A year and a half after Demag Plastics Group bought out its former joint venture with Ningbo Haitian Group Co. Ltd., the Schwaig, Germany-based injection press maker is moving its China production to a new, 118,400-square-foot plant in Ningbo.
The plant will be able to make 1,000 machines annually with one shift, Stephan Greif, Demag vice president for China, said at Chinaplas in Guangzhou. ``It will be able to make 1,500 presses a year with two shifts,'' he added.
The old plant has been running at its full capacity of 600 machines a year. Demag has been leasing that facility, which is half the size of the new one, from Haitian since the end of 2005.
Demag currently makes presses with clamping forces of 50-280 tons in China. The company will raise maximum tonnage to 350 next year, Greif said.
He said the strategy is to make standard machines in Ningbo and import special ones - such as high-speed, dual-component or in-mold-labeling machines - from its plant in Germany.
In 2006, Demag sold 600 locally made presses in China and more than 150 imports. Greif said the company aims to sell 600-700 presses manufactured in Ningbo this year, due to the transitional period for relocation. However, its sales target leaps to 1,500 units for 2008.
Demag also will start making all-electric machines in Ningbo next year.