Industry Europe – Issue 23.7

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VOLUME 23/7 – 2013 • €6

The world of European manufacturing

BUHLER MOTOR DELIVERS NEW SOLUTION FOR AIRCRAFT SEAT ACTUATION INVESTMENT IN MODERNISATION IS THE PRIORITY FOR CIMSA CIMENTO INNOVATION KEEPS OERLIKON BALZERS AHEAD IN THIN FILM COATINGS

CHEMICAL INDUSTRY GOES FOR HIGH MARGIN PRODUCTS



OPINION

PETERMERCER

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Fracking for all The British government seems determined to encourage the shale gas revolution.

IT

was a very English protest. When 90 police arrived at the West Sussex village of Balcombe (population 7000) to stop anti-fracking demonstrators from blocking the access of lorries to the proposed drilling site, they found villagers having a tea party, chaps playing cricket in the road and a local parish councillor in an MCC blazer manning the front line in a deck chair. Of course the usual suspects were also lurking around this Ealing Studios idyll – Green party activists, Friends of the Earth and an outfit calling itself Frack-Free Sussex – and no doubt they accounted for most of the ten people arrested rather than the middle class mums handing round scones and cakes. But, even so, this sort of discontent in the heart of Conservative England is not good news for the government. It can shrug off the inevitable outrage of environmentalist activists; even their more rational objection to shale gas – that it will be so cheap and plentiful that the hugely expensive switch to renewable energy sources that they believe to be essential to the survival of the planet will be dramatically slowed down – cuts little ice with Ministers seeing what only yesterday seemed impossible: the prospect of cheap, indigenous energy for consumers and industry for decades to come. But what the government does not want is its natural supporters in villages up and down the country turning Green because they fear that fracking wells will despoil the countryside. And, of course, reduce the market value of their houses. So, clearly, Tory peer Lord Howell was just trying to be helpful when he pointed out in the House of Lords that there was really no need to disturb the peace of Middle England with all this drilling and fracking because, fortunately, there were plenty of places in the country where companies like Cuadrilla could get on with their business without bothering anyone. “There are large, uninhabited and desolate areas, certainly up in the north-east,

where there’s plenty of room for fracking well away from anyone’s residence and where it can be conducted without any kind of threat to the rural environment,” he said. TV News presenters reported outrage on the opposition benches at this grotesque insult to the north-east although the clips seemed to indicate that most peers were falling about laughing. Lord Beecham, Labour peer and Newcastle-on-Tyne city councillor, said, “These comments highlight the Tory party’s problem with the North,” and it was certainly true that whatever those problems were before, they had just got a lot worse. In fact, what was obvious from Lord Howell’s suggestion was that one of those Tory problems is that they don’t seem very sure about where the North actually is or what’s up there. Because, of course, the huge shale gas deposits that everyone is talking about are in the north-west of England, under Lancashire and Cheshire, not in the north-east. Of course, what we have to understand is that while David Howell (Eton and Kings College, Cambridge) may have been an energy minister in Mrs Thatcher’s government, may be the father-in-law of the Chancellor of the Exchequer and may also be an advisor to the foreign secretary on energy policy, he is also Baron Howell of Guildford and it really is frightfully difficult for chaps from the southern shires to tell their Sunderlands from their Salfords. Of course Lord Howell quickly explained that it had been a slip of the tongue and he meant to say ‘north-west’. But that means he thinks Lancashire and Cheshire are ‘uninhabited and desolate areas’, which may come as a surprise to all those WAGS sitting in their luxury mansions in the Wirral. And having upset the Geordies, he now has the Scousers to deal with. Doh, it just gets worse and worse, as Homer says (no, not that Homer, David).

Pressing ahead Despite these little local difficulties the British government seems uncharacteristically resolute in its support for the shale gas industry, far more determined to over-ride the environmentalist outcry than most of its European partners. Fracking is simply banned in the Netherlands and in France, where, no doubt, ministers in Paris have their own difficulties in telling ‘est’ from ‘ouest’. Germany is dithering, partly because its brewers are up in arms about the threat to their pure water (at least that’s an anxiety you can sympathise with), and so is Denmark. Poland looked promising but after problems with tax and regulation, ExxonMobil, Talisman and Marathon Oil have all gone home. The British government’s determination to press ahead is driven in part by the looming energy supply crisis as a fifth of the country’s current generating capacity is retired by 2020. It has already announced unprecedented levels of support for nuclear projects (£10bn of guarantees for EDF’s £14bn Hinkley Point power station alone) and for renewables (offshore wind is to get guaranteed prices of up to £155 per megawatt hour). But it knows that oil and gas will remain vital to meeting the UK’s energy needs for decades to come, continuing to account for maybe three quarters of the total no matter how many billions are thrown at renewables. So the news that there is far more shale gas under Britain than anyone had thought –maybe 1300tn cubic feet in the Bowland Shale alone – has simply transformed the outlook. Already the Treasury has agreed to tax shale production at only 30 per cent, compared with 62 per cent for most of the oil and gas industry, and the energy minister has made it clear that since ‘shale gas is everywhere, under towns, villages and attractive areas of the countryside’ and not just in the industrial North, people are just going to have to get used to it. His department has already issued 176 onshore exploration licences; there will be many more. n Industry Europe 3


CONTENTS Editor Peter Mercer

Production Manager Kamila Kajtoch

Deputy Editor Victoria Hattersley

Administration Anna Chamberlain Amber Dawson Kayleigh Harvey

Profile Writers Abigail Saltmarsh Felicity Landon Piotr Sadowski Emma-Jane Batey Barbara Rossi Philip Yorke

Art Administration Tania Balderson Advertising Manager Andrew Briggs Sector Managers Matthew Howe Milada Preslova Massimo Ragazzo Helen Leisi Mac McCarthy Anthony McClintock Ben Snowing Anna Dudek Stephen Moore Martin Gisborne Victoria Pease Gabdi Saunders Jay Foord

Art Director Gareth Harrey Art Editor Rob Czerwinski Designers Leon Esterhuizen Paul Abbott Claire Bidle Web Development Neil Robertson IT Support Jack Everson

Comment 1 4 5

Opinion Fracking for all Bill Jamieson Waiting for the German watershed James Srodes Losing traction on the uphill climb

Chemical Industry 6

Taking the high-margin road Europe’s chemical

companies search for growth

9 12

Chemical news The latest from the industry Flight of the starship Solar Impulse crosses the USA

News

Industry Europe Alkmaar House, Alkmaar Way, Norwich, Norfolk, NR6 6BF, United Kingdom Tel: +44 (0)1603 414444 Fax: +44 (0)1603 779850 Email: photos@industryeurope.net adcopy@industryeurope.net Web: www.industryeurope.net

© Industry Europe 2013 No part of this publication may be reproduced in any form for any purpose, other than short sections for the purpose of review, without prior consent of the publisher.

14 16 18 19 20

Winning business New orders and contracts Linking up Combining strengths Moving on Relocations and expansions Industry people Appointments Technology spotlight Advances in technology

Reports 22 23

Focus on Germany Allan Hall reports from Berlin Focus on France Ian Sparks reports from Paris

Automotive 24 28 32 36

Serving the international auto industry AD Plastik Turbocharged success BorgWarner Group Taking care of your vehicle Ravaglioli Proving its metal Ljunghäll Group

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US Industry Today, Industry Europe’s sister publication, is published in the United States of America. For further information or to subscribe contact: Sue Poeton, 100 Morris Avenue, Suite 202, Springfield, NJ 07081. Tel: +1 973 218-0310 Fax: +1 973 218-0311. Email: corporate@USIToday.com. Web site: USIToday.com

4 Industry Europe

Cheimical Industry p6

41 44

48 52 56

World class construction machinery Hidromek A global leader in cement Cimsa Cimento

The green team Nopa Nordic A global giant Proctor & Gamble Tailored to perfection Strellson

Electrical & Electronic 59 64

Flying high Buhler Motor Harnessing the future PKC Group


VOL 23/7

Above: Power-One p68

Energy 68 73 76

Energy storage solutions Power-One Energy from biomass Schnell Motoren First on the grid Woodward Kempen

Food 80

Flavour of success Pågen

Heavy Vehicles 84

Leader in special-purpose truck bodies IGLOOCAR

HVAC Above: Ljunghäll Group p36 Below: Nopa Nordic p48

87 90

Complete heating solutions Galmet Maximum comfort, minimum energy Ariston Thermogroup

Above: Pågen p80 Below: FAT p102

Metals & Metalworking

Below: Buhler Motor p59

94 98 102 106 110 114 118 122 127 130 135 138

Steel forgings for global markets ACSA Steel Forgings Global expansion Bodycote Lathes of the highest quality FAT Rooted in the past, focused on the future Forgital Group

From strength to strength Laxcon Steels Innovators in high grade steel Nedstaal Cutting-edge sand-casting solutions Thoni-Alutec Strength in a group COLOREX Group Specialists in hydraulic valve blocks Brinks Metaalbewerking

A pioneer in coatings Oerlikon Balzers Masters of sheet metal machinery Petersen Machinery Mighty light MWS Industry Holding

Pharmaceuticals

Above: Amber Composites p144 Below: RAY p156

141 Health and wellbeing straight from the Tuscan hills ABOCA

Plastics 144 Commercial composite strength Amber Composites

Telecoms 148 Making connections GN Netcom

Also in this issue... 151 156 160 164

On your bike Giant Winning formula RAY Superior sanitary solutions Kolektor Liv Water treatment solutions Ovivo Industry Europe 5


COMMENT

BILLJAMIESON

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Executive Editor of The Scotsman

Waiting for the German watershed With the German elections out of the way, will the EU forge ahead with banking union? Probably not.

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unday September 22 is the date ringed in red across the diaries of Europe. This is the date of the German federal election, widely regarded as a watershed event. Some are minded to view this as the trigger for long-delayed progress towards banking union, and it is likely to be preceded by improving news from the eurozone’s stricken economies. A date, then, to which we can look forward with hope. But there is another view. The weeks before the vote will be the calm before the euro crisis re-emerges, and with unsparing fury. Which view will prevail? Since June of last year, when a banking union was first mooted, a comatose calm has settled over grandiose plans for Genuine Economic and Monetary Union. Under this, national taxpayers would no longer be on the hook for the debts of their countries’ banks. Instead, there would be an arrangement by which the costs arising from bank failures would be somehow spread across the euro zone. Note the word ‘somehow’. It has so far defied all attempts at definition. Soothing rhetoric has emanated from those charged with bringing these plans to fruition – senior officials at the European Central Bank; Hermann Van Rompuy, the president of the European Council and sundry high powers at the European Commission. Banking union, went the cry, was the key to underpinning the euro and everything it represents. Yet for all the rhetoric, little progress has been made. Accelerated integration remains the radiant ambition, the rainbow across which Europe would progress to a political and economic Valhalla. Unfortunately for the project’s promoters, every time the financial and political implications are considered, the end of the rainbow slips further from reach. ‘Club Med’ governments are ferociously resistant to the loss of control over their banking systems. Germany and northern European countries are bent low with bail-out fatigue. 6 Industry Europe

Agreement has been reached on a plan for a Single Supervisory Authority, with the aim of having this in place by end 2014. But where is the meat in the sandwich – the entity, or cluster of entities, to be supervised? No progress has been made on this central issue. Governance of the eurozone is effectively moribund, with debt-stricken member states determined, despite the hardships and the strangling strength of the common currency, to remain in the club in the hope of bail-out support, and a sulphurous reluctance among northern members to provide anything of the sort until the keys of banking supervision and sovereignty are handed over.

‘Club Med’ governments are ferociously resistant to the loss of control over their banking systems. Germany and northern European countries are bent low with bail-out fatigue. Muddling on “It is reasonable to assume,” says Arbuthnot Securities economist Ruth Lea, that “this will remain the case… In other words, it is difficult to envisage further major integrationist steps in the eurozone, especially if they have financial implications… As a central case we believe that the eurozone will continue muddling through for the foreseeable future.” Muddling through – with years of solid practice eurozone leaders have certainly turned this into a high art. Can it be sustained? A major practical problem is that any central authority would need to have an emergency bail-out fund to hand, and this would have to be funded by contributions from participating

banks. But it would take considerable time for reserves to be built up in this way and payments could result in a diminution of funds for member banks to boost business lending and thus growth prospects. But a bigger issue is its constitutional propriety: Germany insists it would require a treaty change – and that is unlikely to go down well with other eurozone members who bristle at the notion of Germanic style oversight enshrined in law. The inescapable reality is that national banking systems are central to a country’s self-definition and strategically vital to its economy – even more so, the economist Stephen Lewis argues, than the coal and steel industries where the international pooling of control was the basis for the EU. “Without control of its own banks,” he says, “a government cannot be master of its own economy. It seems very unlikely any member state would tolerate the Commission’s closing down a bank that dominates its economy, without the final word remaining with its national government. Yet, if a national government is allowed to share with other eurozone countries the costs of resolving the problems facing its banks, its partners may have no means of defending themselves against open-ended demands for financial support.” What many Germans fear, and what is likely to colour arguments in the run-up to those elections on September 22, is that the risks to which they may be exposed by joining the proposed banking union would be so great as potentially to undermine their commitment to the euro arrangements in their present form. Chancellor Angela Merkel, to underpin her re-election prospects, may well be under pressure to give firm assurances that she will not agree to accepting such risks. The period between now and the elections is thus likely to be less a prelude to progress as optimists hope, than a lull before n yet more euro storms.


USA

JAMESSRODES

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Veteran commentator on Washington & Wall Street

Losing traction on the uphill climb There are worrying signs that the US recovery is stalling, along with the Democrats’ hopes.

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resident Barack Obama spent most of this midsummer trying to recapture his post-election traction with a series of dramatic campaign speeches on economic growth and jobs creation that took him to all corners of the United States. The trouble has been that the American economy does not seem to want to cooperate. The mood among the team of presidential advisers is becoming increasingly edgy. By Mr Obama’s own reckoning he has just about 1200 days left in his second term in office. That is scant time for him to put in place his ambitious program for economic growth, wealth redistribution and environmental improvement and all of those goals are dependent on a steadily upward trend in the economic recovery. But that is not happening. Worse, there have been signs throughout the summer that important sectors of the economy have begun to stall or even recede a bit. We are approaching the fifth anniversary of the Great Recession of 2008 and while there have been bright spots in the recovery, a general return to prosperity—and full employment—which was pledged during both of Mr Obama’s election campaigns is just not happening. Earlier this year there were wishful forecasts by business economists and presidential staff that better than two per cent growth rates in gross domestic

product would gain steam during the final quarters of this year and trend beyond three per cent through 2014. This mind-set was not frivolous at all. Business executives and White House advisers put big bets down on that forecast. The 2014 period is especially fraught for all concerned. Business expansion plans – inventory controls, hiring policies, marketing strategies – must be in place already for next year. As for Mr Obama, the 2014 election campaigns have begun already. Republican opposition now stands poised to increase its dominance in the US House and could actually wrest control of the Senate from the president’s Democrats. Such an event would politically neuter Mr Obama for the remaining thousand days of his term and spell disaster for any Democrat – say the inexorable Hillary Clinton – who hoped to succeed him in 2016. Such a disaster must be prevented, hence the arduous campaign among the electorate to boost general support for Mr Obama’s program. But enthusiasm is hard to generate in the face of a moribund reality. Even White House economists are now saying the economy will not have expanded at the 1.9 per cent annual GDP rate during the April–June quarter and will be lucky to have grown by 1.5 per cent. Most business economists now warn the real growth rate may have fallen below 1.0 per cent, for

the second time in the last nine months. Even the most optimistic government analysts concede that the rest of 2013 will see total growth at below 2 per cent for the full year. There are bright spots to be sure. Wall Street shares are up by 20 per cent on average this year. The disaster in the housing market has seen an uptick and purchases since the spring; but 20 per cent of the housing available is vacant and home values are still 20 per cent less than they were at their peak. And to be rather cold-eyed about it, America is still in much better shape than Europe has been and appears more resilient and stable than some of its other trade partners – China, India, Brazil, to name three. The contraction in the once booming growth rates that these three and other emerging marketplaces have suffered recently has had a drag on America as well. US exporters and manufacturers have been hit hard by weak overseas orders.

Poor and angry At home, consumers have cut back what had started out as an encouraging spending trend, in part because many of the Bush era tax cuts expired and Mr Obama refused to extend them. Those taxes plus the notorious budget ‘sequester’ of major government programs has sharply curtailed the stimulus of government jobs and government spending programs.

