Japanese cosmetics giant Shiseido will invest about 40 billion yens (about EUR 314 million or 350 USD million) in a new R&D centre in Yokohama as well as a new logistics centre and a new factory in Osaka.

The new factory will replace Shiseido current manufacturing facility in Osaka and will have a production capacity approximately 50 per cent higher than that of the current factory. It will be the main manufacturing site for Shiseido’s skincare products and its first new domestic plant in 37 years.

Shiseido says the collocation of the manufacturing plant and the logistics centre will create synergies between production and distribution. The company also aims at reducing energy consumption and transportation costs. The new logistics centre will receive inputs (raw materials, packaging) and will store and ship finished products.

Both the new plant and the logistics centre will be upgraded to state-of-the-art standards and technologies. In particular, the cosmetics maker intends to boost productivity through the intensive use of robotic equipment. This will also help the company to solve some of the problems linked to workforce problems in Japan.