A joint venture between Myanmar's leading heavy machinery distributor, Myanmar Kaido Co., and Japanese trading giant Mitsubishi Corp. aims to capitalize on Myanmar's rapid development of urban infrastructure through the rental of construction and other equipment.
An opening ceremony for the joint venture, Diamond Rental Myanmar Co., was held at a hotel in Myanmar's commercial hub of Yangon on Dec. 9. The venture is 50 percent owned by Mitsubishi, 30 percent by Myanmar Kaido and 20 percent by Mitsubishi subsidiary Nikken Corp.
At the ceremony, Yangon's chief minister, Phyo Min Thein, said the Myanmar-Japan partnership will benefit not only the local firm but also Myanmar's ongoing development projects, especially Yangon's urban development plan drawn up with the help of the Japan International Cooperation Agency.
"The capacity of heavy machinery will play a major role when we implement the urban development projects in the city," the chief minister said.
The three companies have collaborated in the rental business in Myanmar since 2013.
In November 2015, they established DRM after engaging in trial operations in April the same year at the Thilawa Special Economic Zone, one of three such zones under development in Myanmar.
Tomonori Hattori, managing director of DRM, said the company aims to be the No. 1 rental company in Myanmar.
Myanmar Kaido was established by Myanmar nationals in 1993. The company distributes heavy machinery and related spare parts to the mining, construction and manufacturing industries by importing equipment, mainly from Japanese manufacturers.