These are drags on growth that have already occurred. But there is perhaps worse in the offing. Faced with declining tax income and extravagant government employee pension obligations – not to mention ingrained municipal corruption – the once giant metropolis of Detroit has gone into receivership; other major US cities are tottering on the brink. Government worker unions are outraged at the threat to the benefits that this retrenchment implies and increasingly blame Mr Obama for not interceding. The net result is that much of the Democratic Party’s firm political base – the middle class, union, factory job holding middle class – is turning dangerously radical. There are now a record 46.2 million Americans who are counted as poor in the United States – that is they live in a family of four with a total annual income of less than $23,000. That number is certain to grow as older citizens, who once had larger incomes, try to exist on ever decreasing pensions and rising healthcare costs. These people were once the backbone of the Democratic Party, starting with Franklin D. Roosevelt’s New Deal more than 70 years ago. Now they are poor and angry. Someone is going to pay for that anger in the 2014 election contest that is already under way. Mr Obama will have to do more than just make speeches n if he is to survive. Industry Europe 7


TAKING THE HIGHMARGIN ROAD The European chemical industry is confronted with the prospect of a long wait before it returns to the growth rates in output it enjoyed before the 2008 financial crisis. Sean Milmo reports.

E

urope’s production of chemicals was still in the second quarter of this year around 8 per cent below its peak in early 2008 and was looking unlikely to climb back above the level of 5–6 years ago for some while. In late 2012 the European Chemical Industry Council (Cefic), the main trade association of chemical producers in Europe, was predicting a slight expansion of 0.5 per cent in output this year. But by June its forecasting panel had changed its position with a prediction of a 1 per cent decrease in output in the year mainly because of weaker than expected demand. It will be a second successive year of decline after production fell in 2012 by 1.7 per cent. Demand was particularly fragile in the first part of 2012 in the European Union’s construction and automobile sectors. Sales of new vehicles were being held back by high unemployment and low growth in incomes. The construction sector was still suffering 8 Industry Europe

from the effects of past speculative building keeping construction output at historically low levels. “The EU chemical industry is still facing headwinds from the weak European economy,” says Kurt Bock, Cefic’s president and chairman of BASF, Europe’s and the world’s largest chemical company. “The chemical industry (also) continues to be exposed to strong international competition.” In the first five months of 2013 EU chemicals production went down by 2.1 per cent compared with the same period in the previous year, according to Cefic. However there were signs of a pick-up. In May the monthly output grew by 2.7 per cent compared to April. Confidence among EU chemical companies significantly improved in June, according to Cefic. The association is expecting that a rise in demand in the second half of the year will continue into 2014 with a strengthening of

industrial production in Europe after two years of weakness. As a result it is expecting growth in production of 1.5 per cent next year. Among the main chemicals segments in Europe, fine and speciality chemicals are expected to expand by 2 per cent in volume terms and consumer chemicals by 1.5 per cent. Petrochemicals production will go up by 2 per cent and inorganic basic chemicals by 1 per cent.

High margin opportunities The industry will be looking to the chemicals segments with higher added values to achieve stronger growth rates than over the last few years. Currently – and in the medium and long term – Europe does not have the low production costs and plentiful supplies of relatively inexpensive energy to give it major competitive advantages in the production of commodity chemicals on a world scale.


On the other hand it does have the technological and scientific knowledge and innovation expertise to be a global leader in high margin speciality chemicals. The competitive edge the European industry has in consumer and speciality chemicals is shown by the way they account for much – around 80 per cent currently – of the EU’s trade surplus in chemicals. This totalled €42 billion in 2011. Over the past few years the higher margin speciality and consumer chemicals have made up around 40 per cent of the EU’s total chemical sales of about €550 billion. These include consumer chemicals like soaps, detergents, perfumes and cosmetics with the specialities covering auxiliaries for industry, coatings and inks, crop protection products, dyes and pigments. Of the remaining 60 per cent of bulk chemicals, the biggest proportion is petrochemicals and the rest polymers and basic organics such as industrial gases and fertilisers. Since 2007, however, the best performing sections of the chemical industry in terms of sales have been the bulk chemical producers. Sales of petrochemicals and basic inorganic chemicals went up by 27 per cent in 2007– 2012 while total chemical sales increased by only 7 per cent. Much of the improvement in petrochemicals sales has been due to consistently high oil prices, despite the recession in the developed world. Also there have been shortages in capacity for some petrochemicals due to plant closures in Europe during the economic downturn.

Petrochemical prices have risen at a much higher rate than in many other chemical sectors. Sales of speciality and consumer chemicals have been more directly influenced by general economic trends. In the six years to 2012, EU sales of consumer chemicals decreased by 14 per cent and coatings and inks by 13 per cent while those of agrochemicals and colourants have been flat. Normally the outlook for higher-margin chemicals looks more promising when chemicals are combined with pharmaceuticals. This gives a truer picture of the industry because the vast majority of pharmaceuticals are based on chemistry. In 2012 pharmaceutical sales in the EU amounted to around 40 per cent of those for speciality and consumer chemicals. So when the three categories are brought together they account for close to 60 percent of the total with commodities making up the remainder.

Move to Asia However the pharmaceuticals’ share of this much larger cake has been shrinking as the European pharmaceutical multinationals move production to the emerging economies, particularly in Asia, and as European state-funded health services switch to low priced generic medicines to cut costs. Also a growing proportion of pharmaceuticals are now biotech-derived biopharmaceuticals. In the UK, which is one of Europe’s biggest producers of pharmaceuticals, the chemical industry has been hit by a slump in

the output of finished medicines which predominantly consist of chemicals. In 2012/13 UK production of pharmaceuticals, led by its two major international players GlaxoSmithKline (GSK) and AstraZeneca, was languishing at 15 per cent below the level of 2007. “The latest figures – for May this year— show output of UK chemicals going up by 2.5 per cent but pharmaceuticals production down by 6 per cent,” says Alan Eastwood, chief economist at the UK Chemicals Industries Association (CIA). “A lot of the final stages of pharmaceuticals production is being moved to Asia –to places like Singapore and Shanghai—so that it is closer to the final market. This is trend is having a big impact on original supply chains.” A report issued in July (2013) by the UK Chemistry Growth Strategy Group (SGCG), which includes representatives of the CIA, Royal Society of Chemistry (RSC) and the Institution of Chemical Engineers (IChemE), pinpointed the need for measures to deal with supply chains which had been ‘hollowed out’ by the recession. This had happened not only in commodity chemicals but also in pharmaceuticals and other highend segments. They have to be refilled or replacing by new ones based on innovative products, according to the report.

Corporate restructuring Some chemical multinationals in Europe have been taking a lead in this regenerative process through the restructuring of their companies to make them predominantly high margin operations. Industry Europe 9


Among the most radical in reorganising themselves has been Clariant, a Swiss chemicals producer with annual sales of around CHF 6 billion (€5 billion). Five years ago it was struggling with a portfolio with an average EBITDA (earnings before interest, tax, depreciation and amortisation) of less than 12 per cent of revenue. Now after taking over the German catalysts company Sud-Chemie and starting the process of divesting five low-margin activities, it has already raised its average EBITDA margins above 13 per cent and looks likely to reach a target of over 17 per cent by 2015. This will put it in the second quartile of international speciality chemical companies worldwide against being in the bottom quartile in 2008. It is transforming itself by concentrating its resources on growth sectors such as personal care chemicals, catalysis, energy storage and oil and mining services. It is concentrating its R&D on its competences in colourants, effect chemicals, formulation technologies, speciality polymers and surfactants. “We are increasing our value added by focusing on high margin segments,” Hariolf Kottmann, Clariant’s chief executive, told a recent media conference in Zurich. After acquiring the French speciality chemicals company Rhodia two years ago, the Belgian-based chemicals multinational Solvay has also created the foundations for high margins growth. Out of total sales of €12.4 billion last year, three of its four main operating segments – consumer chemicals, advanced materials and performance chemicals – accounted for 92 per cent of REBITDA (operating result before depreciation and amortisation, non-recurring items, financial charges and income taxes) on sales of €8.4 billion, or 67 per cent of the group’s total. The three had an average REBITDA margin of 22 per cent. 10 Industry Europe

The fourth segment, functional polymers comprising mostly commodities like vinyls and polyamides, had a REBITDA margin of 7 per cent on total sales of €3.8 billion. The company earlier this year took the first step in easing the burden of its low margin bulk chemicals when it started the divestment of its vinyls business, representing 10 per cent of total sales, by placing it in a 50/50 joint venture with Ineos with annual sales of €4.3 billion. In three years its partner will be taking 100 per cent control of the operation. “Cycle sensitive activities will represent, once the JV is in place, less than 4 per cent of our consolidated REBITDA,” Jean-Pierre Clamadieu, Solvay’s chief executive, told an analysts conference call. “This will impact our financial profile quite significantly in terms of the quality of our portfolio.” The deal highlighted the extent of consolidation likely to continue among Europe’s leading commodity and speciality chemicals

producers. The vast majority of these are multinationals serving global markets. It is Europe’s large international companies which are setting the pace in developing and commercialising new chemistries. Solvay and Bayer’s Bayer MaterialScience (BMS) have, for example, showcased Europe’s pioneering of advanced materials through their contributions to the light-weight structures and components in Solar Impulse, the world’s only solar-powered aircraft. But the major challenge will be establishing new supply chains which will involve, in the new innovative technologies, large numbers of the SMEs accounting for the vast majority of chemical businesses in Europe. As the CGSG of the UK pointed out in its report, they have to benefit more from R&D activities, technology transfers and new links between suppliers and customers as Europe’s chemical industry becomes more of a knowledgen based, high-margin sector.

Kurt Bock, Cefic’s president and chairman of BASF

Hariolf Kottmann, Clariant’s chief executive


NEWS

INDUSTRYNEWS

New developments in the Chemical industry

BASF to increase global capacities CNOOC selects INEOS Technologies’ Innovene for butanediol and PolyTHF

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ASF will increase its global capacities for producing the chemical intermediate 1,4-butanediol (BDO) and the BDO derivative PolyTHF® (chemical name: polytetramethylene ether glycol, PTMEG) within the coming two years. BASF’s annual BDO

capacity will rise from 535,000 to 650,000 metric tons, its annual PolyTHF capacity from 250,000 to 350,000 metric tons. With respect to PolyTHF, BASF had already announced a capacity increase from 185,000 to 250,000 metric tons per year in August 2012. This expansion of production capacities includes investments in the double-digit million euro range to increase capacity for BDO operations at BASF’s Geismar, Louisiana, site, and for PolyTHF operations at the Caojing, China, site. A further capacity increase will be a BDO and a PolyTHF plant located at Korla, China. These plants will be built by two joint venture companies established by BASF and Xinjiang Markor Chemical Industry Co. Ltd. The plants will be capable of manufacturing annually 100,000 metric tons of BDO and 50,000 metric tons of PolyTHF. They are expected to begin operations in 2015. Visit: www.basf.com

Dow announces mechanical completion of first acrylic monomer plant in the Middle East

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he Dow Chemical Company has announced the mechanical completion of the first acrylic monomer production facility in the Middle East. The Saudi Acrylic Monomer Company (SAMCo) joint venture plant in Al-Jubail, Saudi Arabia, provides the company with advantaged feedstocks to fuel Dow’s production of acrylic emulsion polymers for applications such as coatings and adhesives. The plant will also allow for more reliable and efficient supply to customers in the Middle East and Asia-Pacific. Dow acquired a joint venture stake in SAMCo with Tasnee Sahara Olefins Company in 2009. The new plant will produce Glacial Acrylic Acid (GAA) and Butyl Acrylate (BA) to fuel regional, global and captive demand. Tasnee will market the products in the Gulf Cooperation Council (GCC) countries and Dow will market them throughout the rest of the world. Visit: www.dow.com

Borealis, Borouge and NOVA Chemicals at the K 2013

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he three polyolefin producers are among the world’s leading providers of chemical and innovative plastics solutions, and are part of the International Petroleum Investment Company (IPIC), OMV and the Abu Dhabi National Oil Company (ADNOC) family of companies.

Whilst operating as separate entities, the combined presence of Borealis, Borouge and NOVA Chemicals at K2013 clearly demonstrates the future opportunities and value created through continuous investments. “By coming together at K2013, we have a unique opportunity to demonstrate the benefits of our technologies, the diverse markets and applications we serve and

S HDPE process

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NEOS Technologies has licensed its Innovene S Process for the manufacture of medium density and high density polyethylene to CNOOC Oil and Petrochemical Company Limited for its cracker complex located in Huizhou City, Guangdong Province of China. The 400 KTA Innovene S HDPE plant will produce a wide range of polyethylene grades to serve the growing HDPE demand in China. These grades include commodity grades made from Ziegler and Chrome catalysts as well as speciality grades such as bimodal PE 100 pipe products. Visit: www.ineos.com

SOCC begins tri-ethyl aluminium production in Saudi Arabia

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audi Organometallic Chemicals Company (SOCC), a 50-50 joint venture between Saudi Speciality Chemicals Company, a manufacturing affiliate of Saudi Basic Industries Corporation (SABIC), and Albemarle Netherlands BV, a wholly owned subsidiary of Albemarle Corporation, has started up its aluminium alkyls facility in Jubail, Saudi Arabia. The facility will manufacture 6000 metric tons annually of tri-ethyl aluminium (TEA), used as a co-catalyst in the plastics industry. An ultra-low hydride grade of TEA (TEA-ULH) will also be produced at the SOCC plant. Mohamed Al-Mady, SABIC vice-chairman and CEO, commented, “The SOCC start-up is yet another milestone in SABIC’s growth strategy in a highly competitive plastics market.” Visit: www.sabic.com

our global reach,” says Wim Roels, CEO of Borouge. “There are many ways in which we create value for our customers, through our commitment to growth, innovation and sustainability. We look forward to the continued strengthening of our relationships.” Visit: www.borealisgroup.com www.borouge.com www.novachemicals.com Industry Europe 11


NEWS

New developments in the Chemical industry

Tessenderlo Group completes sale of its compounds activities

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essenderlo Group has completed the sale of its Compounds activities to Mitsubishi Chemical Corporation, a global industrial company already present in the compounds industry. The sale comprises four production sites in France, Poland and China and one R&D site in Belgium, employing 360 people. This divestment is in line with Tessenderlo Group’s strengthened focus on speciality products and services in the areas of food, agriculture, water management and valorising bio-residuals. The divested activities produce thermoplastic elastomers (TPE) and PVCs Compounds that are specially formulated for applications in the building, automotive, cabling and many other areas. Its revenue amounted to €124 million in 2012. Visit: www.tessenderlo.com

SIBUR and Linde to build new air separation unit in Dzerzhinsk

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IBUR, a Russian gas processing and petrochemicals company, and Linde Group, a German Technology company, have signed agreements to build and operate new air separation units in Dzerzhinsk, the Nizhny Novgorod Region. On a long-term basis, SIBUR will provide Linde with a leased site and power supply while Linde, in its turn, will supply technical gases to SIBUR. In an initial step Linde will assume responsibility for SIBUR’s existing air separation unit at its Dzerzhinsk site. As part of the next step Linde will build a new air separation unit, which will be operated by Linde’s Gases Division. Visit: www.sibur.com and www.linde.com

Evonik celebrates laying of the foundation stone for Biolys® plant in Russia

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ssen, Germany-based Evonik Industries is progressing according to plan with the extension of its core business of amino acids for animal feed. Recently, in Volgodonsk (Rostov region, Russia), the foundation stone for the new Biolys® plant

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BP gets government go-ahead for PTA Plant in Zhuhai, China T

he ‘Zhuhai 3’ plant will have a capacity of 1.25 million tonnes per year and is expected to start up in late 2014. PTA is an important feedstock for polyester used worldwide in food packaging and textiles. Nick Elmslie, chief executive of BP Global Petrochemicals said: “This plant will be using BP’s latest proprietary technology and should make BP Zhuhai the most competitive PTA producer in the world. As one of the largest PTA producers in the world, our aim is to invest continuously in the right projects as well as invest to improve the competitiveness of our PTA sites and PTA joint ventures globally.” Mark Wilson, president of Aromatics Asia and China Olefins & Derivatives, added: “Zhuhai 3 will be the first to employ BP’s latest generation PTA technology. This should deliver a step change in environmental performance, reducing both greenhouse gas emissions and other waste streams significantly.” Visit: www.bp.com

Borealis to invest €65 million in Porvoo Borstar PE plant

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orealis, a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilisers, has announced a major upgrading project at its production site in Porvoo, Finland. An investment of €65 million will serve to upgrade the Borstar PE2 plant technology to the third generation (3G), thereby extending the Borstar PE platform. This investment follows on the heels of one announced earlier this year, namely the €25 million investment in the installation of a new hot oil heater unit at the phenol complex of the Porvoo plant. Borstar® is the cutting-edge technology which supports the production of a wide range of enhanced polyethylene (PE) and polypropylene (PP) products. With this most recent investment, Porvoo will be able to commercially exploit this proprietary technology at an even higher level by offering improved product properties as well as a broader operating window. Visit: www.borealisgroup.com was laid in the presence of the governor of the Rostov region. The plant will be constructed by the joint venture OOO DonBioTech, which belongs to the Russian Varshavsky Group and Evonik as a minority shareholder. The new plant will come on stream in 2015 and have an annual capacity for Biolys® of around 100,000 metric tons.

