Kirii: Japan’s leading high-quality ceilings constructor

What is the essence of Japan’s Monozukuri, i.e. manufacturing, especially in the field of disaster prevention?

The essence of Monozukuri is found in our passion to deliver the best product possible. Japanese manufacturers place their full dedication and commitment into the creation of products. Our expertise is found across all steps of the manufacturing process, and from the beginning to the end of the production chain. Japanese people are serious and pride themselves in creating the best product possible.

In any production, a certain margin of error is allowed. However, Japanese manufacturers will go above and beyond to reduce that margin of error. In our specific sector, quality is driven by our customers, such as builders and architects. As they have high demands and requirements, we can never reduce our margin of error enough for them. They seek to create perfection beyond perfection. If they see that something is not exactly straight, for example, they will ask us to make the product all over again.  

At Kirii, our corporate culture is always to look for the best quality imaginable. However, this quality comes with higher prices. With the advancement of globalization, we realized that our industry is living through a turning point.

The Asian market, where Kirii is present, prioritizes the appearance and the esthetics, and the exterior over the performance and efficiency. In Japan however, the priority is placed on the functioning and the technology behind the materials used. When you observe a newly constructed building, the difference between Japanese and Asian construction materials seems invisible. Five years after its construction however, the difference becomes clearly noticeable. On the one hand, buildings constructed with Japanese construction material will look 5 years old. On the other hand, buildings made by non-Japanese materials will look 30 years old. While this is an over exaggeration, the passing of time clearly reflects the quality of the material we use.

Your company has facilities in Hong Kong and China. How do you ensure that the quality that makes your strength is maintained when producing overseas?

Producing the same exact material, with the same exact quality, both in Japan and overseas is impossible. Every country has its own unique characteristics, and its people have grown up in a different culture. However, we have been able to create a situation where the quality of our products manufactured oversea are close to the ones we produce in Japan.

According to experts, the global construction market is expected to grow at a CAGR of 3.9% from 2019 to 2030, reaching a value of $3 trillion. Asia Pacific is expected to be at the forefront of this growth with countries such as China and India as a key driver. Could you please give us a brief analyze on this growth and how your company is going to adapt to this development?

Domestically, Japan is experiencing a shrinking demographic line due to the ageing population. Naturally, this situation is affecting the construction industry. To respond to our declining workforce, the country has put in place new policies to welcome more immigrants. On the long-term, we believe that growth will come back to the Japanese market. Simultaneously, we are researching new applications where our product can be useful.

We also plan to continue our global effort, and aim to increase our exports from Hong Kong. As we expanded our business beyond the national frontier, we realized that exporting to international markets the same product we sell in Japan was difficult. Consequently, we began designing products tuned to the Asian market, and adapted to local demands.

Most of the products we sell oversea are not made in Japan. Furthermore, we learnt to develop our skills in other production processes. In Japan for example, furring in walls and ceilings are in high demand. In Asia however, the most demanded products are metal panels. To expand, we have had to adapt, learn and master a new set of skills tailored to global trends.

As the Asian market for metal panels is over one hundred times bigger than the Japanese one, we were quick to realize the potential metal panels represented. Furthermore, we analyzed that there was a gap in supply. On the one hand, various Asian manufacturers were offering bad quality metal panels for cheap prices. On the other hand, Europeans countries provided high quality items with high prices. After we spotted that gap, we began manufacturing good quality and fair priced metal panels, and experienced quick growth.

You were founded in 1964. After 56 years of history, can you share with us the key milestone of your company?

Although our company was established 1964, its roots go back to1938 when my Grandfather created a firm that operated in the mold and metal industry. His company would later become Kirii Construction Materials.

At the time, Japanese facility interiors were largely made of wood. After the Second World War, Japan experienced a period of rapid economic growth and regulations began to change. Fire prevention policies were installed, and our wooden buildings became steel constructions. This change in material created a spike in demand, and Kirii started producing steel building materials for the construction industry. In 90s, we became the national leader of our sector. Our massive production capabilities allowed us to benefit from economy of scale. Furthermore, we were the only company that did not rely on traders to sell its products. This allowed us to know our clients better while offering competitive prices.

After the 1995 Kobe earthquake, new regulatory policies were installed with the aim to render buildings much stronger. We therefore began producing high-quality, anti-seismic materials.

But it wasn’t until 2011, with the Great Tohoku earthquake, that people started to be aware of the importance of the ceiling’s quality. This catastrophic event revealed our firm’s competitive products to the nation and allowed us to receive great public recognition. Furthermore, the law changed again and the country adopted our technology as the industry’s standard.

Your company is a leader in the manufacturing of building pieces, such as ceilings and walls, among others. Could you please give us an overview of your products? Could you please tell us the role that R&D plays within your company?

Our company is specialized in the production of furring in ceilings, walls and floors. Since our foundation, we have been focusing on developing reliable and high quality products. Our products’ key characteristics is their earthquake resistance. For example, we developed a new earthquake resistant full power ceiling. The unique production method we designed enabled us to produce a specific product, a seismic ceiling, that answered all the requirements highlighted in H25 Ministry of Land, Infrastructure and Transport Notification No. 771.

We opened our R&D department to remain on top of market demand, especially here in Japan where earthquake are common. We believe that outstanding production techniques have, and will continue to bring about innovative products that will open a new market that our customers haven’t realized yet.

What objectives have you fixed yourself for this Fiscal Year?

This year, we expect to reach JPY 100 billion in sales and to increase our profit margin by 5%.

What is your international strategy?

We are looking to export our ‘made in China’ product to other Southeast Asian market. We already have distributors in Indonesia, Singapore and Thailand, and we will soon begin distribution in Myanmar and Cambodia. On top of our Hong Kong office, we seek to open new bases in Southeast Asia.

Do you seek to find more international partners?

We already have a well-established partners-network. However, we are always opened to new opportunities for collaboration.  We are looking for opportunities in southeast Asian countries, especially in Cambodia and Myanmar.

As the president of Kiiri Construction, what would you like the brand Kiiri to stand for?

I would like the brand Kiriii to be associated with “quality and reliability that provides safety to people.”

Furthermore, my dream is to transmit our wisdom and technology to the global market.

10 years from now, what do you wish to have achieved?

My objective is to become a global company that provides safety to the world thanks to its high-technology, anti-seismic ceilings. I sincerely hope that our unique expertise will protect more and more people, especially those residing in disaster-prone areas.