Enshu Limited, a machine tool maker listed on the Tokyo Stock Exchange's Standard market, told the exchange on August 28, 2026 that its board had voted to halt production at BANGKOK ENSHU MACHINERY Co., Ltd. (BEM), its wholly owned manufacturing subsidiary in Thailand. The shutdown takes effect September 30, 2026. Enshu's Thai sales arm, ENSHU (Thailand) Limited, will keep operating.
Enshu blamed the shutdown on a decline over recent years in Japanese manufacturers' capital spending in Thailand, which it says has been squeezed by the country's shift toward electric vehicles and the expansion of Chinese automakers there. BEM's factory utilization has stayed low as a result, and Enshu concluded a near-term turnaround was not realistic.
The subsidiary's results show how fast the slide has been. Sales fell from 129.9 million baht in the year to December 2023 to 87.9 million baht the following year and to just 28.7 million baht in 2025. Net income mirrors the pattern: BEM posted a 10.1 million baht profit in 2023, then losses of 0.4 million baht in 2024 and 8.9 million baht in 2025.
| Fiscal Year (Dec.) | Sales (million baht) | Net Income (million baht) |
|---|---|---|
| 2023 | 129.9 | 10.1 |
| 2024 | 87.9 | -0.4 |
| 2025 | 28.7 | -8.9 |
Enshu owns BEM in full, including indirect holdings, and the Thai unit's capital stands at 50.3 million baht. Once BEM's line goes dark, the machine-tool output it used to handle will move to Enshu's head office in Japan and to its subsidiary in China.
The disclosure leaves the bottom-line consequences open. Enshu says it is still assessing how the shutdown will affect group results for the year ending March 2027 and will issue further disclosure if anything material comes up. What is already settled: a Japanese machine-tool maker has decided that running a factory in Thailand's auto-supply belt no longer pays, even as it keeps a sales foothold there for machines built elsewhere.