Biolys® is a highly efficient source of the amino acid L-lysine and is used as a feed additive in modern animal nutrition. Production in Volgodonsk is based on Evonik’s fermentation technology. Wheat from the Rostov region will be used as a raw material, which the joint venture will process itself. Visit: corporate.evonik.com


INDUSTRYNEWS

WACKER SILICONES focuses on Asia W ACKER SILICONES is intensifying the regional focus of its sales organisation, particularly in Asia, where a number of teams will be stepping up their efforts in regional markets. They will be supported by local technical centres, such as the centre in Seoul, Korea. Since March, five new business teams have been active in Asia, geared to providing customer support locally from WACKER sites in Singapore, Mumbai (India), Jincheon (South Korea) and Shanghai (China). The new teams are the next logical step in the division’s regionalisation strategy, launched in 2009. Each of these teams utilises not only local sales structures, but also region-specific technical centres, where products are adapted to local raw materials and

customer specifications. WACKER SILICONES supplies products to a wide variety of key Asian industries, ranging from personal care, textiles and paper to plastics processing. Visit: www.wacker.com

Solvay to build new vanillin production facility in China

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olvay is to build a new state-of-the-art facility to manufacture vanillin in Zhenjiang City, in China’s Jiangsu Province, boosting its production capacities by 40% and enabling the group to better serve the fast-growing Asian market. Solvay Aroma Performance is the world’s biggest producer of vanillin with facilities in Baton Rouge in the United States and SaintFons in France. Combined with the new plant in Zhenjiang, expected to be operational by the end of 2014, the company’s worldwide produc-

tion capacities for vanillin and ethyl-vanillin will expand significantly. Demand for vanillin in Asia is outpacing worldwide demand. With this new investment, Solvay Aroma Performance establishes a unique, sustainable and global industrial fully integrated vanillin platform, spread over three continents, and controls the entire production chain, from making the raw material catechol to flagship end products like Rhovanil® vanillin. Visit: www.solvay.com

AkzoNobel and Solvay partner to expand sustainable raw materials in coatings

Under the terms of the deal, AkzoNobel will progressively increase the use of Solvay’s bio-based epichlorohydrin, or Epicerol®, which is already contained in many of the company’s resins for its coatings products. The agreement underlines the commitment of both parties to play a key role in sustainable development and expand the use of renewable raw materials.

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kzoNobel and Solvay have signed a three-year agreement whereby AkzoNobel will increase the use of renewable raw materials in its paints and coatings, building on an existing partnership between the two companies.

Rusplast becomes new distributor for Victrex in the CIS Region

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usplast, a Moscow-based supplier of polymers, has been appointed to distribute the highperformance products of Victrex Polymer Solutions – including VICTREX® PEEK polymer – in Russia, Belarus, Ukraine, Kazakhstan and other countries of the Confederation of Independent States (CIS). “Rusplast is one of the few distributors in the region with experience in high-performance polymers. The company not only offers high quality logistics services, but also functions as a solution provider, advising industrial customers on engineering plastics applications. They are an ideal partner for us in this growing market,” said Steffen Germer, distribution manager at Victrex. Visit: www.victrex.com

Kemira completes expansion of its hydrogen peroxide plant in Uruguay

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emira has successfully completed the expansion of its hydrogen peroxide plant in Fray Bentos, Uruguay. Hydrogen peroxide is produced in one of the most modern chemical islands built and operated by Kemira since 2007. The project was carried out from April 2012 to June 2013. “We finalised the expansion in the planned schedule and the capacity was increased by 65% which allows us to serve the growing demand of the product in the regional pulp market,” says Pedro Cirillo, director of Kemira Uruguay. “This investment is well aligned with Kemira’s strategy to grow in pulp chemicals, in South America,” concludes Hilton Casas, president of the Region South America. Visit: www.kemira.com

Developed and patented by Solvay, Epicerol® is the process used to produce bio-based epichlorohydrin from renewable glycerol. Epicerol® has a substantially lower carbon footprint compared with most fossilproduced epichlorohydrin. By 2016, AkzoNobel aims to source 20% of its total epichlorohydrin demand as bio-based material. Visit: www.akzonobel.com Industry Europe 13


FLIGHT OF THE STARSHIP A 6503km flight without using a single drop of fuel: mission accomplished for Solvay Chemicals and Solar Impulse!

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the beginning of July the solar powered aircraft Solar Impulse completed its coast-to-coast flight across the USA when it touched down in New York. Solar Impulse is the world’s only solar-powered aircraft capable of flying day and night without burning a single drop of fuel and without generating polluting emissions. It is the fruit of nine years of unfailing support, joint initiative and shared emotions backed up by research & development focused on transforming this ambitious project into a reality. The aircraft’s coast-to-coast flight across the United States from east to west took it from San Francisco to Phoenix (Arizona), Dallas (Texas), St Louis (Missouri), Washington and finally to New York. Welcoming the crew in New York, JeanPierre Clamadieu, chairman of the executive committee of the international chemical group Solvay, said, “My first words are for 14 Industry Europe

Bertrand Piccard and André Borschberg. It is with great pleasure that we welcome them in triumph at the end of an outstanding scientific and human adventure that we have actively supported over the past nine years. Because we share the same values, because we are determined to contribute to a better future, we are proud to have played a part in the success of this project. We are already prepared to support Bertrand Piccard and André Borschberg in their forthcoming challenge to fly around the world in 2015. I would like to thank the Solar Impulse teams for making our dreams come true.” Solar Impulse completed its first international flight, from Switzerland to Belgium, in May 2011, during which it was airborne for 13 hours. Its first intercontinental solar-powered flight took place in June 2012 when the project’s founder and pilot Bertrand Piccard flew in 18 hours from the Madrid-Barajas

airport in Spain to the Rabat-Salé airport in Morocco. Solar Impulse performed a zero fuel speed record on the distance of about 800 kilometres between Madrid and Rabat.

A flying laboratory It was in 2004 that Solvay became the first, and the principal, partner to believe and invest in this ambitious project. It decided early on to offer its full, enthusiastic support by mobilising the skills of its engineers and researchers in the group’s main European laboratories. For nine years now several dozen of Solvay’s chemists and physicists have been contributing from Belgium, Germany, Italy, and the United States. In this way, the Solar Impulse initiative has benefited from Solvay’s expertise in materials and alternative energy sources. From the first, the group decided to make Solar Impulse a flagship project, a veritable ‘flying laboratory’ with, first, its search for


innovative solutions to enable the aircraft to operate as designed and, second, with experimentation in extreme in-flight situations conducted to test these solutions. Jacques Van Rijckevorsel, a member of Solvay’s executive committee, was successful in convincing the executive committee and the board of directors to support the Solar Impulse initiative from the very outset at a time when the solar-powered plane only existed in Bertrand Piccard’s imagination. He explains his commitment: “I immediately saw that Solvay had an important role to play. Our activities consist in imagining and creating new materials, and Solar Impulse has become a fantastic showcase of our expertise. This project is also an exceptional unifying force for our teams and provides a perfect illustration of our motto ‘Asking more from chemistry’. This is because Solar Impulse is not just an aircraft; it is primarily a message of confidence in Man’s ability to excel, to transcend the limits of the impossible.” All in all, Solvay is present in Solar Impulse through 11 specific products, a score of applications, and nearly 6000 individual components. Crucial to the project are the group’s innovations in advanced technical solutions for renewable energy, energy storage, insulation and lightweight materials. Solvay’s contribution to the Solar Impulse is based on research into innovative materi-

als and technical solutions, the replication and simulation of their behaviour in extreme environments, their technical evaluation and the conducting of a series of tests. More specifically, Solvay’s technical partnership with Solar Impulse, involving both the Chemicals and Plastics divisions, focuses on the following areas: • research into optimum solutions and materials, especially through the definition of composite structure materials and highperformance plastics for metal replacement • production and/or selection of high performance polymers for critical applications (watertight joints, lubrication, etc…) • methods of encapsulating and assembling photovoltaic cells using the structural material selected for the plane • research into the production and utilisation of appropriate photovoltaic materials • solutions for improved (Ion-polymer) batteries • selection of high-performance thermal insulation materials parts • mechanical evaluation and testing of materials in extreme conditions • non-linear numerical simulation using software adapted to suit large-scale projects Solvay’s expertise, solutions and ultrahigh performance polymers have generated the components without which this first exploit would not have been possible. This unique partnership between a major player in the global chemical industry and

Bertrand Piccard and André Borschberg, the originators of the project and pilots of the plane, will lead to major advances in science and technology. The solutions developed by Solvay and tested by Solar Impulse should find a host of future applications in solar panels, batteries for computers and mobile phones, onboard aircraft equipment, home insulation, ground transportation, consumer electronics, etc. “Throughout the 20th century, aviation was the undisputed symbol of progress, innovation and the pioneering spirit – the qualities that transformed our world,” said Bertrand Piccard, founder and president of Solar Impulse : “And it should continue to play that role today, promoting optimism in society and a commitment to adopting solutions that will allow us to reduce our n dependency on fossil energy.” www.solarimpulse.com

Industry Europe 15


NEWS

New contracts and orders in industry

Parker Hannifin chooses HANZA for cable harnesses and sheet metal parts

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June a major agreement was signed between the companies for the production of cable harnesses and sheet metal parts in HANZA’s factory in Tartu, Estonia. After an extensive evaluation process, Parker Hannifin Electronic Controls Division has chosen to appoint HANZA a preferred supplier for cable harnesses and sheet metal parts to coordinate all volumes from the division in Europe. “HANZA have shown that they have the will and the ability to develop,” says Claes Oskarsson, division supply chain manager Europe, Parker

Hannifin ECD. “It is an important parameter for us in the Parker Group to develop long-term relationships with our manufacturing partners.” “It feels great to be partnering with such a prestigious customer in this area,” says Gerd Levin-Nygren, division manager HANZA Electronics. “Our acquisition of the international cable harness group Alfaram put us on the map for many potential customers as we can now offer production in Estonia and Poland as well as in Slovakia and China.” Visit: www.hanza.com

Dunlop wins Flybe E-Jet tyre deal

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lybe, Europe’s largest regional airline, has built on its long-standing relationship with Dunlop Aircraft Tyres by selecting the Birmingham-based company to support its expanding fleet of Embraer jets. Dunlop has won an exclusive five-year deal to supply new and retreaded nose and mainwheel tyres for Flybe’s fleet of Embraer 175 aircraft and radial nosewheel tyres for the carrier’s Embraer 195s. Flybe operates 14 Embraer 195s and has so far taken delivery of nine Embraer 175s, with a further 26 of the aircraft on firm order. “For many years we have supported Flybe with tyres for its large fleet of Bombardier Q400 turboprops,” said Dunlop Aircraft Tyres’ chairman, Ian Edmondson. “This significant contract to provide tyres and retreading for the airline’s fleet of regional jets further strengthens our market-leading position on Embraer E-Jets.” Visit: www.dunlopaircrafttyres.com

Alfa Laval wins SEK 170 million marine environmental order

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lfa Laval has won an order to supply Alfa Laval PureSOx exhaust gas cleaning systems for retrofit installation onboard vessels. The order has a value of approximately SEK 170 million. “The order proves that Alfa Laval’s scrubber technology is an attractive solution to 16 Industry Europe

ship owners that need to comply with IMO’s convention for the reduction of sulphur oxides, be it for retrofits or for installation onboard new vessels” says Lars Renström, President and CEO of the Alfa Laval Group. IMO’s convention for the reduction of sulphur oxides (SOx) will affect all vessels, i.e. new as well as existing. The convention demands that sulphur emission levels in

Alstom to produce trams in Ukraine

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lstom and its Russian joint-venture, TramRus, have concluded an agreement with City Transport Group, a filial of the LAZ Group and the main bus manufacturer in Ukraine, to produce modern high speed tramways for the Ukrainian market. 80% of the trams currently in operation in Ukraine (2500 15-metre long trams) are obsolete. The replacement of the fleet will enable urban rail transport efficiency and passenger comfort to be increased. The objectives of this partnership are to organise manufacturing, operation and maintenance of modern tramways by City Transport Group in Ukraine under licence from TramRus. Based on Alstom’s flagship model Citadis, this tramway was specially designed for the CIS market. Suited to the 1524mm gauge of the region, the Citadis CIS is winterised to withstand temperatures as low as -40°C. It is equipped with new innovative pivoting bogies to fit the existing rail networks, thus reducing implementation time and infrastructure related costs. This new tramway model features state-ofthe-art engineering solutions such as composite materials reducing energy consumption by 10%. Visit: www.alstom.com certain Emission Control Areas (ECAs) shall be cut to 0.1% from year 2015 and that the global emission level must not exceed 0.5% from the year 2020. To reach these levels ship owners can either use more expensive low-sulphur fuel or, on vessels where it is suitable, continue run the ship on heavy fuel oil and invest in a scrubber such as the Alfa Laval PureSOx. Visit: www.alfalaval.com


WINNINGBUSINESS Panasonic solar panels chosen for German Federal Environment Agency

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anasonic has announced that its ‘HIT’ Solar Panels were chosen for the new offices of the German Federal Environment Agency. The new building at Berlin-Marienfelde will have its grand opening on August 30, with the ministry’s staff moving into the new sustainable offices in September. When the Federal Bureau for Building and Regional Planning agreed to add an annex to the Federal Environment Agency’s offices, it set a strict energy-saving requirement: a ‘net zero building’ expected to generate all the necessary

energy by itself. Panasonic is confident that its ‘HIT’ solar modules will achieve this goal. The ‘HIT’ solar cell is made of a thin monocrystalline silicon wafer surrounded by ultra-thin amorphous silicon layers. This product provides the industry’s leading performance and value based on the state-of-the-art manufacturing techniques.

 Project leader Oliver Nienaber explains, “We estimated the required energy output to be around 46,000 kWh/year. Therefore we were looking everywhere for solar panels that could supply this

amount as well as being suitable for the limited roof space. In that sense, ‘HIT’ products were the only panels that could meet our requirement.”
 Visit: www.eu.pansonic.com

SKF signs long-term contract with Turbomeca

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SAS signs contract with Airbus S

AS and Airbus have signed a Memorandum of Understanding for the order of eight new A350-900 XWB and four A330-300 Enhanced. The agreement marks the launch of SAS’ long haul strategy of an extensive fleet renewal plan, options for more aircraft and a total upgrade of passenger cabins on existing fleet. SAS recently launched a completely new service concept to create the most modern flight experience for our customers. The customer offer is backed by a comprehensive fleet renewal plan with 65 short haul aircraft already announced and initiated, now complemented with an extensive long haul fleet plan. Key deliverables within the strategy 4Excellence Next Generation have paved the way. “We are delighted that SAS has underscored their confidence in Airbus by selecting our A330, which offers unbeatable economics and the highest level of operational reliability alongside the A350 XWB, the world’s most technologically advanced and efficient aircraft,” said John Leahy, Airbus chief operating officer, Customers. Visit: www.airbus.com

Peab to rebuild Olympia in Helsingborg

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eab has been contracted to carry out reconstruction of the football stadium Olympia in Helsingborg. The client is Kärnfastigheter in Helsingborg and the estimated contract amounts to SEK 230 million.
The project includes remodeling, additions and new construction of a

27,000m2 stadium including unheated public areas.
 The contract is a turnkey contract in collaboration, where work will commence immediately with stage 1, then the application and target price are to be produced. Construction will commence immediately after the 2013 season is finished and the new Olympia will be ready for use in Autumn 2015.

