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Shimadzu Establishes Latin American Subsidiary

Published: Tuesday, November 12, 2013
Last Updated: Tuesday, November 12, 2013
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Uruguayan subsidiary will strengthen company's sales and distribution whilst providing better support for customers and distributors in Central and South America.

Shimadzu Corporation established a wholly owned subsidiary Shimadzu Latin America S.A. (SLA) in Uruguay. 

Shimadzu Corporation established Shimadzu do Brasil Comercio Ltda. (SBL, located in Sao Paulo in Brazil) in 1997 and the company has mediated sales of Shimadzu products, provided services for them in Brazil, and provided instructions and support to distributors in each country in Central and South America. As Shimadzu's business expanded in Central and South America, the percentage of SBL's businesses within Brazil increased. Also, regulations in Brazil restricted the company's trading activities with other countries in Central and South America.

Uruguay is located between Brazil and Argentina. The capital Montevideo has good access to major cities in South America. It is 30 minutes to the Argentine capital Buenos Aires by air and two hours to Sao Paulo in Brazil where SBL is located by air. Moreover, Uruguay has some advantageous features. It has free trade zones where foreign-capital organizations can establish a company easily, companies can have bonded warehouses, and the degree of financial freedom is high as compared to surrounding countries. Since Uruguay's national language is Spanish, it will be easier for SLA to strengthen sales capabilities and support systems for customers and distributors in other Spanish-speaking countries in Central and South America, as compared to SBL located in Brazil, where national language is Portuguese.

After the establishment of SLA, SLA will become the parent company of SBL and its financial settlement will be consolidated with SBL so that SLA will be the base that reflects Shimadzu's business results in Central and South America.

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