Front Cover Feature
Asia: a focus of Davis-Standard Davis-Standard, a global leader in technologically-advanced extrusion solutions, is experienced in the Asian region’s manufacturing aptitude, as well as its market might. The Pawcatuckheadquartered plastic and rubber extrusion and converting systems specialist considers the region its bulwark, accounting for 30% of its business. To delve deeper into Davis-Standard’s new technology offerings and market breakthroughs, PRA interviewed Davis-Standard President/CEO, Jim Murphy, and Vice-President Business Development, Asia, Sekaran Murugaiah.
Sekaran Murugaiah, Vice-President Business Development, Asia, says India and South Korea were two of the best performing markets for the company last year
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MARCH / APRIL 2018
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he spotlight is on the manufacturing sector in the Asia Pacific (APAC) region. A global manufacturing shift from the West to the East is resulting in a contraction of the sector in most advanced economies. Meanwhile, expansions in APAC are being led by the manufacturing meccas of India and China, according to a sector report from Chartered Institute of Management Accountants (CIMA). Echoing this is the 2018 Southeast Asia economic outlook Jim Murphy, President/CEO, report by the OECD (Organisation is upbeat about the Asian for Economic Cooperation and market for Davis-Standard Development) that says India and China are witnessing variable growths. China’s growth rate has slowed while India’s has remained upbeat. However, Caixin/Markit’s manufacturing purchasing managers’ index says that “the durability of the Chinese economy will persist this year”. The second largest economy in the world is also shedding its old skin of run-of-the-mill products. The Chinese government is not only cracking down on heavily polluting industries but also engineering a transition toward a services and consumption-led economy, which should bode well for the manufacturing sector. Meanwhile, the Asian region’s impetus is to move up the value chain and be on par with the manufacturing capabilities of developed regions. In this aspect, the plastics and rubber industries are major adopters of new technologies. Asia, which in 2016 accounted for 40% of the plastics and rubber products manufacturing (followed by the US and Europe at 30% and 23%, respectively), hedged on brisk demand from the two most populous countries’ over-sized food and beverage markets, as well as retail and automotive industries. Thus, Davis-Standard is in an opportunistic position with its facility and parts centre in Suzhou, China, and regional office in Malaysia, plus its offering of a comprehensive range of extrusion machinery, and converting systems and technology, as well as a full range of extrusion aftermarket services that fit the requirement of its Asian as well as global customers. Technology is a growth driver in the region’s manufacturing sector. Being highly focused to achieving new growth, more manufacturers are adopting quality and more efficient equipment to clinch higher targets. Likewise, lean manufacturing techniques are now being widely adopted in reference to sustainable, energy and cost-efficient processes. Thus, Davis-Standard’s forte in medical tubing equipment capabilities, to cater to future innovations, will also meet the burgeoning demand for consumable medical devices and is expected to open up more opportunities for the company.