Arburg touts 'made in Germany' to Chinese buyers, setting it apart from rivals

By Nina Ying Sun
Assistant Managing Editor

Published: May 13, 2014 12:46 pm ET
Updated: May 13, 2014 12:52 pm ET

Image By: Adsale Group Arburg GmbH + Co. KG made a point of stressing that its presses are made in Germany during its display at Chinaplas in Shanghai

Related to this story

Topics Injection Molding, Machinery, China, Asia, CHINAPLAS
Companies & Associations Arburg GmbH + Co. KG

SHANGHAI — A third-generation family business with sales of 488 million euros ($679 million), Arburg GmbH + Co. KG of Lossburg, Germany, carries a distinctive branding strategy and style. The only major Western injection press maker without production outside of its home country, Arburg does not hesitate to stress that all of its machines are exclusively produced at its parent factory in Lossburg.

Arburg advertising throughout the exhibition center of 2014 Chinaplas highlighted the key phrase “made in Germany.”

Like its competitors that have established local production in China, Arburg recognizes the need for fast response to the market. But the company believes its Shanghai distribution warehouse, opened last year, fulfils that need.

“We are in a position to deliver individually adapted Allrounders and Multilift robotic systems much faster than before in the region. The high level of customer satisfaction confirms that we have made absolutely the right choice,” said Helmut Heinson, managing director for sales.

“With their strong growth rates, the markets in China and Asia are very important for us. We are therefore active at the local level here,” Heinson said.

But that doesn’t necessarily translate to local production. In fact, Heinson stated Arburg has “no intention or plans to manufacture in Asia particularly in China” during a Q&A session at Chinaplas media day in Shanghai.

Instead, Arburg continues to leverage local warehouses/stockrooms for its machines that are known for modular design.

This year, the company is launching a new Shenzhen office with a stock room that can fit up to seven allrounders, according to Max Man, managing director of the Arburg subsidiaries in Shenzhen and Hong Kong.

About 80 percent of Arburg’s customers in China are local companies, he said.

Heinson added that Arburg’s No. 1 seller in China is the hydraulic Allrounder golden edition, followed by hybrid Allrounders for packaging and medical applications.

In an interview with Euromap before Chinaplas, Heinson said Arburg’s global business is equally divided into three: Germany, the rest of Europe, and the Americas plus Asia. He does not expect China to become its major market in the near future.

In addition to injection molding machines in the range of 12.5-500 tons in clamping force, Arburg also makes robotic systems, customized turnkey solutions, peripherals as well as additive manufacturing system the Freeformer.

Arburg did not display the Freefomer at this year’s Chinaplas, because reaction from Asian customers has been “very limited” since the product’s debut at K 2013, Heinson said. But he reassured the audience at the media event that the Freeformer will be introduced in China in the next 12 months.


Comments

Arburg touts 'made in Germany' to Chinese buyers, setting it apart from rivals

By Nina Ying Sun
Assistant Managing Editor

Published: May 13, 2014 12:46 pm ET
Updated: May 13, 2014 12:52 pm ET

Post Your Comments


Back to story


More stories

Arburg expands facility in the Czech Republic

August 1, 2014 8:56 am ET

Germany-based machinery company, Arburg, has extended its subsidiary in Czech Republic.    More

Buyer plans to sell former Hoover molding, assembly plants

July 31, 2014 2:06 pm ET

A former Hoover manufacturing plant with 150 injection machines in El Paso, Texas, and a nearby maquiladora plant in Juarez, Mexico, changed owners...    More

Image

Keep up with China's rapid changes

July 31, 2014 10:33 am ET

In many ways, 1989 was a very special year in history. Plastics News was launched in Akron. Half a world away, China was trying to carry on economic...    More

Spain's ITC Packaging acquires Coveris rigids plant

July 31, 2014 9:59 am ET

International packaging group Coveris Holdings has sold its Spanish business Coveris Rigid Spain, including an injection molding plant, to the...    More

Image

New technology molds plastic with consumable liquid

July 31, 2014 9:40 am ET

A new blow molding and filling technology called LiquiForm has been announced that uses pressurized consumable liquid instead of compressed air to for...    More

Market Reports

Pipe, Profile & Tubing Extrusion in North America 2014

U.S. demand for extruded plastics is expected to grow by 3 percent in 2014, with PVC remaining the largest segment.

Plastic pipe will post the strongest gains through 2018, continuing to take market share from competing materials in a range of markets.

Our latest market report provides in-depth analysis of current trends and their financial impact on the pipe, profile and tubing extrusion industry in North America.

Learn more

2014 Injection Molding Industry Report

GROWTH, OPPORTUNITY IN SIGHT FOR INJECTION MOLDERS IN 2014

In the wake of the economic turbulence earlier in this decade, molders today find themselves in much better shape. Molders are gaining a competitive advantage by investing in people, equipment and seeking inroads into new markets on a global scale.

Growth in the injection molding industry is going to be driven by low financing costs and a continued move to reshore some business.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

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

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

More Events