KF has signed a long-term contract for around SEK 900 million with Turbomeca, a division of the French-based Safran. The contract includes the supply of bearings for the latest Turbomeca engine, Arrano. “The bearings used within a helicopter engine are key components that contribute to reduced wear, increased longevity and overall engine performance. SKF is proud to gain this business which is a clear sign of new confidence demonstrated by Turbomeca and will strengthen our partnership,” says Stephane Le-Mounier, director SKF Aerospace. “We are pleased to sign this contract with SKF, which is positioned as a partner in the field of innovation, as well as operational performance. This contract exemplifies our strategy to identify key suppliers, to involve them in advanced developments and as a result get a long-term commitment,” says Olivier Andriès, CEO for Turbomeca. The new Arrano, 1100 HP engine is designed to equip four to six ton helicopters. It will offer 10–15% lower fuel consumption, contributing to improved performance (range and payload) and reduced environmental footprint. Visit: www.skf.com

“We are proud and excited to have the opportunity to provide Helsingborg with a facility that corresponds to the desire for a modern Olympia. HIF will be difficult to beat at its new home in the future,” says Peab regional manager Bratislav Marjanovic. Visit: www.peab.se

Industry Europe 17


NEWS

Combining strengths

DSV acquires Airmar Cargo

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SV signed an agreement to acquire its exclusive agent in Colombia, Airmar Cargo SA. This transaction will strengthen DSV’s foothold in the South American market, by adding 60 employees and 4 branches (in Bogotá, Medellin, Cali and Cartagena) to its network. By entering the Colombian market, DSV is now present in 75 countries globally. Airmar Cargo SA was founded in 1997 in Bogotá. It is the leader in the seafreight forwarding export market from Colombia to the Central American and Caribbean countries and DSV’s

exclusive agent since 2009. It achieved in 2012 a gross turnover of 8 million USD. “It makes perfect sense for DSV to be present in Colombia, which has the third largest population in Latin America after Brazil and Mexico, and which is the fourth largest economy in the region. It is also for us a stepping stone into Central America. We have known Airmar Cargo and the quality of their service for many years and are very happy to bring their very professional team on board the DSV group,” says Jens Bjørn Andersen, DSV Group CEO. Visit: www.dsv.com

Concentric completes acquisition of Licos C oncentric AB has completed the acquisition of Licos Trucktec GmbH, a leading producer of water pumps and electromagnetic fan clutches for the truck industry, for €9.25 million. The acquisition will broaden Concentric’s product portfolio in a growing niche, the semi-variable water pump, and presents an opportunity to leverage Concentric’s position in the US for Licos electromagnetic fan clutches. David Woolley, CEO of Concentric, comments: “Licos is a perfect strategic fit for Concentric, as their controllable water pump complements our own fully-variable technology, enabling us to offer customers a full range of water pumps to meet every need. Concentric will also gain access to Licos know-how in the field of electro-magnetic and friction clutch technologies. Licos in turn will benefit from a growing range of opportunities within the successful and expanding Concentric family.” Controllability is an increasingly important driver within the commercial diesel industry and Licos clutch technology has potential applications across the range of Concentric’s oil, water and hydraulic pumps as well as in fans and compressors. The Licos combination of magnetic and friction clutch technology makes it possible to achieve zero-loss performance at high load conditions. Visit: www.concentricab.com

FM Logistic to purchase McLane

Probi and BiO-LiFE start probiotic partnership

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ROBI AB, a leading probiotic research and development company from Sweden, and BiO-LiFE, a healthcare company in the fast growing Asian vitamin and dietary supplements category, signed a partnership agreement for the launch of a probiotic product in Malaysia during the second half

18 Industry Europe

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Logistic and McLane Company Inc. have come to an agreement on the purchase of the logistics subsidiary of McLane in Brazil. The acquisition of McLane’s Brazilian logistical division by FM Logistic marks a new stage in FM Logistic’s strategy for external growth, coming just one month after the acquisition of Univeg Logistics Russia by FM Logistic. The Brazilian subsidiary of FM Logistic is to be known as FM Logistic do Brasil, or FM Brazil. Under the FM Logistic do Brasil name, FM Logistic will operate

in the Latin American country out of four sites covering an area of over 200,000m2, with more than 1150 employees and a turnover of €47 million (2012 figures). “Logistics is a major issue in the Brazilian market. Demand is high, and the ability to provide an effective response is a strategic requirement for the development of the country. Our customers tell us that, [and] that is what is behind our decision,” explains CEO Jean-Christophe Machet. Visit: www.fmlogistic.com

of 2013, with the intention of expanding into other countries in South East Asia. PROBI and BiO-LiFE have signed a longterm agreement to partner for the branding and launch of PROBI’s Lactobacillus plantarum 299v (Probi Digestis®), a clinically documented probiotic product within the gastrointestinal field. BiO-LiFE will provide co-branding, product launch services, sales,

marketing and technical services in the local market. “BiO-LiFE is our partner of choice, thanks to brand longevity in a key Asian market and their deep industry expertise. The BiO-LiFE brand has a very successful track record of promoting clinically proven Probiotic supplements,” says Gun-Britt Fransson, Interim CEO, Probi. Visit: www.probi.se


LINKINGUP Aker Solutions acquires UK engineering company I.D.E.A.S

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New strategic partnership for Alcatel-Lucent Enterprise and TClarke

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lcatel-Lucent Enterprise has announced a new strategic partnership with TClarke, one of the UK’s leading building services contractors, to offer an end-to-end voice and data solution as an integral part of TClarke’s Intelligent Buildings offering. In selling, servicing and supporting Alcatel-Lucent Enterprise solutions, TClarke will open up new opportunities within the building services market segment through its focus on the design, through to maintenance, of data centres. TClarke’s Intelligent Buildings division delivers all of the IP-based ‘active’ systems that sit on the cabling within a building – from lighting control and CCTV to telephony and Audio Visual capabilities. All of these elements can contribute to a customer’s power consumption levels, and TClarke’s expertise in reducing emissions was a key element in the decision to partner with AlcatelLucent Enterprise based on this shared focus on lowering power consumption and overall TCO. The new offering will also enable TClarke to better serve its customers throughout the entire project. The partnership will eliminate the common problem of having too many parties involved in a project and as such, will add a huge advantage to customers in making the entire design process, build and ongoing maintenance much simpler. Visit: www.alcatel-lucent.com

DSM partners with ERDA in India

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oyal DSM, the global Life Sciences and Materials Sciences company, announces it has signed a Memorandum of Understanding (MoU) with the Electrical Research & Development Association (ERDA), a cooperative research institution created by the Indian electrical industry and utilities, to cover basic research in the field of electrical applications.

ker Solutions has acquired UK specialist engineering company International Design Engineering And Services Ltd (I.D.E.A.S) to boost its asset integrity management services. Glasgow, Scotland-based I.D.E.A.S. has developed software and technology that dramatically improves the quality and accuracy of integrity and lifetime analysis for oil and gas assets. The analysis can be applied in all phases of the development of an installation, from design through construction, operation and life extension. “This technology strengthens our offering of asset integrity management services,” said Tore Sjursen, head of Aker Solutions’ maintenance and modifications business. “It can be used to predict the lifetime of an installation in a more effective manner. It also helps us plan more targeted maintenance and inspection activities, and increases the quality and precision of our services,” said Sjursen. Aker Solutions’ asset integrity management services include maintenance engineering, integrity management and advanced inspection and monitoring services, throughout the lifetime

for all parts of an onshore or offshore installation. These services help clients reduce risk and increase utilisation of installations. Visit: www.akersolutions.com

BASF, Linde and ThyssenKrupp in research cooperation

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ASF, The Linde Group and ThyssenKrupp plan to develop an environmentally friendly and competitive basis for utilising the climate gas carbon dioxide (CO2) on an industrial scale. They aim to employ innovative process technology to use carbon dioxide as a raw material, with positive effects on climate protection. Together with BASF’s subsidiary hte AG and scientific partners VDEh- Betriebsforschungsinstitut, Düsseldorf, and TU Dortmund University, the companies are developing a two-stage process. In the first step, an innovative high-temperature technology will process natural gas to obtain hydrogen and carbon. The hydrogen is then reacted with large volumes of CO2, also from other industrial processes, to give syngas. A mixture of carbon monoxide and hydrogen, syngas is a key raw material for the chemical industry and is also suitable for producing fuels. The German Federal Ministry of Education and Research (BMBF) is subsidising the project within its ‘Technologies for Sustainability and Climate Protection – Chemical Processes and Use of CO2’ scheme. The project started on 1 July 2013, and is expected to last three years. Visit: www.basf.com

Both organisations share a strong commitment to in-depth research by highly qualified people, and expect mutually beneficial collaboration across several disciplines. DSM and ERDA will cooperate in three areas in particular: firstly, they will engage in joint development projects on various topics of mutual interest, focusing on new innovations and studies that can

have a positive impact on the environment, performance and affordability; secondly, technology testing programs will be established to prove that materials meet application requirements; and finally, exchange programs will be set up to enhance the capabilities and knowledge of both organisations. Visit: www.dsm.com Industry Europe 19


NEWS

MOVINGON

Relocations and expansions across Europe

Element Six opens world’s most advanced Parvalux completes £1million factory investment synthetic diamond Innovation Centre

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lement Six, the world leader in synthetic diamond supermaterials, has opened the world’s largest and most sophisticated synthetic diamond research and development facility. The £20m Global Innovation Centre (GIC) at Harwell, near Oxford, employs over 100 scientists and technologists; the 5000m2 facility consolidates Element Six’s global innovation teams into one integrated centre. The centre will develop a pipeline of innovative synthetic diamond and related supermaterial products for customers, in industries from oil and gas drilling to precision machining and electronics. Across these markets and more, the new GIC will allow for the rapid development of customised material within abrasive and technology applications, which will enable extreme leaps in end-application performance and productivity. Visit: www.e6.com

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arvalux, the UK’s number one manufacturer of small geared motors, has recently invested £1M into a new production facility. In addition to its current 45,000 sq. ft. manufacturing capability, Parvalux has now expanded with a further 20,000 sq. ft. A new factory houses a state-of-the-art CNC capability that is complemented by new ultra-high precision CNC gear-cutting machines. With a flexible workforce of up to 240 skilled individuals, Parvalux is capable of producing 500,000 units annually. Visit: www.parvalux.com

MTU Aero Engines expands its facility in Poland

M Tratos builds new state-of-the-art testing facility

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pecialist cable manufacturer Tratos Cavi SpA has recently completed the construction of a Faraday Cage test site at the company’s headquarters in Pieve Santo Stefano, Italy. Measuring 24m x 16m and standing at 14m high, the new Faraday Cage enables Tratos to effectively administer AC Resonant Tests on site, allowing testing of up to 220kV of nominal voltage cables and up to 20km of medium voltage cable. The facility incorporates a new innovative locking system to ensure perfect shielding from any sort of external interference. Inside are sophisticated tools for testing and an adjustable high voltage reactor which, together with the exciter and the regulator, comprise the heart of the system. Visit: www.tratos.eu

KOCH H&K Industrieanlagen continues to expand

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OCH H&K Industrieanlagen, the rolling mill technology expert, has completed its move into a new building in Dillingen/ Saar. The reason for constructing the new building was the substantial growth of the company and the resulting increase in workforce.

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TU Aero Engines Polska, located in the Polish Aviation Valley, will add a new, 9200 square metre building, which will increase the area occupied by buildings by 50%. The total investment that will go into the project amounts to some €40 million. “The expansion of our Polish affiliate is part of MTU’s investment and growth strategy, very much in the same way as the new blisk production shop we built in Munich and the logistics center we set up in Hannover. With this move, we lay the foundation for the growing production and volume ramp-up for the geared turbofan programs,” explains Egon Behle, MTU Aero Engines AG’s CEO. At its plant in Poland, which boasts highly advanced production facilities, MTU manufactures engine components, such as turbine airfoils, for the PW1000G family of geared turbofan engines. It is also concentrating its module assembly activities for a variety of its commercial programs in Rzeszów. Visit: www.mtu.de

After two years in the previous building in Rehlingen – which KOCH H&K had moved into in 2011 – space became tight. Due to the very good order intake and the great number of projects around the world, the staff – which in the meantime has increased to 80 members ñ urgently needed more space. Next to the office building with a floor space of 3000m2, KOCH H&K now has an adjacent storage and

assembly area in which the plant components can be pre-assembled and tested. KOCH H&K is currently working on several large-scale projects. One of these which is nearing completion, is a finishing line for rails of more than 100m in length for the metallurgical combine EVRAZ ZSMK in Novokuznetsk/West Siberia. Visit: www.koch-hk.com


NEWS

INDUSTRYPEOPLE Luc Bretones appointed director Bioplastics specialist expands management of the Orange Technocentre

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uc Bretones, previously vice-president for SMEs at Orange Business Services, has been named director of the Orange Technocentre. The Technocentre brings together marketing, development and implementation expertise to work on more than 40 projects in a multicultural environment. More than 500 people work at the Technocentre in its four sites: Châtillon, France, London, Amman, Jordan and Abidjan, Côte d’Ivoire.

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armen Michels is now co-managing the bioplastics specialist, FKuR Kunststoff GmbH, together with managing director Dr Edmund Dolfen. She has already had a senior position in the company since 2010 and the focus of her tasks will remain the management of the technology & production department. “With the appointment of Mrs Michels as co-managing director, FKuR puts more emphasis on first-class product development along with human and motivational leadership qualities that increasingly become the key factors to success,” explained Dr Dolfen.

Sim-Industries appoints new chief executive officer

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im-Industries, a Lockheed Martin company, has appointed Jeffrey Wood, 48, as chief executive officer. Wood will succeed founder Frank Uit den Bogaard, who has led the organisation since 2004. “Jeff is a leader with the experience and acumen to accelerate SimIndustries and Lockheed Martin’s expansion into key markets,” said Jon Rambeau, vice-president and general manager for Lockheed Martin Training and Logistics Solutions. Sim-Industries, based in Sassenheim, the Netherlands, develops and manufactures full-motion and fixed-based civil aviation flight simulators for airline customers and independent pilot training centres worldwide.

Ron Dennis wins MIA award

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hairman of the McLaren Group, Ron Dennis CBE, received the Motorsport Industry Associatio (MIA) Award for Outstanding Contribution to the Motorsport Industry at the House of Lords on Tuesday 2nd July. Ron Dennis’s award was in recognition of his exceptional career, during which he earned the accolade of the most success-

Cobham appoints new EVP C

obham has named Robert (Rob) Mullins to the position of executive vicepresident, Corporate Strategy and Mergers & Acquisitions, replacing David Johnston, who has decided to leave the company. Rob will report directly to Cobham plc chief executive officer, Bob Murphy, and be based initially at the Group’s corporate North America office in Arlington, Virginia, USA. Prior to joining Cobham, Mr Mullins held the position of senior vicepresident, Corporate Strategy for Alliant Techsystems (ATK), an aerospace, defence and commercial products company with annual revenues of approximately $4.3 billion. From 2002 to 2010, Mr Mullins was employed by Northrop Grumman Corporation.

ful team principal in Formula 1 history, and has overseen the significant growth and diversification of the McLaren Group. McLaren is today focused upon the development and application of ground breaking technologies in a range of disciplines and has established world class expertise in data management, modelling and simulation, high performance design and electronic systems. Industry Europe 21


NEWS

TECHNOLOGYSPOTLIGHT

Robots inspect cables

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he bearer cables and tethers of bridges, elevators and cable cars are exposed to high levels of stress. For this reason, their functional reliability must be monitored on a regular basis. A new robot recognises fissures before they pose a danger. Slowly the robot climbs up the wire cable. As it crawls upward with caterpillarlike movements, it scans the steel surface and detects whether it has any defects. Researchers at the Fraunhofer Institute for Nondestructive Testing IZFP have named the system FluxCrawler. It is designed to monitor

the quality of stay cables and wire ropes on a regular basis. Such cables are common features of bridges, elevators, cranes, cable cars, and ski lifts. And these checks are vital, as the tensioninduced strain, wear and corrosion that affect these steel cables mean that they are under enormous stress. By conducting a magnetic flux leakage test, the robot not only identifies tiny fissures in the cable surface, it also recognises deeper cracks. This process exposes the cable to a magnetic field that is “disrupted” in the event of a defect. A measurable leakage field is created wherever defects are located. “If such micro-fissures are not discovered in time, the steel can break. This is why material checks are absolutely vital to avoid deadly consequences or even catastrophes,” says Dr Jochen Kurz, an engineer and department head at IZFP in Saarbrücken. Visit: www.fraunhofer.de

Intelligent driving AS

part of its ‘Intelligent Drive’ strategy, Mercedes-Benz is set to bring Car-to-X technology to our roads by the end of this year. This will enable the exchange of information between individual vehicles as well as between vehicles and the traffic infrastructure. Car-to-X technology is able to significantly expand the scope of existing vehicle sensors, such as radar or camera systems for example. It enables motorists to see around corners or beyond obstacles, thereby helping to reduce the blind spots from which existing sensor systems suffer. The technology’s greatest potential lies in this expansion of the telematic horizon. How does Car-to-X technology work in vehicles? When warning messages are issued in the vicinity of the vehicle, from example by an emergency services vehicle or a broken down vehicle, the driver receives a warning in advance in good time and the hazardous location is marked on the map. With this information he has the option of adjusting his driving style and speed in such a way that a dangerous situation does not even arise in the first place. Thanks to Car-to-X technology, the driver can also be warned at an early stage about wrong-way drivers or dangerous weather conditions. Visit: www.daimler.com

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Advances in technology across industry

New technology for environmentally sustainable syngas production

Dr Harald Ranke, Head of Clean Energy Technology

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ASF, The Linde Group and ThyssenKrupp plan to develop an environmentally friendly and competitive basis for utilising the climate gas carbon dioxide (CO2) on an industrial scale. Together with BASF’s subsidiary hte AG and scientific partners VDEh-Betriebsforschungsinstitut, Düsseldorf, and TU Dortmund University, the companies are developing a two-stage process. In the first step, an innovative high-temperature technology will process natural gas to obtain hydrogen and carbon. Compared to other processes, this technology produces very little CO2. The hydrogen is then reacted with large volumes of CO2, also from other industrial processes, to give syngas. A mixture of carbon monoxide and hydrogen, syngas is a key raw material for the chemical industry and is also suitable for producing fuels. “Methane decomposition complements our existing technology portfolio as well as our hydrogen, CO2 and syngas businesses. Compared to standard procedures of hydrogen generation, this new technology stands out for its higher efficiency and for reducing CO2 emissions by half. We figure that customers from both the industrial and the hydrogen mobility sector might benefit from this,” said Dr Harald Ranke, head of Clean Energy Technology at Linde. Visit: www.linde.de


EURO-REPORT

FOCUS ON...

