Establishing Manufacturing Subsidiaries of Automobile Connectors in China and Vietnam

Sumitomo Electric Industries, Ltd. (Head office in Chuo-ku, Osaka; President & CEO Masayoshi Matsumoto; hereinafter called "SEI") and Sumitomo Wiring Systems, Ltd. (Head office in Yokkaichi, Mie Prefecture; President & CEO Fumikiyo Uchioke; hereinafter called "SWS") will establish subsidiaries that manufacture connectors for automobiles in China and Vietnam.

SEI and SWS have aggressively promoted overseas production of automobile wiring harnesses, our main products, and production overseas now amounts to 90% of our total production volume. We have also expanded local procurement of connectors, integral components of wiring harnesses, to stabilize the supply to group companies that manufacture wiring harnesses, reduce manufacturing and logistics costs, and avoid exposure to the risks of exchange-rate fluctuations.

In China, production of wiring harnesses for China, Japan, and the US will be increased. In Vietnam, production for Japan and the US will be increased. We have determined to establish the manufacturing subsidiaries for a more stable supply of automobile connectors in the two countries.

We will continue to build production systems in optimum locations to meet our customers' needs.

The table below summarizes basic information about the manufacturing subsidiaries.