Mitsubishi Heavy Industries Ltd. said Thursday it will shutter two Yokohama factories producing power generation equipment and move the operations elsewhere in Japan and overseas.
Both MHI's Kanazawa plant and a plant jointly run with Hitachi Ltd. are expected to be closed.
MHI aims to improve cost competitiveness by consolidating its production bases but does not plan to make job cuts, company officials said. A combined 360 workers from the two plants in Kanagawa Prefecture will be reloated, they added.
The manufacturing of engines for power generation will be transferred to a plant in Sagamihara in the prefecture, while the production of system devices for thermal power generation will be transferred to China and the Philippines, MHI said.
The relocation is scheduled to be completed within fiscal 2015, which ends next March, it said.