Booming demand for PVC window profiles in Eastern Europe has led extruder Profine GmbH to launch major capacity expansions at two plants in Germany and Russia.
Profine also may open other production facilities: one in the Ukraine, probably in 2007; another in Russia; and a third in Romania. A decision on whether to give the green light to the second Russian plant is due next year.
This year, the Troisdorf, Germany-based profile manufacturer is boosting capacity at its KBE Fenster-Systeme extrusion plant in Berlin, where it plans to raise output to 198 million pounds per year.
KBE, which currently operates 55 Battenfeld Extrusionstechnik GmbH extrusion lines in Berlin, has bought a hall adjacent to its facility. With the extra space, KBE expects to boost profile capacity by 44 million pounds per year in 2007, a spokesman said.
Meantime, KBE has been investing in new capacity at its busy plant in Woskresensk, Russia, near Moscow, where it runs 25 extruders.
KBE got started in Russia in 2000, when it initially equipped the plant with used machinery from Berlin. More extrusion lines will be installed in 2007 to take output to more than 176 million pounds per year, according to Woskresensk plant manager Hans Neumann.
``We are responding to the extremely dynamic growth of the Russian profile market,'' he said.
Longer term, Profine is looking at another profile molding facility in Romania, to meet mushrooming Eastern European demand.
``We are more than satisfied with the development of our two [KBE] production plants in Berlin and Woskresensk,'' said Berlin plant manager Berthold Lenter. The extra capacity added there this year represents a 13 percent increase over 2005 output and a 100 percent expansion in production in the past five years, he added.
Profine expects to record 2006 sales growth of around 10 percent over 2005, to more than 800 million euros ($1 billion). This year, the company invested 48 million euros ($61 million) to boost capacity, mainly in Germany, and it expects to spend a similar sum in coming years.