The plant, with a initial capacity of 40 million diapers per month, will largely target the Indonesian baby diaper market, which is reportedly growing 20% per year. Already, several diaper makers including Japan's Oji Holdings, Unicharm and Kao and U.S.-based Procter & Gamble have invested in Indonesia.
Elsewhere in Southeast Asia, Daio has recently pledged its commitment to China and Thailand with investment announcements. In Thailand, the company's subsidiary Elleair International was established in 2011 and the company expects to complete a new diaper production line at this stie in August. This new line will increase capacity at the site by 30%.
In China, Elleair International Nantong began making GOO.N high quality diapers in November 2013 and added a second production line in August. Already, plans have been announced for another line, expected to be complete in August 2015, which will add 50% capacity to the site.