Plymouth based Kawasaki Precision Machinery has secured a major investment in modernisation from its Japanese parent company after obtaining a grant offer from the South West RDA.

Kawasaki Precision Machinery (UK) Ltd is a subsidiary of the Japanese company Kawasaki Precision Machinery Ltd which is 100% owned by Kawasaki Heavy Industries and employs 230 people at Ernesettle making high-tech hydraulic equipment for mobile, industrial, construction, marine, and many other engineering applications.

The multi million pound investment will be phased over a number of years and will be part funded by a £1m contribution from the Grant for Business Investment and will be used to implement capital investment in new plant that will ensure product quality to enable the company to remain competitive in a global market.

It is hoped that the investment will lead to the safeguarding of some jobs and the eventual creation of additional new jobs.

General Manager and Director Steve Cardew said “ The investment by the Company shows our long term commitment to manufacturing at the Plymouth Plant, this offer of support from the SW RDA will contribute towards improving our product quality and productivity which are going to be vital if we are to remain competitive with other global manufacturers in this continuingly difficult economic climate “

Kawasaki was advised on its grant application by David Armstrong, grants specialist at Francis Clark. “Grant funding remains a valuable source of capital for companies competing in a global market place and Kawasaki is an excellent example of this.”

Richard Hoskin from South West RDA added: “We remain committed to supporting regional businesses with a strong plan for future growth in order to boost the economy. This investment will ensure Kawasaki remains competitive in a tough global market and we wish them well for the future.”