France Ian Sparks reports from Paris on efforts to be more polite to foreigners.

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he French have issued a new ‘politeness’ manual to tourist industry workers in a bid to attract higher-spending visitors and persuade the world they are not the rudest people on earth. France has been the most visited country for every year there are statistics in the World Bank database, welcoming 83 million foreign tourists in 2012. But it has never been top of the list of places where visitors spend the most, lagging behind the US and Spain. And the new ‘Do you speak Touriste?’ is part of a major new tourist industry drive to make foreigners feel more at ease – and happier to empty their wallets – in a place that repeated international surveys have found is one of the world’s most hostile places for foreign visitors. France’s socialist government has now vowed to change this, with tourism minister Sylvia Pinel telling reporters this month: “I want to make France number one for spending, and improving France’s ‘welcome’ is part of the plan to create a true tourism policy for the first time.” Tourists spent €95 billion in the US in 2012, compared to just €41 billion in France, despite the fact that the French welcomed 20 per cent more visitors, Ms Pinel said. She added: “Tourism accounts for more than seven per cent of of the country’s gross domestic product, which is more than the auto industry. And in a country with 11 per cent unemployment, tourism can be a lever for growth and jobs, both of which France desperately needs.” Ms Pinel hopes the advice on ‘softening up tourists’ will be followed by bar, restaurant and hotel workers, taxi drivers and those staffing the city’s hundreds of landmarks and attractions. It states that British visitors like ‘personalised service’ and have breakfast between 7.30am and 8.30am. The Chinese seek out luxury goods and like to be smiled at,

while the Americans enjoy quick service and fluency in English. The Spanish try to get things for free and eat dinner at between 9pm and 11pm, according to the guide at the website doyouspeaktouriste.fr It says the Germans like cleanliness and a handshake, the Belgians prefer budget hotels and Wi-Fi and the Brazilians like physical contact and taxis. The Italians like exploring and welcome attention towards their children, the Japanese are insecure, never complain and bow a lot and the Dutch – like the Spanish – like things for free. Paris Tourist Board chief Jean-Pierre Blat said: “You don’t welcome a Japanese tourist in the same way as an Italian one. There are codes to take into account, so you have to adapt. If foreigners feel more at ease in bars, restaurants, taxis and visiting our sites and landmarks, they will spend more. It’s common sense.”

Freeze on Mercs But France’s new policy of courtesy to foreigners may not have the desired effect on the Germans after Paris recently outlawed the sale of thousands of Mercedes cars over parent company Daimler’s use of a refrigerant banned by the European Union. France has so far halted the import of 4518 A-Class, B-Class and CLA vehicles – 2704 of which have already been sold to waiting customers – because of Daimler’s refusal to stop using the air-conditioning coolant R134a, banned from new vehicles since the start of the year. The blocked models account for most of the brand’s French business and 2 per cent of global deliveries. A Brussels administrative court ordered France in July to re-examine its import blockade after Daimler argued that the sales freeze had not followed the correct EU safeguards procedures. But only one day later, France replied that it had no intention

of relaxing the sales freeze. Daimler reacted angrily to the announcement, calling it ‘absolutely incomprehensible’ and vowing further legal action. The dispute centres on a unilateral decision by Germany’s KBA motoring authority to let Daimler continue using R134a – a global warming gas 1400 times more potent than carbon dioxide – because of their own safety concerns about the replacement chemical R1234yf, made by Honeywell and Dupont. The EU’s ‘mobile air conditioning’ directive has banned R134a in vehicles approved for sale since the start of 2011, but those certified earlier have until 2017 to comply. The auto industry agreed to adopt the Honeywell coolant after extensive testing, but Daimler broke ranks last year and said its own tests had identified unacceptable risks. Both chemicals may ignite when in contact with extremely hot surfaces or engine parts, releasing toxic hydrogen fluoride gas, but the Honeywell coolant can do so at slightly lower temperatures. German Transport Minister Peter Ramsauer has urged Brussels to let Daimler continue using the banned coolant until the KBA completes further crash-test analysis in coming weeks. However, safeguard procedures allow EU governments to halt sales of the Mercedes cars until Brussels decides whether their KBA certification complies with European law. Daimler has said it will now return to court to contest the sales freeze on the grounds that the chemical being phased out does not pose a serious environmental threat. The German car giant said in a statement: “With more than three years to go before its elimination, virtually all new and used cars on European roads are equipped with the proven and safe refrigerant R134a. We suspect France may have other motives for blocking the sale of our cars than the safety n of this coolant.” Industry Europe 23


EURO-REPORT

FOCUS ON...

Germany Allan Hall reports from Berlin on the promise of a trade deal with the USA.

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sounds a deal almost too good to be true – and perhaps it is – but talks will soon be underway that could see the German export led economy get its biggest leg-up in years. Should America and the European Union strike a deal on a far-reaching free trade agreement in talks scheduled to start in August, Germany would be one of the greatest beneficiaries. Fully 181,000 new jobs could be expected and per-capita income would spike by 4.68 per cent. That is the prognosis of a study released in July by the Bertelsmann Foundation together with the Munich-based Centre for Economic Studies. For Germany, whose economy is tightly bound up to the fortunes of its family-run small firms collectively known as the ‘Mittelstand’, this is a boost which would cement the country’s status as the economic powerhouse of Europe for a decade or two to come – at least. The report found that all members of the planned free trade area would benefit from the deal, with the US emerging as the biggest winner, but behind America comes Germany and behind Germany the United Kingdom. European Commission President José Manuel Barroso said that it would offer “huge economic benefits” on both sides of the Atlantic. US President Barack Obama said that reaching agreement on a deal is “a priority of mine” and that he is “confident we can get it done.” According to the study, the Trans-Atlantic Trade and Investment Partnership (TTIP) would provide the greatest benefits to the US and to Great Britain. Gross domestic product per capita would rise by 13.4 per cent in the US and by 9.7 per cent in the UK. More than a million new jobs would result in America. That number would translate to 400,000 in Britain, it is speculated. The rest of the world, however, will likely not view any trade deal with the enthusiasm being felt in Westminster and Berlin’s Reichstag. 24 Industry Europe

Job losses and slower economic growth are predicted to befall rising economies, but the overall effect of a deal – it would ultimately create the biggest free trade area in the world – would be a positive one, with global per-capita GDP rising by 3.3 per cent as a result and the creation of an additional 2 million jobs.

Should America and the European Union strike a deal on a far-reaching free trade agreement in talks scheduled to start in August, Germany would be one of the greatest beneficiaries. For Germany, which has largely avoided the recession across the rest of Europe, with unemployment rising to over 12 per cent in July, the news is massively good for Chancellor Angela Merkel and her conservative CDU party. She fights for a third term in office this autumn: to be able to go to the polls with the promise of close to 200,000 new jobs on the horizon would blow an already weak and dispirited rival SPD party clear out of the political water. “In theory,” the study authors write, “the TTIP could benefit even more countries were they to take on some of the regulations that may be included in the free-trade deal. Indeed, a far-reaching deal might encourage developing and emerging countries to reach a compromise on the Doha trade talks, which are currently stalled.”

Modelling a free trade world For the study, researchers simulated the possible effects of the TTIP on 126 countries

using a complicated model to see how the 2010 global economy would have looked had a free-trade agreement already been in place They worked through two possible scenarios. The first assumed merely the disappearance of tariffs that are currently in place between the US and the EU. The second scenario envisions a much broader deal including the elimination of all barriers to trade. The scenarios showed Germany would see exports to and imports from the US almost double, and American trade with crisis-stricken eurozone countries like Greece, Italy and Portugal would increase by more than 90 per cent. German trade with other EU partners would, however, decrease because advantages the country currently enjoys would vanish. Trade with France would drop by an estimated 23 per cent and by 40 per cent with Britain. Trade with Italy, Greece and other EU member states would drop by around 30 per cent. But, said the experts, such drops would be ‘more than compensated for’ by the increased trade with the US. Private consumption is on the up in Germany and many citizens are choosing to take their vacations within their country’s borders, providing a boost to the domestic tourist industry. European Central Bank President Mario Draghi says exports are an important growth driver for the euro area, which is struggling to emerge from the longest recession in its 14-year history. The economy will return to growth by the end of the year, Draghi said, handing policy makers a reason to hold back fresh stimulus. One Frankfurt analyst said: “Mrs Merkel is praying that this trade deal comes together. It could be the piece of paper that becomes the key to another four years in office. Nothing matters so much in Germany as the economy and jobs. Who knows – it may even go some n way to saving the euro.”



SERVING THE INTERNATIONAL

AUTO INDUSTRY AD Plastik d.d., the Croatian joint stock company for automotive plastic components, is located in Solin, the industrialised suburb of Split, on the Adriatic Coast. Vanja Švačko talks to Mr Mladen Peroš, president of the management board, about the huge expansion the company has experienced in the past few years.

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he origins of AD Plastik are in Jugoplastika, the former Yugoslav giant which was founded in 1952 and played a major part in the socio-economic development of Croatia. In 1992 it separated as an independent unit and soon appeared under the name of AD Plastik, transforming itself from a local firm to a multinational concern by launching new bases in Slovenia, Russia, Serbia and Romania. “In 2001, the company was privatised under the ESOP scheme, which resulted in employees having around 20 per cent of the

ownership,” explains Mr Peroš. Parallel to the organisational restructuring, AD Plastik had to reinvent itself at the level of business concepts in order to sustain its growth during the difficult economic times.

What makes a machine a car Today AD Plastik’s product portfolio consists of plastic products mainly for the automotive industry. There are two basic groups of products: interior and exterior. Interior products include instrument boards, door panels, sun visors, roof lining, door handles, trunk lining and floor carpet and luggage.


Exterior products include front and rear bumpers and their components, wheel arch liners and undershields. The company also uses the extrusion process to produce dynamic and static seals (e.g. glass runs, windscreen and waist belt seals.) from thermoplastic elastomers and polypropylene based materials. Apart from covering the automotive industry, the company also offers a diverse range of other plastic products for the food and electrical industries, injection and extruded products as well as products for gardens and seats for sport facilities. Its plastic packaging products feature innovative design which makes them unique on the market.

Driven by technology As a part of its survival strategy during the last two decades, AD Plastik rapidly integrated different technologies in the manufacturing process. Today they stick to five basic technologies for automotive components, focusing on quality rather than quantity. The technologies used are injection moulding, painting, thermoforming, extrusion and blowing.

The automotive industry requires high quality products and their continuous improvement. The company holds certificates ISO/TS 16949, ISO 14001 and Q1. AD Plastik has a modern laboratory in which highly professional staff are developing new testing methods for raw materials and using certified devices to define levels of different types of resistance and endurance for the products. “One of the enduring goals for our company is consistent care for the environment,” explains Mr Peroš. “In order to adopt sustainable and socially responsible policies, we have also signed the UN’s Global Compact prinicples that oblige us to work towards reducing environmental impact and raising conscientiousness for the wider social community.” Thanks to the knowledge and expertise of the company’s workforce, AD Plastik offers complex services that include design, development and validation of products to its clients (Renault, Dacia, PSA, AvtoVaz, VW, Ford, Fiat etc.). The company also collaborates with suppliers like Basell, Borealis, Engel and Krauss Maffei to name but a few.

Steady growth Despite unfavourable macroeconomic market circumstances, for the last few years AD Plastik has recorded an average annual growth of approx. 7 per cent. “What would best describe our recent strategy is investing time and money to expand in the east European markets, especially Europe’s soon-to-be largest car market Russia, which witnessed remarkable growth in 2012 with an increase of 11 per cent in car sales,” adds Mr Peroš. It is significant that AD Plastik was in fact established in a country that doesn’t possess its own automotive industry. The origin of this business concept lies in the fact that the company was part of a large stateowned concern located in Croatia which was supplying car markets in the former Yugoslavia (Serbia). Even at that time, the company was present on the Russian market, and that strong and long-term collaboration has paid off decades later. Today AD Plastik has three plants in Russia. “In 1995 we launched our first company there. In 2008 the second one was opened in Luga (Leningrad Oblast). Later on we signed a joint venture with the French

Industry Europe 25


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26 Industry Europe


company Faurecia so that currently we own 40 per cent of FADP Luga,” continues Mr Peroš. “In July last year a new plant of AD Plastik in Kaluga, south-west from Moscow, has started working, which is delivering our products for Avtoframos in Moscow, Peugeot and Mitsubishi in Kaluga.” Russia will definitely remain the key future market for AD Plastik, but the company strives to equally expand in other parts of Europe. It has opened a new unit in Mladenovac (Serbia) with around 12,000m2 of production area, where it manufactures and distributes automotive parts mainly for Fiat, but also roof lining for Renault, Novo Mesto, as well as products for the construction. In the Romanian joint venture company Euro Auto Plastic Systems, car parts are produced for Dacia. AD Plastik shares ownership of this company with Faurecia. Three Croatian sites located in Solin, and two in Zagreb are involved in providing services and new technologies mainly for Renault, PSA and Ford.

Being a small automotive company in a huge and fast moving market, AD Plastik had to make significant investments over the years together, with its partners, in order to survive. “We see our future continuing in the direction of organic growth as it has so far, but we also want to expand our business independently or through the joint ventures with our partners. Sustainability of that idea depends on the strategic plans of our partners and on the credibility of our

own business concepts. At the same time, we hope for some future acquisitions,” concludes Mr Peroš. Although AD Plastik is already strongly recognised in European markets Croatia’s forthcoming accession to the EU will certainly help the company with faster product flow to the customers and simplified imports of raw n materials from international suppliers. Visit: www.adplastik.hr

Philosophy of sustainable growth “Although we continue to be an automotive company, our main goal is still to increase our production range beyond the automotive industry,” explains Mr Peroš.

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TURBOCHARGED SUCCESS The BorgWarner Group is the world’s leading automotive supplier and its Turbo Systems division, with a European base in the small town of Oroszlány, Hungary (the second largest production site for the group as a whole) makes up two-thirds of its production output. Established in 2001, this subsidiary has seen continuous dynamic growth.

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he American BorgWarner Group is a technology leader in the field of turbocharging and today has 59 locations in 19 countries. Two-thirds of its products are turbocharger systems that allow customers to meet current and future emission standards whilst achieving significant reductions in fuel consumption. The company sets high standards in regards to performance, smooth running, reliability and durability. BorgWarner Turbo Systems has established sites in Mexico, China, South Korea, Poland and Germany in addition to the Hungarian site in Oroszlány. The German manufacturing site in Kirchheimbolanden is the European centre.

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In 2012 BorgWarner’s turbocharger with low-pressure exhaust gas recirculation technology won an Automotive News PACE Award. Three BorgWarner technologies were also named finalists in the 2013 competition, including its regulated three-state turbocharging system, advanced compact brushless actuator and Visctronic highspeed reservoir system.

