Washington, DC, May 30, 2013—IFC,
a member of the World Bank Group, will lend €20 million to Chalybs Cylinders
Limited of Thailand to help finance construction of a manufacturing plant
that will produce seamless fuel tanks critical for the production of vehicles
powered by compressed natural gas (CNG). This investment will promote employment,
increase productivity through new technology, and support development of
the supply chain for environmentally friendly CNG automobiles in Asia.
Chalybs is majority owned by Faber Industrie
S.p.A. (Faber) of Italy, a leader in the production of seamless steel and
composite tanks for the storage of high-pressure gases.
“The project is aligned with Faber’s
strategy of establishing manufacturing facilities near automotive clusters
that have the highest growth potential for CNG-powered vehicles. Thailand
is developing as a hub to support such market growth with its advantages
in logistics and the presence of major automotive manufacturers,” said
G. Luigi Cola, a managing director of Faber.
The greenfield plant will use state-of-the-art,
energy-efficient technology and will have an annual production capacity
of up to 250,000 tanks. Local production will benefit manufacturers of
CNG-powered vehicles in Thailand who now must import these tanks. When
completed, the project is expected to create about 100 high skilled, direct
jobs and transfer high-tech skills to Thailand’s manufacturing sector.
“The project will contribute to the
continued evolution of Thailand's automotive sector to higher-skilled work,
and to the development of the CNG-powered vehicle market in Asia,"
said Atul Mehta, IFC Director for Global Manufacturing, Agribusiness, and
Services. “This will benefit both the economy and the environment.”
About Faber Industrie S.p.A.
Established in 1972, Faber Industrie
S.p.A. has grown to become the leader in the production of seamless steel
and composite gas cylinders for medical and industrial applications (oxygen,
nitrogen, and hydrogen tanks), leisure (scuba diving), and compressed natural
gas (CNG) vehicles. Faber has four plants located in Italy and India with
a production capacity of over one million cylinders per year.
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. We help developing countries achieve sustainable growth
by financing investment, mobilizing capital in international financial
markets, and providing advisory services to businesses and governments.
In FY12, our investments reached an all-time high of more than $20 billion,
leveraging the power of the private sector to create jobs, spark innovation,
and tackle the world’s most pressing development challenges. For more
information, visit www.ifc.org.