Guangdong Kai Ming Engineering Ltd., which claims to be one of South China's largest injection press makers, plans to build a new factory next year that will double its capacity.
The company makes about 4,000 presses a year and plans to build a second plant, in San Shui, to meet strong demand in China, said Wilson Chan, overseas sales manager for the firm.
About 95 percent of the company's production is sold in China, but the firm is trying to boost overseas sales, particularly in the Middle East and South America, Chan said at APPLAS, held Nov. 29 to Dec. 4 in Shanghai.
The company's business is growing 30 percent a year, although Chan declined to provide sales figures.
The new factory will let the company, based in Foshan, expand the size of its machines from 2,100 metric tons of clamping force to 3,000 tonnes, he said. Its current facility in Foshan is 750,000 square feet and employs 800.
Chan said Kai Ming hopes to grow its exports, to perhaps 10-15 percent of its business.
He said Kai Ming is seeing more demand from plastics processors in countries like Turkey or Brazil, which are facing competition from Chinese companies and are starting to buy lower-cost equipment like that made in China as a way to reduce their own costs.
Chan said the company tries to cope with intense price competition in China's local market by using its in-house die casting and foundry to control costs and improve quality. The firm is unusual among Chinese press makers in that it makes its own components such as machine bases, rather than buying them from outside foundries, he said.
There are more than 100 Chinese injection press manufacturers, but only about 20 firms that do die casting, so most injection press companies buy components and assemble them, he said.