Breyer GmbH will open its first China-based office in about three months.
The company has not selected a location, but is looking to increase its presence in the country and improve its understanding of China's growing market, said division manager Uwe Staudenmaier.
``We expect to have good business here in the future,'' Staudenmaier said in an interview at the ProPak China 2007 trade show, held July 10-12 in Shanghai. ``We will use information we gather to help create products for our customers.''
Singen, Germany-based Breyer is marketing extrusion sheet and tubing lines in China. Worldwide, the firm has annual sales of about $76 million and employs around 330. Ninety percent of Breyer's business is dedicated to exports.
The company originally came to China 15 years ago, selling sheet lines used for television and computer screens, he said.
``The demand used to be coming from [South] Korea, but now is coming over to China,'' he said of the clear sheet lines. When producing high-end televisions and other screens, the quality of the acrylic sheeting is particularly important, Staudenmaier said.
The sheets are very transparent and highly sensitive - capable of being used for touch screens.
``This is the highest-quality demand,'' he said. ``You are looking for quality in the source material and in the product.''
Breyer also has a growing market in cosmetic tubing.
``Pharmaceutical products are still primarily packed in aluminum,'' Staudenmaier said. ``Cosmetics, on the other hand, are packed in plastic tubes.''
Chinese customers can choose from the simple plastic sleeve, or contract for a tube complete with a heading and shoulder. Breyer offers extrusion lines of clear sheet, multiwall sheet and technical sheet plastics.
``There is space for decoration on the tube, and it comes unsealed,'' Staudenmaier said.
About 30 percent of Breyer's business is in Asia, he said. In China, the firm does most of its marketing through C. Melchers GmbH & Co., an agency that represents a number of Western plastics and packaging companies there. The company will continue to use Melchers as an agent in China, but the new office will help to build an awareness of Breyer throughout China, Staudenmaier said.
``Sometimes you invest in new equipment or technology,'' he said. ``This kind of marketing is also a long-term investment.''