Daifuku has completed a major expansion of its US subsidiary’s manufacturing plant in Hobart, Indiana, doubling production capacity to meet rising demand for automation systems.
Daifuku Intralogistics America Corporation (ILUS), which oversees the company’s intralogistics business in North America, will begin operating the expanded facility in October.
The site produces conveyors, sorters, and automated storage and retrieval systems (AS/RS) for distribution centers and manufacturing plants.
The Hobart factory was originally opened in 2020 to increase local production, but automation demand has continued to grow, driven by labor shortages and higher operating costs.
To address this, Daifuku invested approximately 5 billion yen ($35 million) in the expansion project, which began construction in April 2024.
The new building adds 25,000 square meters of manufacturing space to the existing 30,000 square meters, bringing the total site area to around 178,000 square meters.
Daifuku says the larger footprint will enable faster production, streamlined operations, and shorter lead times for North American customers.
Norihito Toriya, managing officer and intralogistics global business head at Daifuku, says: “We are aiming to further expand our global intralogistics business, and the United States is our largest growth market.
“As the US is expected to see automation needs grow due to domestic labor shortages and rising costs, we will continue to work to bolster our competitiveness under a policy of local production for local consumption.”
ILUS was founded in 1972 and became part of the Daifuku Group in 2013. It changed to its current name in 2024 and now employs about 1,000 people. Its product lineup includes conveyors, sorters, frames, racks, and warehouse management systems.
With the new facility, Daifuku says it is better positioned to serve the growing automation requirements of US logistics and manufacturing companies.
