Daifuku Report 2019

Co-Creating New ValueOur Business Car Wash MachinesAWTAuto Washing TechnologiesAkihiko NishimuraCorporate Officer Auto Washing TechnologiesDaifuku provides car wash machines and related equipment mainly for service stations, car dealers, and self-service car washes. We command the largest market share in Japan and South Korea.Market environmentWe have more than 40 years of history in the development and production of car wash machines. Our customer base has expanded from service stations to car dealers, garages and other players in the car aftermarket and to transporters. The number of service stations is on the decline from a medium- and long-term perspective, while automobile ownership in Japan remains on a moderate upward trend. Car wash demand is expected to be firm. In the automotive aftermarket industry, there is growing demand for labor saving to deal with the shortage of automobile mechanics at a time of brisk new car sales. We anticipate an increase in demand for new car wash machines to replace existing machines. The transport industry faces a driver shortage issue, from which we are receiving a growing number of inquiries for newly released large vehicle wash machines, since they are considered to help improve drivers’ working environment.InitiativesOur car wash machines boast not only excellent cleaning and drying performance but also environmental features such as reduced water consumption and use of plant-based detergent. We have developed a compact car wash machine with the industry’s shortest rail length of 6.7 meters. We will work to boost its sales to service stations and car dealers in urban areas that conventionally find it difficult to introduce any car wash machines due to space restraints, as well as to the car rental industry where the number of vehicles owned is increasing in response to the rise in inbound tourism. In addition, we recently introduced a drying system for large vehicle wash machines to the market. Primarily targeting buses, the system uses wide spot nozzles that efficiently remove water droplets from windows. Sales efforts are underway to promote this system to bus companies. With Japan’s largest number of service sites and the industry’s first call center, we are improving our service structure. We will propose detailed services for, and the replacement of, existing car wash machines and will push ahead with sales expansion of high value-added coating products.Sales by business FY2018A drive-through car wash machine with a foam wash system32

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