ZHUOZHOU, CHINA (Oct. 21, 1:25 p.m. ET) — Chinaust Group, the 50/50 joint venture between Swiss plastic pipe maker Georg Fischer Piping Systems and China's Lingyun Industrial Corp., has opened a new PE pipe factory near Shanghai, a 12.8 million Swiss franc ($14.57 million) investment.
The 204,000-square-foot factory in Haining is GF Piping Systems' eleventh plastic pipe facility in the country, and continues the company's rapid investment in China, the Swiss company said in an Oct. 13 announcement.
The facility will make PE pipe for gas and water distribution, as well as corrugated drainage pipes up to three meters in diameter.
GF opened its own wholly-owned factory making floor piping systems in Beijing in August 2010, and said in its mid-year financial report that the facility was already running at full capacity in the first half of 2011.
Chinaust, based in Zhuozhou, Hebei province, operates eight factories with more than 30 imported extrusion lines and injection molding capability.
Schauffhausen-based Georg Fischer also said Oct. 13 that its GF AgieCharmilles unit opened a milling machine factory in Changzhou, 125 miles west of Shanghai.
“This inauguration of the two new plants in China shows our strong commitment as well as our strong confidence in the future development of the Chinese market,” said Yves Serra, CEO of GF Piping's parent company, Georg Fischer Ltd., in a statement.