Komatsu Ltd has long had a strong position in the Latin American mining market, and its Senior Executive Officer and President, CE Marketing Division, Yasuji Nishiura, recently gave some good insights into its depth of presence in the region in a presentation.
He says Komatsu has established a high-profit business model in the Latin American region by directly engaging with mining users through Komatsu owned distributor, facilitating investments, direct contact and contract services. The Latin American region has become the second-highest revenue-generating area for Komatsu after North America on a global basis.
Although the Latin American region accounts for approximately 10% of the global demand for construction and mining equipment, the Latin American sales ratio for Komatsu in FY2023 is projected to be 18%. Not only that, but within the Latin American market, the mining business holds a significant share of 70% of the total sales, compared to construction and others at 30%). This 70% for mining is broken down into equipment (16%), parts (24%) and service (30%).This is compared to the world as a whole where mining accounts for 43% of total sales, made up of equipment (14%), parts (18%) and service (11%).
The Komatsu TBM being developed for Codelco’s Chuquicamata Underground during QA testing
