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Engel Celebrates 10 Years in Shanghai

For Engel Machinery (Shanghai), 2017 is a special year: Ten years ago, the plant opened and the first large-size machine produced in Shanghai was delivered. Just in time for this anniversary, the company has completed the second largest expansion in the history of the plant. Engel celebrated both milestones in Shanghai, together with more than 500 guests including customers and partners, in mid-September.
Gero Willmeroth, Sales and Service President at Engel Machinery (Shanghai), welcomed the guests from all regions of China, other Asian countries and beyond. He was particularly pleased that 24 of the initial employees were able to attend the anniversary celebrations. “For China, such a long period of employment with one company is still something special.” With 50 employees, Engel Machinery (Shanghai) began building the large-size machines for the duo series in 2007. Today the subsidiary of Engel Austria employs a workforce of around 450 – and rising. “By the end of the current fiscal year in March 2018, we will employ 500 people here,” says Willmeroth.
Consistent Development
Engel Machinery (Shanghai) was established as the second of three production plants in Asia. As injection molding machines with low and medium clamping forces have been built in Korea since 2001, Shanghai was always planned as a purely large-size machine plant. Especially in Eastern and Northern China, there are many automotive suppliers with a high demand for large-size machines. In addition, there are more qualified skilled workers in Shanghai than in most other regions of the country, and the large international airport is also located here.
Apart from automotive components, front frames and housing parts for TVs, drums for washing machines, boxes and pallets as well as large technical components such as fan propellers are produced in Asia on duo injection molding machines. “Although our original customer base mainly consisted of large international corporations and Western-orientated companies, more and more Asian plastics processors are now among our customers,” said Dr Stefan Engleder, CEO of the Group, during the celebrations. “Asia – with China at the forefront – has developed from the extended workbench of the world to an extremely quality-orientated market with a huge domestic demand.
As sister factory to the Engel large-size machine plant in St. Valentin, Austria, Engel Machinery (Shanghai) is subject to the strict Austrian quality management system. The work processes are identical in both plants. In order to be able to guarantee its customers in Asia this high quality over the long term, the company started to train its next generations of skilled personnel in Shanghai four years ago. Forty-five young people are currently being trained in three technical vocations according to the Austrian model of dual professional training.
Continuous Investment as One Factor for Success
After a first major expansion in 2012 which doubled production capacity Engel has now completed the second extensive plant expansion just in time for its 10th anniversary. The company invested EUR 7.5 million in the latest expansion. Two new building complexes were added. The existing office building was lengthened to create an additional 1000 m² of office space. A new production hall was also built, expanding large-size machine production by 1600 m². In addition, new offices and the training workshop are located in the new hall. It is significantly larger and more modern than the old one.
Of its global turnover of EUR 1.36 billion in the 2016/2017 fiscal year, Engel generated 20 % in Asia. 90 % of this stemmed from local production in China and Korea. “Asia remains one of the regions with the strongest growth,” says Dr Christoph Steger, CSO of the Engel Group. This is due mainly to the very dynamic markets in Southeast Asia and China's strong demand for integrated and automated manufacturing solutions.





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