Dynamic growth BorgWarner turbochargers are made for cars as well as for light trucks and commercial vehicles. The Hungarian production facility was built in 2001. The factory, located in Oroszlány, was initially built to


serve the Audi factory in Hungary. Initially it was only a site to assemble the turbochargers, but soon they began to manufacture and assemble the products. The company has seen dynamic development ever since, and has doubled its turnover every year. Parallel to its increasing turnover, the capacity of the production site has also continuously grown, requiring greater investment in infrastructure. Most recently was in November 2007 when a new 4000m2 production hall opened, increasing the company’s total area to 13.386m2. Initially BorgWarner only manufactured turbo systems for passenger cars in its Oroszlány plant. The company’s largest client is still Audi but its client base is expanding and now includes other prestigious car manufacturers including Renault, Fiat, VW, BMW, GM/Opel and Volvo. The demand for cars with turbochargers is on the rise because of their reduced

carbon-dioxide emission and increased performance. Therefore it is not surprising that whilst the growth of the global automotive sector was an average 3 per cent in the last decade, BorgWarner achieved five times greater growth in the same period. The company will continuously improve its product range with newly developed, improved products whilst maintaining high quality. In order to cope with the expected growth the company, which currently employs 700 people, plans to recruit more staff as well as investing in new equipment and the implementation of new production lines. “At the time of its foundation in 2001, BorgWarner Kft had one customer here; today we have 10 different clients. The complexities of the projects are getting higher, but our excellent team of professionals and existing capacities provide enough bases to fully meet the needs of our partners,” says a company spokesperson. Currently more Industry Europe 29


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than 90 per cent of products are exported abroad, mostly in Europe, but the company’s turbo chargers are also distributed to North America and Asia. “Maintaining the relationships with our partners on a daily basis is fundamental. We only need to make small changes on our well-developed site to smoothly realise our planned growth.”

the spokesperson. “This is quite a serious investment, which is not put in to bricks and iron but to our human resources.” Although there are no rivals in the domestic market, there are many competitors in the region especially in Germany and Slovakia. The managing director of the Hungarian

subsidiary, however, has a clear view how to maintain the business for the long-term future: “In the long run we want to be the most effective turbocharger factory that also gains everybody’s support; most importantly we would like to gain the full satisfaction of n our partners.”

Lean management Besides significant technological investments BorgWarner puts great emphasis on training its staff, using a new and unique training method. In order to maintain its competence it recognises the need to continue producing market-leading products and this requires excellent engineering staff who speak many foreign languages. Predominantly the company is aiming to maintain its lean concept whilst developing its current site. For example the assembly equipment is being implemented in one direction, whilst the factory will aim to take full advantage of its existing equipment and bring in changes that will increase the efficiency of production. “We would like to manage our operation based on a concept that decisions are made at the lowest possible levels, which will increase the quality of our products and improve our customer service,” reveals Industry Europe 31


TAKING CARE OF

YOUR VEHICLE In need of an MOT testing station or a repair service bay? Ravaglioli SpA is part of the solution. In fact, the company, part of the Samiro Group, is today at the head of four Italy based companies specialised in manufacturing vehicle lifting, tyre service and vehicle testing products. Barbara Rossi spoke to CEO Silvano Santi.

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he four production companies comprising this division are: Ravaglioli SpA itself, Butler Engineering and Marketing SpA, Officine Meccaniche Sirio Srl and Space Srl. Ravaglioli SpA is the company from which the division has originated and it is based just outside Bologna – currently in Sasso Marconi – while at the time of its establishment in 1958 it was situated on the opposite side of town. Its activity is almost totally focused on the

production of vehicle lifting equipment. At first the company manufactured small devices for vehicle repairs, but after having started to grow, towards the end of the 1960s, it started producing vehicle lifting equipment, a range to which in the 1970s the company added tyre changers, wheel balancers and test lanes. The early 1970s was also the time when the company started to push the export of its products, culminating in a boom in the 1990s

when the export share started growing from 50 per cent of turnover to the current 85–88 per cent. Butler SpA was acquired by the Ravaglioliled group in 2006 and is based in the Reggio Emilia area of northern Italy – specifically in Rolo – where it carries out its tyre changer manufacturing focused activity, while from its base in Ferrara (San Giovanni di Ostellato), Sirio Srl manufactures components for


Industry Europe 33


the other companies of the group, as well as producing equipment for tyre servicing. The fourth production company belonging to the division is Space Srl, based in Trana – Turin area of north-western Italy – and specialised in wheel aligners and test lanes, as well as in all the electronic components used by the equipment manufactured by the rest of the group. The vehicle lifting, tyre servicing and vehicle testing group headed by Ravaglioli SpA employs about 550 people, including the foreign subsidiaries, and achieved a €125 million turnover in 2012. The products manufactured are mainly for cars and vans, but the range extends to products for trucks, bus and earth-moving vehicles, while a smaller share is produced for large diggers – employed in mines for instance – and for railway lifting. The foreign commercial subsidiaries can be found in France, Germany, Spain, the UK and the USA, respectively in Paris, Freising, Tarragona, Maidenhead and Texas, in addition to which there are also representative offices in Belgium, Brazil and Japan. The division sells its products in over 140 countries.

“In terms of recent products, we launched a fully computerised super-fast leverless tyre changer, called G1800.4, whose development required a significant amount of R&D investment. We are also continuously developing new products such as wheel aligners, recently resulting in a new product, called Vistar, a workstation for fast and accurate alignment measurement. Moreover, continuous product updates are carried out for all of the lifting range.” Mr Santi explained. “We are very active in R&D. In fact all our products are designed and developed by us, here in Italy, using European manufactured components. We have three dedicated R&D departments: one at Ravaglioli for lifting equipment, one at Butler for tyre servicing and one at Space Srl for hardware and software for the electronics parts. Overall we invest about 5 per cent of turnover in R&D every year. Each of the companies of the division is present on the market, with personalised products and comprehensive catalogues, and each of them has its own specialisation.” As well as having been ISO 9001:2008 certified for years, the division headed by Ravaglioli also holds all relevant EC

approval standards and fulfils the requirements of most of the world automotive and tyre manufacturers.

Growing, despite the recession “We have always invested in R&D, even during the crisis period. Before the current crisis we were invoicing about €138 million, but since then this level has been slightly lowered to €125 million. I have to say that we have only marginally suffered from the recent economic downturn and in the past four years, overall, we have invested about €25–30 million. First of all, Butler SpA has moved to a new location and €13 million were channelled into developing its new 14,000m2 site; then we spent €2–3 million in machinery on a yearly basis. I also believe that Sirio has one of the most modern and better equipped sites that can be found in our sector, featuring highly automated production machinery.” The group’s main clients are distributors that supply car dealers as well as repair and tyre shops, and testing centres. Products are also sold to automotive and tyre manufacturers – or their branches located all over


the world. Export plays a major role, as previously discussed, and the main markets are European countries where the group is present with subsidiaries, followed by North America and, then, the Far East and India. “In future we will certainly continue to improve and update our range. We have made a big effort in North America, which is paying off, as in recent years we have witnessed an important turnover increase there. Now we are also working hard in terms of the Far East and India.”

“Joint ventures are not part of our philosophy, as we like to retain control of what we are doing. On the other hand, acquisitions might be possible, considering that in Italy we are a very profitable company in our sector and opportunities could arise, either on the Italian or European horizon. What we are not interested in doing is delocalising our production outside Europe. For us all our future development will be centred around an increase of credibility on the markets, thanks to growing product quality, exactly to differenti-

ate ourselves from competitors in emerging countries. We are obviously aware of the fact that the European market is experiencing a period of crisis, which has even started affecting Germany, but we have managed to avoid a dip in European sales, thanks to an increase in market share. We are going to try to further improve our market penetration and our after-sales offer, while we will also take full advantage of opportunities for growth leaps outside of Europe, focusing on North America, n the Far East and India.”

Group Scart - Industrial Packaging. The history of our group goes back to 1952, when the Scart box manufacturing company, specialised in the production of small packaging boxes, was set up. The group increasingly expanded from its original Casentino area, first acquiring Imola based B.P Imballaggi and later Milan based Vodipack; both of which are specialised in special packaging production. Currently the Scart Group has production facilities occupying 22,000sqm of covered space, located in areas stretching over 150,000sqm. The company has a direct staff of 80 people, who are ready to fulfil any clients’ requirements. Our perfect knowledge of Know-How makes us the leader in the “customised packaging” sector, where we design and develop prototypes and manufacture products able to solve any structural issue of our clientele. Our mindset geared to improving the safety features of packaging, as well as to a continuous improvement of final product quality and to offering not just simple packaging, but a true service, has made our group the leading player on the Italian market.

www.scartgroup.com


PROVING ITS METAL Ljunghäll Group is an external engineering partner and expert in high pressure die casting in aluminium. Abigail Saltmarsh reports on its operation.

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Hans Linnér

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trong development over the years, an emphasis on quality and a high degree of automation have made Metallfabriken Ljunghäll one of the world’s leading high pressure die casting companies, according to its CEO Hans Linner. The company was established in 1917 and today operates from state-of-the-art production plants in Sweden and the Czech Republic. “One of our other key characteristics and reasons for our success is quality,” says Mr Linner. “We produce different parts for our customers but they are all made to an extremely high quality. “We cannot compete on cost with producers who manufacture simple parts in places such as China, but we have a long

history and reputation for the manufacture of complex/difficult parts in aluminium. As we develop in the future, we have to maintain that emphasis on quality.”

From small beginnings Ljunghäll Group’s long history began almost 100 years ago when blacksmith Edvin Ljungkvist and his wife Hilda ran a modest village business producing various kinds of ironwork and shoeing horses. They started just outside the small community of Anderstorp, in the province of Småland, but after several years moved into Anderstorp itself. The operation expanded to include sand and chill casting, thereby laying the foundation of what was to become one of the

world’s most advanced high pressure die casting businesses, Ljunghäll Group AB. In 1963 the company moved to Södra Vi where the Swedish plant still is located today. In 2007, Ljunghäll expanded further. It acquired Drop Press, now named Ljunghäll s.r.o., located in the historic town Caslav, in the community of Kotna Hora, in the Czech Republic.

High pressure business Mr Linner said the company has invested in both sites on an ongoing basis. Today it has around 50 state-of-the-art, high pressure die casting machines in the range from 320 tonnes to 3,500 tonnes. It runs three plate HPDC tools for the most demanding jobs, has


over 120 ABB robots to create the highest level of automation and operates 80 CNC machines. A vacuum technique is used on almost all of its HPDC tools. “We are investing to ensure the quality of what we do and to meet existing customer demand,” he says. “We also want to be ready for new business, whether with existing customers or new customers. Last year we invested €12 million and we will be doing the same this year.” He continues: “We need more capacity. At the moment, we are also considering the

possibility of establishing manufacturing in China. This would be by way of acquisition and would be to serve the Asian market.”

Growing markets While the Ljunghäll Group has built up a reputation in automotive – both in passenger cars and heavy vehicles – it aims to develop its business in the telecoms market, explains Mr Linner. The company sees this as a growing market for complex/difficult parts. “We manufacture components for base stations,” he explains. “Some of these

require complex/difficult parts in aluminium, which we are able to engineer and deliver. “We are pushing this side of our business and we have a broad portfolio that we are able to offer our customers.” The company is also looking to move into new geographical markets, he says. As well as turning towards Asia he believes there are still further opportunities in Europe. “We have a strong market here in Sweden and would be looking to push out more into Germany,” he says. “This is where many of the manufacturers that we could serve are based.”



A complete service The Ljunghäll Group offers a complete service. Its engineers will work with the customer on the development of the component from the moment of concept. As well as initial production capabilities, it has a complete range of after-treatment methods for everything from small telecom parts to the biggest aluminium parts intended for heavy vehicles. High levels of

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automation and complete manufacturing lines include machining, washing, assembling and leakage testing. The company has long experience in manual assembling. It uses a “pokayoke”, or mistake proofing system, with fully itemised assembly cells for volume production. It also has a large network of sub-suppliers for insert materials and special demands.

Finally, when it comes to logistics, it offers self billing invoicing, EDI communications, pipe chain, vendor managed inventory, justin-time deliveries and crucial-parts storage. “Our aim is to continue to do everything as we always have, with an emphasis on detail and quality,” says Mr Linner. “We are looking for growth that will largely be organic, and our aim is to develop the business and n to increase profitability.”


WORLD CLASS CONSTRUCTION MACHINERY Hidromek is a market leader in the design and manufacture of advanced construction machinery. Philip Yorke talked to Dr Ilhan Varol, the company’s business development, director about its major investments in new plant and its latest world-class excavators.

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idromek was founded in Turkey in 1978 and started as a small workshop in Ankara. The company began by mounting back-hoe and loader attachments to farm tractors. By 1991 it had developed the application of the world’s first four-wheel steer mode on to its own backhoe loader and by 1998 had achieved ISO 9001 certification. Based upon these successes the company embarked upon an export drive that saw its first overseas sales in North Africa, before going on to expand sales across all five continents of the globe. Today Hidromek is a truly international organisation that employs more than 1350 people and in 2012 recorded sales of over €275 million.

Technology driven Hidromek’s continuing success is not simply down to its state-of-the-art production facilities and dedicated customer services, but also due to the company’s continuous investment in new technology and R&D. Since it was first established, Hidromek has consistently invested in product development to increase the performance, valuefor-money and low maintenance costs of its machines. With its diverse range of excavators, all designed and manufactured in-house, the company has since grown to become the number-one construction manufacturer in Turkey and a market leader in some of its 50 sales regions worldwide. 42 Industry Europe

The quality and reliability of all Hidromek construction equipment is well known and endorsed by the continuous stream of industrial design awards that its machines attract. Recently the company achieved an ‘excellence in design’ award for its Backhoe Loader Maestro series, as well as for its Excavator Gen series and remains the only manufacturer to have received two design awards in this category.

Increasing production capacity and product range Hidromek’s core products are its advanced backhoe loaders and excavators that are available with both track and wheels. On offer are two-wheel steer and four-wheel steer versions with four-wheel drive models of backhoe loaders available at 100hp or more. The company’s diverse variety of excavators range from 14 tons to 54 tons. The production volumes of backloaders and excavators reached over 4000 units in 2012. In addition, Hidromek also produces excavators for special, tailor-made applications such as for tunnelling, material handling and demolition operations. In April this year the company had planned to launch its latest hi-tech 54 ton crawler excavator which is claimed to be the most advanced of its kind on the market. In terms of its manufacturing facilities, Hidromek operates four highly automated

production plants in Turkey with a total productive floor space of over 180,000m2. Current production capacity is around 10,000 units per year. However, the company, in line with its vision for growth, has made major investments to establish an entirely new production facility which will increase capacity by a further 30,000 units per year. This latest, state-of-the-art plant will employ more than 150 of the world’s most advanced welding robots. Mr Varol said, “Hidromek is dedicated to a programme of continuous improvement and this is based upon our culture of listening carefully to our customers’ needs. Even one single customer’s voice is enough to create a change in our design plans in order to satisfy a new need and to improve still further the reliability of our products. Hidromek puts the customer at the centre of its processes, and our aim is to provide complete customer satisfaction. We serve our customers 24/7 with call centres that offer advice and technical support to minimise possible down-time. “In Turkey alone we have over 60 service centres and none of them are located more than 100km from our own depots. Russia is an important growth market for us and we already have 15 accredited dealers there, and this is all part of our commitment to be closer to our customers. Outside Turkey we have a total of 100 authorised service points. We also believe that our R&D produces


technical achievements that keep us ahead of the field. This new technology is designed to provide increased operational efficiency, greater durability and improved fuel efficiency for our customers.”

Strategy for growth Hidromek continues to benefit from the organic growth created by its development of new technology. However, in today’s highly competitive market other strategies come into play as Mr Varol explained, “Today’s construction machines are highly complex items and include electronics and mechatronics

that require advanced materials and design excellence and expertise. “Today’s business environment is also very complex and requires planning and interaction on a global scale. We believe that pure organic growth that relies on using our internal resources may not be sufficient to achieve our full growth potential. Therefore our future growth will require acquisitions, joint ventures and strategic alliances with a range of expert institutions and companies. However, we will continue to launch new, cutting-edge products over the next few years that offer even more benefits to our

customers. I believe that we will continue to see double-digit growth in the next few years and we will continue to invest in our workforce and the R&D that has brought us to where we are today.” Hidromek’s tried and trusted recipe for success continues to place it in a strong position for the future. On going investment in new manufacturing facilities and commitment to new product development will continue to ensure their position as a global player in the n construction machinery sector. For further information about Hidromek products and services visit: ww.hidromek.com

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A GLOBAL LEADER IN CEMENT A member of the Sabanci Cement Group, the Turkish company Cimsa Cimento is one of the world’s most well-known producers of cement and ready-mixed concrete. It has a presence in more than 50 countries and continues to invest in modernisation and sustainability in order to enhance its international reputation. Industry Europe looks at the success it has achieved over the past few years.

