Nolato builds Chinese medical molding plant

Rebecca Kanthor
PLASTICS NEWS CHINA

Published: September 30, 2013 1:34 pm ET
Updated: September 30, 2013 1:43 pm ET

Image By: Rebecca Kanthor, Plastics News Nolato Strategic Account Manager Johan Christiansson

Related to this story

Topics Medical, Injection Molding, China, Telecommunications

SHANGHAI — Swedish injection molder Nolato AB is building a dedicated medical manufacturing plant in China with capacity for 30 injection machines, as it sees its customers in the medical and pharmaceutical industries expanding their operations in Asia.

The new facility, located near the company's existing manufacturing plant in Beijing, will begin operation in the first quarter of next year, said Strategic Account Manager Johan Christiansson, in an interview at the Medtec China trade show on Sept. 25 in Shanghai.

The Torekov, Sweden-based company said the new 23,700 square foot factory will have 8,600 square feet of class 8 clean room space.

"China is the fastest growing market for pharmaceuticals and medical devices, which means that more and more of our customers are discussing expanded production in China for the Asian market," said Christer Wahlquist, president of the Nolato Medical business unit, in a statement.

The new facility will let the company separate its medical and telecom related manufacturing at its existing Beijing plant, which opened in 1999, Christiansson said. The old Beijing facility will focus entirely on telecom related work, as the company tries to expand its medical-related business, he said.

"The focus going forward is … more and more on medical," he said. "Telecom goes up and down very fast. Medical is more stable."

He said it made sense to separate the two businesses.

"If you combine medical with something else there can be challenges," he said. "So to make sure we have the best conditions to manage this, we decided to have a dedicated medical site."

The company also has a telecom manufacturing facility in Shenzhen.

Christiansson said the plant will not run at full capacity from the start: "We're building a little more for the future as well."

Nolato said its medical business has been active in China since 2008. Globally, the company said has about 25,000 square meters of clean room capacity for medical manufacturing, in a range of classes, at nine facilities in Asia, Europe and North America.

Nolato's medical business worldwide has nearly 1,000 employees in Sweden, Great Britain, Hungary, the United States and China.

The publicly traded company reported in July that its second quarter medical business worldwide rose 3 percent $50.2 million (308 million Chinese yuan), while overall sales rose 11 percent, to $180.9 million (1.1 billion yuan), with operating income up 37 percent to $17.2 million (105.5 million yuan).

That sales increase was led by its telecom business, where sales in the quarter rose 28 percent, to $84.1 million (516.1 million yuan).


Comments

Nolato builds Chinese medical molding plant

Rebecca Kanthor
PLASTICS NEWS CHINA

Published: September 30, 2013 1:34 pm ET
Updated: September 30, 2013 1:43 pm ET

Post Your Comments


Back to story


More stories

Image

Comar merging with Convergence Packaging

October 21, 2014 5:07 pm ET

A couple of plastic packaging companies owned by private investment firm Graham Partners are merging into a single entity.    More

Image

Report: Suspected former Nazi with plastic connection collecting Social Security

October 20, 2014 3:52 pm ET

AKRON, OHIO — A one-time plastics executive in Akron is among dozens of suspected former Nazis who have been collecting U.S. Social Security...    More

Molder expands in France with new clean room

October 20, 2014 1:30 pm ET

Global Closure Systems (GCS), a global injection molding producer, showed off its new ISO 7 clean room at its Astra Plastique factory in France...    More

Molder goes to auction block

October 17, 2014 12:17 pm ET

An Illinois custom injection molding operation will be auctioned off after its owner decided to close the business.    More

Image

Plastikon expanding in Kentucky

October 17, 2014 11:24 am ET

Automotive supplier Plastikon Industries Inc. plans to more than double the size of its production facility in Leitchfield, Ky.    More

Market Reports

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 million dollar plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events