Canon delays plans for toner factory
May 28, 2009 by Steve HannafordPosted in: Dealers & Channel, In this week's e-newsletter, Latest News & Views
In another sign of the toll the recession’s taken on the printing industry, Canon, Inc., the biggest of the Japanese office-equipment makers, recently delayed construction of a factory that would make toner cartridges.
The factory is planned to be built in Japan. The company pointed to a recession-based drop in worldwide demand as the reason for the delay. This is the second time the company has delayed the plant.
The drop-off in demand for consumables is a serious concern for all companies in the industry. It’s even more important than a decline in machine sales, since the real margins for the manufacturers are in supplies. As a Reuters report puts it:
“Consumable items such as toners and related services are an important source of profit for office equipment makers as they generally fetch high margins and provide a constant revenue stream.”
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August 31st, 2009 at 8:41 pm
Maybe they’re up for another project and so the delay is pursued. Let’s wait for the next event.