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hen Industry Europe last featured Cimsa Cimento in 2007, the company had completed an extensive domestic investment programme and was turning its attention to international expansion. In the years since then it has been successful in this aim, increasing its exports, although it continues to invest in modernisation both at home and abroad. In 2007, Cimsa already had several manufacturing sites in its domestic market of Turkey, including cement production facilities in Mersin, Eskişehir, Kayseri and Niğde, and grinding-packaging facilities in its Ankara, Malatya and Marmara terminals. Added to this, it was also running international terminals in Spain, Germany, Cyprus and the Middle East.

In 2009 it added to this with the establishment of production in Russia (Novorossysk) and Italy (Trieste). In 2011, it commenced operations at a new plant in Alicante, Spain. Cimsa has been active in the cement industry since 1975 when it was founded in Mersin, Turkey. Three years on, its production volumes had already risen to one million tonnes and it is now the national leader in cement production. Today 41 per cent of its shares are traded on the Istanbul Stock Exchange and the past five years or so have seen some excellent financial results. Its annual turnover is in the region of 600 million TL and its clinker production has reaches 5 million tonnes per year. In 2012 cement exports reached 16 million tonnes.


Production profile Cimsa’s activities cover both cement and ready-mix operations including white cement, grey cement, ready mixed concrete, masonry cement and aggregate. It has several branded products, including its Cimsa Super White Portland cement which has a particularly high strength and does not require a steam cure thanks to its ability to gain this high pressure strength in a short period of time. Its high bending strength makes it ideal for use in concretes reinforced with fibre and it can greatly increase the durability of buildings. In the area of ready-mixed concrete, Cimsa offers standard products as well as a number of ‘special products’. An example of the latter is its ViskoBeton (self-settling concrete) which has many characteristics that make it superior to conventional concrete. It

is automatically spread without decomposition despite its fluidity and without the need to be compressed with a vibrator. It leaves a smooth surface without gaps. Another important activity is packaging: at its Mersin, Kayseri, Niğde and Malatya plants in Turkey, Cimsa runs packaging machines, palletisers and filling lines for big-bags, kraft sacks and silo-busses. Cimsa has always been something of a pioneer in its field. For example, it was the first company in Turkey to develop the calcium aluminate cement, also known as fire cement. This has a number of special properties, including a high heat of hydration which means it can be used in temperatures as low as -10 oC. One of the most important new products introduced by Cimsa in the past few years is Super Bims, which is manufactured at the Industry Europe 45


Mining Machinery Industry Construction Consultancy Foreign Trade Ltd. Co

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Nigde plant. This is a building material with high heat and noise insulation performance which is fire and earthquake resistant and environmentally friendly. It is used for interior and exterior walls as an alternative to brick and gas concrete.

Continuous expansion In the years since our last feature, Cimsa has been continuously modernising and updating its capacity across all its manufacturing plants, in line with its strategy of expanding its global customer base. In 2010 it modernised its Mersin production plant, replacing the existing planet type clinker cooling system with an FLS SF-cooler type grid cooler system. Production capacity was thus increased from 3400 tonnes to 4000 tonnes per day. Sustainability has been one of the key factors behind investment in recent years. A particularly important development was the establishment of a waste heat recovery plant at Mersin in April 2012. This allows the company to utilise waste heat and gases by converting them into electricity to the amount of some 9MW per year. Furthermore, in order to reduce dependency on the volatile and unpredictable coke prices, Cimsa has a hot disc project in Eskisehir which allows it to decrease the consumption of fossil fuels without losing clinker production quality. Thanks to these and other projects, alternative fuel usage increased from just 4.8 per cent in 2011 to over 16 per cent in 2012. These investments have certainly paid off, and Cimsa’s facilities have received a number

of awards over the years in areas such as safety and international presence. In 2010, for example, its Inegol Ready Mixed Concrete Plant was awarded the ‘Blue Hardhat Occupational Safety Award’, while the AdanaZeytinli Ready Mixed Concrete Plant received the ‘International Representation Award’. Cimsa will continue to improve its product offering and invest in upgrading its plants. Whilst the global financial crisis had an effect on its export business, as it did with every company in this field, things are now very much on the up. It expects to see strong growth in the Russian market and in South America, where the World Cup in Brazil should boost demand for its products. n

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THE GREEN TEAM The leading manufacturer of ecologically responsible private label goods in the Nordic region, Nopa Nordic AS, has the stability and flexibility to grow with its customers. Emma-Jane Batey spoke to CEO Henrik Jorgensen to find out more.

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ounded in Denmark in 1964 by Niels Thostrup, Nopa Nordic AS is still owned by the Thostrup family. The Nordic region’s largest and leading manufacturer of ecologically responsible private label goods in the cleaning products, detergents and personal care sectors, Nopa Nordic is widely respected as a stable and reliable partner. CEO Henrik Jorgensen spoke to Industry Europe about how the company is proud of its long-term focus on delivering eco-friendly products to an increasingly wide customer base. “We introduced our first eco-friendly product in 1993 and we haven’t looked back! We also haven’t used any optical brighteners since we phased them out in 1996. As a proudly eco-friendly company with wonderful green products available in each of our product categories, we are excited about the growth potential we see both in our domestic and Nordic markets and beyond.” 48 Industry Europe

Mr Jorgensen explained that the company is seeing a larger demand ‘south of the Danish border’ in addition to a continued demand in its traditional Nordic market. He said, “We expect growth in both these areas, which is very interesting for us as we can really shine. Our development teams are packed full of experts that understand and continue to research the very specific needs of each market – the type of detergent that a consumer wants and needs in the south of Europe is very different from that which is required in the north, for example.”

Market advantage This appreciation and long-term experience of the various markets and their specific demands is one reason that Mr Jorgensen believes that Nopa Nordic stands out from the competition. He continued, “We are very strong in terms of new product development and we always take into consideration the various market requirements so that a new

product can be tailored to suit each market where it is sold. We’ve been active so long that our extensive experience in product development is able to be effectively implemented, making it a highly valued service for our customers. As a private label manufacturer, this is a real advantage.” The new product development and indeed product portfolio maintenance is certainly enhanced by Nopa Nordic’s collaborations with a number of leading health associations. As many of the company’s products are in the personal care and detergent category, its work alongside asthma and allergy associations adds a medically advantageous aspect too. Mr Jorgensen explained, “Nopa Nordic’s private label products are both green and extremely functional – this is how we have built our solid reputation and how we intend to continue our strong growth in new markets. We have a huge knowledge gained over nearly 50 years – very few companies in our field can even get close to that.”


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Nopa Nordic is primarily focused on manufacturing private label goods for its customers, most of whom are well-known Nordic and European supermarkets and chain stores. The company offers ‘deep consumer insight’ as a standard part of its product development, with a high level of eco-friendly technology ‘built in’ to its products such as detergents and shampoos.

Growth is green Nopa Nordic’s aim for the future is to continue its impressive growth while maintaining its famous eco-friendly quality. It will follow its customers into new markets, with exciting growth likely particularly in Russia, Germany, Asia and the Benelux countries. Mr Jorgensen added, “Asia is a very interesting 50 Industry Europe


new market for us and also for many of our customers, so there is a great synergy there. In many ways it is still a niche market for our type of private label product manufacturing but as the lifestyle of many people in Asia changes more in line with western habits, sadly there is also an increase in allergies and asthma. But of course this presents us with a great opportunity for growth, so we will push to work with prospective partners here. This is also interesting because there can be ethical and production quality issues with some manufacturing in Asia and as we are well-known for our high quality, our production will be exactly as agreed.”

Mr Jorgensen explained that Nopa Nordic also aims to double its turnover within the next few years. With many geographical markets in Nopa Nordic’s active sectors increasingly driven by green issues, the company is better placed than ever to achieve its aims. Mr Jorgensen concluded, “We are perfectly aligned with the market – our bio and green products have long been before their time! We are ready for growth, with organic growth expected as well as being open to strategic acquisitions. As a family company with a solid financial position, we can move quickly when we see an opportunity for us to reach our goals faster,

particularly if it means that we can expand into new markets where a company with the same eco-friendly philosophy is already n performing well.”


A GLOBAL GIANT Procter & Gamble is one of the world’s best-known household names in the area of consumer packaged goods with a 50-strong brand portfolio in the beauty and household care segments, including big names such as Pampers, Ariel and Olay. Industry Europe takes a look at its top-selling brands and some of the latest news from the global leader.

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stablished in 1837, Procter & Gamble is a truly global corporation. The company employs 127,000 people around the world and achieved sales in 2012 of $83.7 billion. In western Europe, a region that represents 21 per cent of overall turnover, the average supermarket is likely to contain dozens of Procter & Gamble products. The company makes its biggest impact on people’s lives through its 23 so-called ‘billion dollar brands’, each of which generates more than $1 billion in annual sales. By offering a more convenient and effective solution, these brands make a difference to many areas of


everyday life, from doing the laundry (Ariel) to changing the baby’s nappies (Pampers). Eighty thousand suppliers serve Procter & Gamble, and all of them have a part to play in helping the company realise its objectives. This is why Procter & Gamble organises a Supplier of the Year award to recognise the achievements of its very best suppliers. The company also presents Excellence Awards to external business partners whose performance it rates as consistently high.

Products and innovations The range of products in the P&G stable is so vast that they can’t all be mentioned here. In the beauty segment the big names include haircare brands such as Braun, Herbal Essences and Aussie, whilst its fragrances include Gucci and Lacoste, as well as a number of beauty products such

as Olay. Then there are the grooming and personal care brands such as Venus for women, Old Spice and Tampax. In the other main segment, household care, brands include cleaning products, laundry products or brands such as Charmin toilet tissue. Brands such as Ariel and Bold need no introduction for the majority of consumers, and cleaning products such as Mr Clean are equally well recognised. During 2012, an ongoing commitment to innovation helped P&G launch three of the most successful new products of 2012. Its Crest Complete Multi Benefit range placed fifth, Febreze CAR Vent Clips ranked eighth and Olay Body Collections placed ninth in the Top 10 of IRI’s New Product Pacesetters list of non-food products. This year (2013) has also seen some big new product launches. In the area of beauty,

the Olay Regenerist Micro-Sculpting Eye & Lash Duo is the first eye cream and lash serum product with a dual applicator designed to provide a 360° eye-care solution treating lids, lines and lashes for a total eye transformation. Meanwhile the recently launched Gillette Sensitive portfolio combines outstanding shaving performance and comfort to address the needs of the 70 per cent of men who say they have sensitive skin. The household care segment has seen the introduction of the Ariel PODS new three-chamber liquid unit dose pods which build on the brand’s history of delivering superior cleaning with breakthrough technology and expand on the successful launch of Tide PODS technology in the USA. In January this year, the household fragrance brand Febreze launched the Stick&Refresh – the only product of its kind – with innovative

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technology that slowly releases scented oils, without the use of plugs or batteries, to eliminate odours and provide long-lasting freshness. Indeed, with such a large number of brands in its portfolio the list of innovative products introduced by P&G is pretty much constantly being updated. Germany is of special importance to Procter & Gamble because of the company’s German subsidiary, Braun. The Braun technical centre at Kronberg is also Procter & Gamble’s global centre of excellence for Devices and it cooperates on product development with Gillette. Braun’s small electrical appliances have long been famous for successfully combining superior engineering with elegant design. After the world-famous designer, Dieter Rams, joined Braun in 1955, Braun’s products began to acquire their distinctively minimalist appearance.

Sustainability is key In total, Procter & Gamble serves around 4.2 billion of the world’s consumers, so a tiny improvement to any one of these billion dollar brands can have a measurable effect on the lives of millions of people. Innovation also plays a vital role in realising Procter & Gamble’s ambitious objectives on sustainability. Procter & Gamble helps to preserve the environment by designing products that enable consumers to consume less energy. For example, Ariel washing powder and liquid can achieve excellent results on clothes at temperatures of only 30 degrees Celsius, thereby helping households to reduce their carbon footprint. Procter & Gamble is also on a drive to use packaging that is more environmentally friendly. In 2011, the company introduced new bottles for Pantene shampoo and

conditioner. The main raw material for these bottles is a plastic derived from sugar cane. Sugar cane is a renewable resource and sugar cane-based plastic takes 70 per cent less fossil fuel to produce than traditional petroleum-based plastic. In western Europe, Procter & Gamble uses these bottles for its Pro-V Nature Fusion collection. As part of its 2020 Sustainability Plan, P&G has set a number of sustainability goals in areas such as renewable materials, waste, cold water washing and packaging reduction. For example, it is looking to replace 25 per cent of petroleum-based raw materials with sustainably sourced renewable materials for its products and packaging. It is also hoping to have 70 per cent of all washing machine loads use cold water by 2020, and reduce packaging by 20 per n cent per customer use.

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TAILORED TO PERFECTION The Germany-based company Strellson is one of the most successful and well-respected designers of clothing lines and lifestyle products. The company can boast world-leading brands in its portfolio, including Strellson, Joop!, Tommy Hilfiger Tailored and Windsor.

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trellson is one of the leading European companies operating in the fashion industry. Established in 1984 by the former Hugo Boss owners, Jochen and Uwe Holy, it developed from the former company Straehl in Kreuzlingen, Germany, which had up until that point been producing only coats. Today, it produces four well-known brands: Strellson, Joop!, Tommy Hilfiger Tailored and Windsor. The company’s website defines its vision in this way: “Great fashion. For great men the world over. If this is what you want to create, you have to understand a bit about life. Understand what it is to live. And be open to it. That is always our goal. The world is exciting. It rec-

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reates itself every day. What remains is what is good. That’s Strellson. That’s our legacy. We stay brand new.”

Four major brands The Strellson brand is divided into two areas: Strellson Premium and Strellson Sportswear. The first of these is a range of business wear for men with an international flavour – “the most successful men’s fashion for the young and prosperous”, as its website declares. This well-respected brand has been on the market for almost 15 years and is available in over 40 countries. Strellson Sportswear, meanwhile, reflects a more laid-back style “for men

who move just as easily in city streets as in mountain canyons”. It includes a wide range of casual items from t-shirts to jeans and jackets. The designer label Joop! Menswear was taken under licence in 1991. For Strellson, this is an important brand. The website tells us that: “Joop! symbolises confidence, coolness and passion in combination with German perfectionism and matter-of-fact avant-garde. This international designer brand is characterised by its contemporary and progressive looks.” Unlike the Strellson brand, Joop! is aimed at both men and women. Another important brand in the stable is Tommy Hilfiger Tailored. Strellson is the largest


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partner of Tommy Hilfiger US. This brand is more well-known for its casual lines, but it’s also seeing increased recognition for tailored clothing – and this is where Strellson comes in. Finally, the Windsor brand: the history of the Germany-based Windsor Ltd dates back to 1889, when it started out as a producer of high-quality business menswear. In 1960, it began to specialise in the production of suits and coats for men. Lightweight fabric, soft surfaces and fashionable styles – things the Windsor customer takes for granted today – was an experimental innovation on the German market back then. In 1977, Windsor originated the ladies collection, which quickly developed into a unique brand that meets the highest standards. Strellson’s website waxes lyrical on this brand: it is “a stylistic translation of the word ‘confidence’ in terms of tailoring and craftsmanship. The knowledge that apparel must not only be a visual sensation, but also a sensuous pleasure. The more you know, the less you show. Glamour shines brightest when understated.” Strellson has also been branching out more in the ‘lifestyle’ side of its production. In cooperation with Bianchi, the leading Italian bicycle manufacturer, in March 2012 Strellson 58 Industry Europe

launched the ‘Rolling Style – White Edition’ collection. The Strellson-Bike was inspired by bicycle couriers in New York, London and Tokyo, who are increasingly shaping the cityscape of the future.

Quality and social responsibility The Strellson team puts a great deal of emphasis on the best material and excellent craftsmanship, down to the shortest seam. The fabrics come mainly from Italian weavers, whose work is famous across the world with very good reason. However, material alone is certainly not sufficient to make the quality of the Strellson label unique. The company’s website also stresses its focus on social responsibility and employee rights. “Our business philosophy is concerned not only with fashionable and innovative products and a high quality level, but also with respect for basic human and employee rights, in order to ensure socially acceptable working conditions.” To this end, Strellson long ago developed its own code of conduct to guarantee the minimum social standards in the manufacture of its products. In 2008, in order to enhance this commitment, the company joined the Business Social Compliance Initiative (BSCI).

