Takeuchi Mfg. has announced a revised construction schedule for its new factory, moving the start date back from January 2028 to May 2029, a delay of 16 months.
The company cited labor shortages in Japan’s construction industry. Higher construction costs and changes to some specifications also raised the total investment from about JPY 18.0 billion to JPY 24.6 billion. The planned size and production capacity remain unchanged.
Takeuchi acquired the land in April 2026. Site preparation and factory construction are scheduled to begin in October 2026. The building is due for completion in January 2029, followed by the installation of production equipment by April 2029.
Source: Takeuchi
PSR Analysis: Takeuchi is building the factory to prepare for future crawler loader demand. Until it opens, the company will have to rely on its existing plants for longer than planned.
Much will depend on when demand recovers. A gradual recovery would ease pressure during the delay, while a sharp rise in orders before 2029 could tighten capacity at its existing plants.
The revised budget is about 37% higher, although planned capacity is unchanged. This raises the cost per unit of new capacity and is likely to lengthen the payback period. More broadly, the delay shows how Japan’s shortage of construction workers can slow factory expansion in other industries. PSR
Akihiro Komuro is Research Analyst, Far East and Southeast Asia
