As a means of bolstering its domestic production system, Aisin AI Co., Ltd.(Headquarters: Nishio, Aichi; President: Masahiro Suo)will newly establish a manufacturing plant for manual transmissions (hereafter “MTs”) in Kira-cho, Aichi.

Up until now, while production of MTs, the company’s core product, has been carried out at the headquarters plant, the facilities have become too cramped to handle an expansion in orders received. Therefore, a new plant is being built in the convenient neighborhood of Kira-cho to mutually complement production as a second manufacturing base in Japan. The company will also take this opportunity to reorganize its production system at both plants as well as set up a framework for an increase in production.

A ground-breaking ceremony for the new plant was held on February 28 at 9 a.m., with construction scheduled for completion in January 2008.

As a means of enhancing the efficiency of the company’s business operations, in addition to the manufacturing plant and Technical Center, corporate headquarters functions will be consolidated and a headquarters building (main building) is being newly constructed. In order to further accelerate simultaneous engineering (SE) activities, the Production Engineering Department will be transferred to the Technical Center. The main building is being built adjacent to the north side of the Technical Center, with the ceremony to celebrate the completion of construction scheduled to be held on March 6, 2007.

As a result of strengthening and restructuring its domestic production system, the company’s production capacity in Japan is projected to increase roughly 1.5 times in 2010 versus approximately 1.6 million units (including transfers) at present.

Together with promoting the building of an efficient business structure, Aisin AI Co., Ltd. will continue to take its utmost efforts to contribute to local communities.