Local production base to cooperate in public-private partnership project advanced by Government of Zambia to train construction machinery operators

Tokyo, Japan, September 29, 2021 —- Hitachi Construction Machinery Co. Ltd. (TSE: 6305, “Hitachi Construction Machinery”) announced that the company are joining forces to address the growing demand for skilled construction equipment operators in Zambia’s construction and mining industries in Zambia (hereinafter “this project”). The project will be implemented by the United Nations Industrial Development Organization (UNIDO) with financial support from the Government of Japan.

In this project, Hitachi Construction Machinery will provide technical support for development of the training curriculum and creation of the training materials, provision of training equipment and support for training of instructors through Hitachi Construction Machinery Zambia (Head Office: Lusaka, Republic of Zambia; Company President: Hideki Hattori), a consolidated subsidiary engaged in sales and service of mining and construction machinery and remanufacture of components.

The improvement and development of social infrastructures has advanced rapidly in step with economic growth in emerging countries such as Zambia in recent years. Advanced operating skills are essential for improving safety and productivity in the mining and construction industries, and for the stable operation of construction machinery. Development of highly skilled human resources in Zambia is urgently needed to expand employment opportunities especially for young people.

This project is a collaborative effort by public- private development partnership (PPDP) toward resolving a social issue, with the aim of establishing a vocational training center to enhance knowledge and skills in line with the needs of the mining and construction industries. In response to a request for cooperation from UNIDO, the implementing organization, we have decided to participate in the project as part of our commitment to solving social issues through Hitachi Construction Machinery Group businesses.

In the run-up to commencement of this project, the signing ceremony was held on September 28, 2021, at the Southern Sun Ridgeway in Lusaka, and the exchange notes relating to grant aid from the Government of Japan were signed by Mr. Ryuta Mizuuchi, Ambassador Extraordinary and Plenipotentiary of Japan to the Republic of Zambia, and Mr. Khaled El Mekwad, UNIDO Representative of Regional Office in South Africa. Hitachi Construction Machinery Zambia attended the signing ceremony as a key project partner, together with representatives from Ministry of Technology and Science (MoTS)  and the Ministry of Commerce, Trade and Industry (MCTI) Government of Zambia.

*Quote from Honourable Felix C. Mutati, Minister of Technology and Science (MoTS)*
“Our focus on this program will be to bridge that skills gap, but focusing on shifting the Curriculum, the learning, orienting it to practical skills that addresses the challenges that we are facing in the mining and construction industries. Focusing on lifting up the vulnerable person, the girl child that they participate in the job market. And my ministry is going to shift the focus that locally we train and empower our people through skills so that we minimize on the importation of labour. This we can do it as a country and we are fairly equipped”.

*Quotes from Ryuta Mizuuchi, Ambassador of Japan to Zambia*
“With this exchange of notes, we are launching a unique project providing the Zambian youth with opportunities of vocational training, with the participation of Hitachi Construction Machinery Zambia and UNIDO. This project will certainly support the new Zambian Government under President Hichilema in human resources development as he attempts to empower more and more young Zambians for the purpose of sustainable development.”

*Quote from Khaled El Mekwad, UNIDO Representative*
“UNIDO is pleased to facilitate the interests of public and private sector stakeholders to strengthen the quality and relevance of vocational training and support Zambia’s inclusive and sustainable industrial development within the framework of UNIDO’s Programme for Country Partnership (PCP) which is fully aligned with the United Nations Sustainable Development Partnership Framework (UNSDCF) in Zambia and the country’s Seventh National Development Plan (7NDP) ”

*Quote from Dr. Coumba Mar Gadio, Resident Coordinator of United Nations in Zambia*
“While educational needs globally are immense, the private sector can leverage their resources and core competencies to support governments to enhance skills development and help unlock the necessary investments to ensure quality learning opportunities are accessible. Projects such as this one can help Zambia achieve this”.

*Quote from Hideki Hattori Company President of Hitachi Construction Machinery Zambia *
Hitachi Construction Machinery Zambia give great pleasure to be part of this program in partnership with UNIDO together with the Governments of Zambia and Japan. This will enable us further contribute to the Zambian Society as part of our CSR and Skills development agenda and vision. We know that this will not only be a one of achievement but a platform to continuously engage the cooperating partners on further improvements and opportunities as we continue to operate within Zambia. We hope other companies will emulate our example and consider similar projects in other sectors within Zambia.

UNIDO and Hitachi Construction Machinery issued a Joint Declaration on September 29, 2021, at Hitachi Construction Machinery Head Office to further promote UNIDO’s mission of “Inclusive and Sustainable Industrial Development (ISID) in developing countries and economies in transition” through this project.

The corporate vision of Hitachi Construction Machinery Group is to “pass on a productive environment and prosperous cities to future generations” and to this end we have engaged in business activities aimed at realization of sustainable societies in every corner of the globe. Leveraging our business experience in Zambia, we will continue to contribute to the solution of social issues in emerging countries through active support for this project.

1. Project goal
   To develop human resources with knowledge and skills aligned to the needs of the mining and construction industries, with the aim of expanding youth employment opportunities in Zambia
   
2. Project start time and plans after commencement
   Formulation of the training curriculum will start in October 2021.
   This project will last for a total of four years, including the formulation period.
   Construction of the vocational training center to continuously train 125 construction machinery operators each year is planned from the third year of project implementation.
   
3. Main initiatives
   ・To formulate a training curriculum in construction machinery operation, based on the needs of the mining and construction industries, and implement the training
   ・To construct a vocational training center for acquisition of construction machinery operational skills
   ・To provide job hunting support for persons who have completed the training course

• Support value: approx. USD 430,000 (approx. \45,150,000)
• Technical support for creation of a training curriculum and training materials
• Provision of training equipment and tools
• Support for training of instructors
• Opportunities for interaction and exchange of opinions with Hitachi Construction Machinery Zambia’s training center

About Hitachi Construction Machinery Co., Ltd.

Hitachi Construction Machinery Co., Ltd. (TSE: 6305), headquartered in Tokyo, Japan, is a global Construction Machinery company with approximately 25,000 employees worldwide. Fiscal 2019 (ended March 31, 2020) consolidated revenues totaled 931 billion yen. Hitachi Construction Machinery will focus more than ever on the Construction and Mining Machinery Business, which includes Hydraulic Excavators, Wheel Loaders, Rigid Dump Trucks, Compaction Equipment, Hitachi AHS and assistive automation technologies, Applications and Mine Management Systems. For more information on Hitachi Construction Machinery, please visit the company’s website at　https://www.hitachicm.com/global/.