ar elik Hitachi Home Appliances provides manufacturing, sales, and after-sales service for Hitachi branded home appliances (refrigerators, washing machines and vacuum cleaners, etc.) outside Japan.
Ar elik has consistently expanded its home appliance business to 150 countries around the world. The company has grown significantly in Europe and achieved strong growth in South Asia over the last decade. Hitachi GLS has been operating its home appliance business mainly in Southeast Asia and the Middle East, where it enjoys a high-end brand image.
Ar elik Hitachi Home Appliances, the result of the collaboration between the two companies, will leverage their strengths such as supply chain and technological capabilities to build a competitive and innovative offer to market. The newly assigned CEO will be Zafer st ner, was the former Regional Head of APAC and General Manager of Thailand at Beko. Under his leadership, the new joint venture will combine the sales networks of both companies to expand the sales regions of Hitachi brand products to Europe, North Africa and other regions, as well as to integrate business bases such as production systems and procurement to strengthen our competitiveness. In the field of R&D, Ar elik and Hitachi GLS will also integrate the knowledge of both parties to create new value such as connected home appliances.
Sustainability is at the core of both Ar elik's and Hitachi GLS's strategies. Through their combined leadership in energy efficiency and sustainable solutions related to the home, the partnership will increase competitiveness around these key issues in the broader market.
Comments from Ar elik's and Hitachi GLS's leaders
Fatih Kemal Ebi lio lu, Consumer Durables Group President, Ko Holding (Ar elik's parent company):
We are thrilled to announce the launch of Ar elik Hitachi Home Appliances today. For the past couple of months, we have been working tirelessly and diligently with the Hitachi GLS team to establish this joint venture, which is a significant milestone in our Silk Road strategy. Ar elik Hitachi Home Appliances provides both companies with an excellent opportunity to leverage successes in the Asia-Pacific home appliances market that holds a growing middle-class population, emerging retail channels, increasing household income and developing lifestyles. The company will leverage both companies' robust market position, global expertise, and Hitachi's brand heritage to deliver global and local market needs.
Hakan Bulgurlu, CEO, Ar elik:
We are delighted to launch our new joint venture with Hitachi GLS, Ar elik Hitachi Home Appliances. This is a major step for us in achieving our global expansion ambitions and goals to become one of the worlds top home appliances companies. The venture will have the chance to utilize complementary product portfolio and operational footprints of Ar elik. In the next few years, we will see Hitachi brand products covering full major domestic appliance need of customers and growing both in existing markets and new ones (geographies) by the support of Ar elik companies.
Keiji Kojima, President and COO, Hitachi, Ltd. (Hitachi GLS's parent company):
We are delighted to establish today this new joint venture company with Ar elik - a company who is recognized for its high-quality products and excellent management efficiency. The Hitachi Group aims to contribute to peoples Quality of Life (QoL) through its Social Innovation Business, which solves social issues. Our aim is to realize a sustainable society by focusing on areas that promote the three values of Security and Safety, Environment, and Resilience. The home appliances business is strategically important for the Hitachi Group, as it is the first point of contact for our brand with people - especially while demand for connected home appliances using digital technology is increasing. Through this collaboration with Ar elik, we will provide safe and secure living through Hitachi-brand home appliances to many more regions and contribute to improving peoples QoL globally.
Jun Taniguchi, President, Hitachi Global Life Solutions, Inc.:
Today, we are pleased to introduce Ar elik Hitachi Home Appliances - our new joint venture company with Ar elik. I am confident that by strengthening the complementary sales networks and product strategies of both companies, Ar elik Hitachi Home Appliances will gain a competitive edge and become a market leader in the global home appliances market. In addition, by combining the distinctive technologies of both companies, such as environmental resistance and digital technology, we will contribute to improving the QoL of consumers and develop products and services that will realize a sustainable society.
Zafer st ner, CEO, Ar elik Hitachi Home Appliances:
Today marks a new and exciting journey for Ar elik Hitachi Home Appliances, which is created to address the evolving needs for APAC market and tap into their economic growth. This company brings together global strategies from both businesses, obtains product synergies, and makes a targeted investment in brand and promotion to accelerate growth across all geographies and fulfil its growth potential. The company will also create strong efficiency gains throu
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Ar elik Hitachi Home Appliances, the new joint venture will play a major role in the Asia-Pacific region and will expand global sales of Hitachi branded products (excluding Japan)
