Auto research centre to benefit local sector

Nissan Techno Vietnam will invest $15 million in building an automobile research and development centre in Hanoi this year.

Under the plan, Nissan Techno Vietnam will start construction of the centre’s first phase this month and is scheduled to put it into operation in July 2011.

Nissan Techno Vietnam was established in 2001 and is a 100 per cent equity subsidiary of Japan’s Nissan Techno, which is a subsidiary of Nissan Motors.

Nissan Techno dispatches engineers to Nissan bases in the United States and Europe, but Vietnam represents the first case of its establishing its own base overseas.

Nissan Techno Vietnam’s outsourcing of software and technology development to Asia has increased significantly during the past years with the aim of utilising intellectual human resources. According to Fujitsu Research Institute, there were more than a few companies considering the utilisation of Vietnam’s human resources.

“Japanese companies are expected to accelerate the shift of manufacturing capabilities to Vietnam while also increasing the outsourcing of development,” according to the institute.

Nissan Techno Vietnam has 1,500 employees, up from 100 people at the beginning. It is expected to have 80 per cent of employees at the centre specialising in research.

This firm is operating separately from Nissan Motors Vietnam, which was established in December, 2008 focusing mostly on automobile assembling and distribution of Nissan cars in Vietnam.

According to a Nissan Motors Vietnam executive, the company has received no technology transfer from Nissan Techno Vietnam since the latter’s products are advanced technologies, which have not been applied in products assembled by Nissan Motors Vietnam.

“Nissan Techno Vietnam is currently providing its R&D products to Nissan Motors bases in other countries, particularly in the Asia-Pacific region,” the executive said.

Nissan Vietnam launched the first locally-assembled automobile vehicle, the Grand Livina multi-purpose utility, in April 2010. Last week, the firm announced to introduce another model to the Vietnamese market by late December, 2010.

The firm was built as a joint venture between Nissan Motors Corporation and Kjaer Group A/S of Denmark in 2008.

In November 2010, Kjaer sold its 74 per cent stake in the joint venture to Malaysian Tan Chong Motor Holding Berhad to concentrate on the African market.