EU Approves Toshiba and Mitsubishi Joint Venture
The European Union Commission has approved the joint venture between Toshiba Corp. (Tokyo, Japan) and Mitsubishi Electric Corp. (Japan), which will combine their electric equipment manufacturing. The new 50-50 joint venture, to be named Toshiba Mitsubishi-Electric Industrial Systems Corp., will be the world's third largest manufacturer of industrial electric equipment, behind Siemens AG (Germany) and ABB Ltd. (Switzerland).
The two companies are combining the development, engineering, sales, installation, and servicing of industrial electric systems, including electric motors, power distribution systems and automation devices. The systems are used in the steel, pulp and paper, petrochemicals, automobiles, and food industries.
Toshiba and Mitsubishi will combine their respective divisions, including their already existing joint venture, TMA Electric Corp. GE Toshiba Automation Systems LLC, a US-based joint venture between Toshiba and General Electric Co., which will become a subsidiary of Toshiba Mitsubishi-Electric Industrial Systems.