Guangzhou Borch Machinery Co. Ltd. is on a roll. The privately owned machinery maker made a debut of its first all-electric injection press at Chinaplas in Shanghai, while touting aggressive sales growth, targets and new export markets.
With clamping forces available in 15, 30 and 50 tons, the BE series all-electric machines are designed for small, precision applications. The product is a result of joint efforts with an undisclosed Japanese partner, President Burender Zhu said at the April 19-22 show.
China already is the world's major supplier of hydraulic presses, but when it comes to all-electric machines, we are still in the beginning stage. He said the BE machines use Chinese components and offer competitive price-value ratio, which is key to success in the Chinese market.
The Guangzhou company's small-tonnage all-electric machines are filling a niche untapped by other leading Chinese press makers, Zhu said, and the presses are designed to help electronics manufacturers increase efficiency. He expects the unit number of all his firm's electric press sales to reach three digits by the end of the year.
The financial crisis failed to dent the firm's 2009 revenues, Zhu said. Borch reported sales of 400 million yuan ($58.5 million) in 2009, up from 330 million yuan ($48 million) in 2008. Sales are on target to exceed 550 million yuan ($80.5 million) this year.
The domestic market, which makes up three-quarters of the company's business, is outpacing the growth of exports in general. Meantime, however, Borch is exploring new markets. Earlier this year, the company entered a strategic cooperation arrangement with Poolad Co., a leading press maker in Iran. Zhu said Borch's Guangzhou factory will make co-branded machines for Poolad.
New markets will help make up for business lost in India, which decided to impose lofty anti-dumping duties on Chinese presses. Although our duty rate [76 percent] was the lowest among all of the 10 companies that responded to the investigation, it still is prohibitive.
With nearly 2 million square feet of manufacturing space and more than 600 workers, Borch claims annual capacity of 7,000 presses.
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