Hitachi Construction Machinery Co. is considering building its first plant to make key components, according to Bloomberg.com. The report said Hitachi is interested to move parts production for Asia outside of Japan because of the strong yen.

CEO Michijiro Kikawa said the company might raise the proportion of foreign-made components and materials from 50 percent to two-thirds. The company is also looking at India as a possible parts-manufacturing base, Kikawa said.

Other Japanese companies have moved production in India and China, such as Panasonic Corp. and Nissan Motor Co., the report noted.

Hitachi already has an assembly plant in china and is considering doubling its capacity by the end of 2012.