This was founded by the Foreign Trade Association (FTA) in 2003 and now consists of more than 700 retailers, importers and brands. A great advantage of the BSCI is its common monitoring and qualification system for lasting improvement of working conditions in the n global supply chain.


FLYING HIGH Buhler Motor is a pioneer in the design, manufacture and sale of mechatronic drive solutions. Abigail Saltmarsh looks at its new aircraft seat actuation systems

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uhler Motor is ready to soar with yet another new product. The global leader in mechatronic drive systems has announced the launch of another groundbreaking new solution – this time in the world of aviation. Director of industrial solutions, Randy Davis, said that the company had made the announcement at Aircraft Interiors Expo 2013, where it had been met with great enthusiasm from those in the industry.

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“This is a new aircraft seat actuation system called PAXCOM, which we have developed in collaboration with Dornier Technologie,” he explains. “It is an integrated movement system for business and firstclass areas within commercial aircraft and it includes actuators that move the seat, the passenger control unit, and the power supply, as well as all the cabling and harnessing that brings it all together.

“I met with seat manufacturers at the event and was extremely pleased with their response. This is an area that is in real need of more competition.”

Motoring ahead Headquartered in Nuremberg, as well as in North America and Asia, Buhler Motor is one of the pioneers in the design, manufacture and sale of small brushed DC motors and electronic


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commutated (EC) brushless motors. Today the company’s expertise also extends beyond the motors themselves to the development and production of gearmotors and actuators as well as electronic controllers and associated software, allowing the group to be a single source supplier for complete drive systems. “We operate within three key markets,” says Mr Davis. “These are automotive, industrial and healthcare. My area, the industrial market, includes transport and aviation, as well as agriculture and building automation; all of these segments are global.” Within these three major divisions, products fall into three subgroups, he continues. These may be defined as catalogue products, variations on those stock service products and customer-specific solutions.

Major step forward

Randy Davis, director of product segment industrial solutions

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Buhler Motor has been supplying into the area of aircraft seat actuation systems for some time now, he stresses. The announcement at Aircraft Interiors Expo, however, represented a major step forward for the group.


“This is the first time we will be selling to the open market,” he explains. “These PAXCOM systems are our third generation of seat actuation systems. Previous developments have always been with a single customer in mind.” The new system is 20 per cent lighter than previous systems and is 15 per cent smaller in size, ultimately representing long-term savings for the airline operator. Additional improvements include a 30 per cent reduction in noise. All these additional benefits have been developed with no compromise on quality or functionality. “All of this has contributed to the excellent interest,” adds Mr Davis. “We expect this to become a very significant element of what we can offer and will contribute to our growth as a company as we move forward.”

Investing in production

Global growth

Buhler Motor produces some 20 million units on an annual basis. Unlike products within other areas, such as automotive, however, volumes of the specialised, higher priced PAXCOM will probably remain low. This is a high grade system, which is likely to be produced in numbers totalling between 1000 and 2000 by the company in Europe. “Initially, we will produce the systems at our facility in Nuremberg, Germany,” he says. “We have invested in our production areas and developed our manufacturing capabilities to ensure that we are ready to do this. In the future, we will continue to make significant investments and to ensure that we dedicate resources to this area.”

Initial sales are likely to be within Europe but there has also been interest from customers in North America and Asia. Buhler Motor, which employs approximately 1600 people, has facilities in Mexico, the Czech Republic, the USA and China, as well as in Germany. “Europe is our most mature market but we are excited about the potential we have in America and Asia as well,” he says. “We are looking for growth in all our three core markets and have some exciting new products in other areas within Industrial as well – in door automation within buildings, for example. “Future growth is likely to be organic and will be linked to new products, such as these aircraft seat activation systems. We see great opportunities for the future with n these, right across the globe.”

Grieshaber Feinmechanik specialising in: • gears • worms • drives Grieshaber supplies complete assemblies and also realises major customised project developments.

Grieshaber Feinmechanik GmbH & Co. KG Höchst 3, D-79871 Eisenbach T: +49 (0) 76 57/91 05-00 F: +49 (0) 76 57/91 05-59 E: info@grieshaber-feinmechanik.de

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HARNESSING THE FUTURE PKC Group is a global leader in the design and manufacture of integrated electrical distribution systems and related architectural components for major global commercial vehicle brands. Philip Yorke talked to Jyrki Keronen, the company’s senior vice-president, about PKC’s unique product and service offering, and its strategic initiatives.


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he Group’s roots go back to 1969, when Pohjolan Kaapeli Oy began by manufacturing wiring harnesses as a subcontractor to a new local car manufacturer. In 1994 PKC Cables Oy was established and in the spring of 1997 PK Cables Oyj became the first company in northern Finland to be listed on the Helsinki stock exchange. At the end of the 1990s, the group opened a factory in Brazil and acquired its electronics business. PKC saw strong international growth in the

years 2000–2010 when it bought its Estonian and Russian subcontracting operations, acquired North American and Polish operations and opened a factory in China. In 2011, the acquisition of the AEES companies in the USA, Mexico, Brazil and Ireland along with the acquisition of the SEGU companies in central Europe strengthened PKC’s product and service portfolio and its market position, particularly in North America and central Europe.

Today the company is a global leader in its field with around 20,000 employees and a turnover close to €I billion. PKC Group Plc is listed on NASDAQ OMX Helsinki Ltd and headquartered in Helsinki, Finland.

Unique competences driving growth PKC Group is a growth-driven company and has developed its business both organically and through strategic acquisitions. Today the company’s customers include all the

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main western truck manufacturers as well as makers of the world’s leading tractor brands, construction equipment and light commercial vehicles as well as recreational vehicles. In 2012, in addition to its traditional markets in Europe and the Americas, PKC expanded its operations in Asia to provide its customers with the same unique service and product portfolio it offers in the other regions. PKC offices and production facilities are also strategically located in order to be close proximity to its customers worldwide. Today the PKC Group has production facilities in China, Mexico, Brazil, Poland, Germany, Finland, Estonia, Russia and the USA. The added value that the company offers originates from its unique competence base which is composed of special processes, tools, expertise and advanced architecture components developed for the complex management of electrical distribution systems. This combination of skills enables the company to mass produce high-quality, tailor-made products, with an infinite variety of options and performance potential. Mr Keronen said, “The complexity of electrical systems within the commercial vehicle

industry is increasing and we are applying our processes, technologies and IT tools to meet the more sophisticated challenges and features determined by increasing environmental legislation. We feel that the timing is right for expansion as awareness of the benefits of fuel efficiency and concern about pollution are growing, especially in the Asia Pacific area. “We are pretty unique in that we know precisely the processes of our customers and develop IT systems accordingly. Our intellectual property enables us to offer greater customisation to our clients which include all the world’s biggest truck and commercial vehicle manufacturers. However, today it is China that is the biggest manufacturer of trucks and buses and we are looking at making significant investments in that country. “Many of our customers involve us at an early stage in their product development programmes and we partner them in the creation of new system architecture which ensures the best outcomes and bestpractice procedures. We assist them with the development of new designs but they remain the owners of the design itself. Whilst trucks and buses are our main markets we are also involved with other sectors such

as light and recreational vehicles, construction equipment and agricultural and forestry machinery. New areas of opportunity for us are other major transportation sectors. Mr Keronen added, “Our knowledge of complexity management decreases the costs of units and offers low cost start-ups. In addition, we can decentralise power distribution if desired. Our power distribution centres consist of modules that make them very adaptable when it comes to vehicles required to operate under very harsh climatic and operational conditions. Our unique know-how of managing complex processes of individually tailored products makes us an asset to our customers’ value chain.”

NPI centres enable continuous development In order to develop still further its competitiveness and manufacturing capabilities, the PKC Group is establishing NPI centres (new programme Introduction-centres) in Keila, Estonia, and in Curitiba, Brazil. The company already has an NPI centre in North America in Acuna, Mexico. The objective of these new centres of creative excellence is to ensure seamless customer programme ramp-ups


from the early product design phases to the final, full mass-production stage. PKS’s core competence is to be able to mass produce high-quality, uniquely tailored products with very fast turn-around times. The company foresees increasing demand for its expertise in the fast-growing Asian markets. Asia, and in particular China is the world’s largest commercial vehicle market and is predicted to grow significantly in the years ahead. PKC’s customers have also placed extra emphasis on these markets by forming jointventures with leading Chinese and other Asian truck manufacturers. The company says that in addition to market growth, Asian vehicle markets are also subject to structural change with new emission standards being imposed and customers’ needs for uniquely optimised n vehicles increasing. For further information about PKC uniqueness and managing the complexity in electrical distribution systems visit: www.pkcgroup.com


ENERGY STORAGE SOLUTIONS A merger with ABB and providing storage systems in which excess solar energy produced at peak times can be stored and used at times with higher energy demands are the major events taking place at Power-One, as its marketing vice-president, Mr Paolo Casini, explains to Barbara Rossi.

H

eadquartered in Camarillo, California, Power-One operates in the power electronics sector, producing electronic devices for energy conversion. It is organised in two divisions: power and renewable energy solutions. The range of the former is products for AC/DC and DC/AC conversion and it generates about 30 per cent of turnover, whilst the latter, from which the remaining 70 per cent is derived, is focused mainly on photovoltaic products (95 per cent), accompanied by a smaller volume of wind energy solutions of up to 50kW (5 per cent). The total 2012 turnover exceeded one billion US dollars and 3300 people are employed by the group worldwide. Both divisions of

the group have production facilities in three continents, from which they supply different world regions. The renewable energy solutions division has its main production centre (also encompassing R&D) in Terranuova Bracciolini (Italy), a location equidistant from Florence and Arezzo, as well as having one production site in the US (Phoenix, Arizona) and one in China (Shenzhen). Power-One entered the renewable energy sector in 2006 when it acquired the Power Electronics Group (based in Terranuova Bracciolini) from Magnetec. Today the division, which has maintained the original Italian location as its main site, employs 1900 staff. Its offer of photovoltaic inverters covers a comprehensive

range in terms of scale, from 250W inverters for small residential applications to large solutions, of up to 1.5MW of electric power, for large photovoltaic power stations. The main part of the production output is standard, suitable for use in different countries but a smaller amount is country-specific in order to fulfil specific requirements set by national authorities. In particular this takes place with regard to the USA market and some Asian countries, such as China and India. Concerning new products Mr Casini explains, “There is continuous renewal in terms of products, as we operate in a dynamic market, which will shortly reach grid parity. The issue of having to innovate relates to not only


performance, but also cost. We regard the new area of energy storage systems as being of particular interest for future development and we have just presented React, a prototype residential energy storage system, which consists of a 4.6kW single-phase grid-connected Power-One inverter and a lithium-ion battery providing 2MWh usable capacity.” The Italian site serves the EMEA region (Europe, Middle-East & Africa) with an 84 per cent of the division’s turnover, with Europe currently as the main player. Another 9 per cent of the $710 million turnover achieved in 2012 by the division was generated in the North American market, while the Asian share was 7 per cent.

The volume of current production reaches about half of the potential offered by the sites, therefore a future production volume increase could be easily accommodate it. Furthermore, as Mr Casini points out, “We are equipped with flexible production sites, which could be expanded or converted with relatively little effort.”

Larger and stronger The big change currently taking place is the fact that Power-One is being acquired by ABB (the merger will be completed as soon as the anti-trust approval is received). The aim of this operation for ABB is that of entering the photovoltaic market, in which Power-

One currently ranks in second place. The merger is being viewed very positively within Power-One, as it will increase the synergies available, as ABB – although moderately active in photovoltaics – is strong in low and high voltage systems. This will be very useful in terms of being able to supply turnkey solutions for large systems, especially in fast-growing countries, greatly aiding the penetration of new markets, especially thanks to the fact that ABB is well-renowned all over the world. Geographically, the European share of the PV demand will reduce, while North America and Asia will experience strong growth. This will be led by the USA in North America and by China and Japan in Asia, followed at a


Etichettificio Senese was established in 1973 and manufactures self-adhesive labels able to fulfil the demands of any market sector such as: • wine • cosmetic • parapharmaceutical

• vegetable oil • pharmaceutical • electronic

In 1999 we obtained the UL and CSA certifications in this field.

less dramatic rate by other countries. New markets, in which the company is already present, but where volumes will increase in a very significant way, are the Maghreb region and South Africa, as well as the Middle East and South America (Brazil, Chile and Peru). Supply to these markets will start with products for large applications (photovoltaic power

stations), with a probable expansion to the residential sector in the future. “In Europe we will grow slowly but steadily in terms of applications for the residential sector, as well as thanks to energy storage systems, such as Reach. The same will happen, although at a faster rate, in the other mature markets, such as Japan, the

USA, Australia and Canada. In developing countries, on the other hand, utility companies are interested in developing large photovoltaic applications, such as power plants, as they can be constructed much more quickly than traditional energy producing plants (such as nuclear power stations and so on) and at a competitive price.


Our Company: GMA Srl is located in Giugliano in Campania (Naples) Italy. GMA posseses the personnel, the technology, the skill, the experience and financial ability to design, to manufacture and to sell mechanical and electronic products for military and civil applications according to the customer’s specifications and standards. Our quality system meets NATO AQAP and UNI EN ISO 9001:2008, UNI EN 9100:2008, UNI EN ISO 14001-2004 and BSOHSAS 18001:2007 standards. The company is also NOS certified for security. We employ 100 people and the turnover is about 18 million euros. GMA has a strategic alliance with a national and international R&D centre in order to improve our products and services. GMA has two plants for design and production: One is located in Giugliano, in a new utra-modern plant of 9000 square metres, and one in Rome. In order to increase its technological competence and product portfolio, in 2010 GMA acquired Axitude, a private company offering products and inertial systems to the general aviation, marine and defence market. Moreover, in 2012, GMA designed and created a family of mechanical shelters (Photovoltaic Centre Stations) specifically for the Power One inverter. Our Value Statement: At GMA, we believe that the best approach to the market is to meet our customers’ needs in the best way, providing high quality turn key products and services. We provide tailor-made solutions to allow our customers to satisfy market demand. A lot of investment has been carried out in the past few years in production facilities, tools and resources in order to ensure we have the right capabilities and systems to achieve the above goals. Our Capabilities - Products and Services for Military and Civil Applications: • Electronic (Hw, Sw, Fw) and mechanical design and production • Documentation and configuration management according to military standards • Logistics services and field assistance • Qualification test as vibration shock, EMC, temperature

• POA Production organisation approval part 21 subpart G. (Reg CE 1702/2003) by Axitude • ADOA Alternative Design Organisation Approval by Axitude 21 subpart O. (Reg CE 1702/2003) by Axitude Products and Services for Avionics, Marine and Terrestrial Application in Military and Civil Sectors: • Multi function consoles and racks both in composite and aluminium material • Photovoltaic centre station • Inertial platform, ITAR Free, based on MEMS technology • Avionics equipment • Dynamic and static system stabilisation for yachts • Touch Input Device (TID) of different sizes • Power distribution unit with internal and external UPS and HUB • EMI filter • Intelligent communications control panel for user-machine interface • Custom keyboards, trackballs, joysticks and hand wheels • Wiring design and realisation • Qualification plan, test procedure and test report including tests for electromagnetic compatibility, mechanical (shock and vibration), environmental and noise • Documentation and configuration in compliance with military standards • Field equipment installation and maintenance Our most important customers: • Alenia Aermacchi • MBDA • Power One • Selex ES • WASS • CIRA • CMC Marine • Vulcanair

Tel.: +39 081 819 8611 Contact: angelopunzi@gmagroup.it / lucignano.g@gmagroup.it

www.gmagroup.it


Furthermore, photovoltaic systems require almost no maintenance, which is also very appealing. I believe that interest in this field will also arise in Europe in a few years. “In terms of energy accumulators, I believe that, as these products are based on lithium batteries, we need cost optimisation to increase their economic appeal and that this would become possible if electric mobility solutions, also using these batteries, increased. “We have made an enormous effort in terms of R&D in the past few years, partly due to the fact that in our young sector, especially in Italy, technical regulations change rapidly and dramatically, with sometimes retroactive effect. This means that not only that we have to update our products, but we also have to support our clients with amendments, so as to ensure that their already installed systems comply with the new regulations. I really hope that now the governments will realise that there is no reason to impose continuous new requirements which risk damaging a n growing and useful industry.” 72 Industry Europe


ENERGY FROM BIOMASS Schnell Motoren is world market leader in dual fuel CHP units, and also builds gas CHP units and biomass power plants. Marco Siebel spoke with the director of international sales, Wolfgang Jörger, about how the company has doubled its number of employees since 2010, and about its ambitious plans to launch two new products.

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S

chnell Motoren AG in south Germany, just north of the magnificent Bodensee, has been building combined heat and power units (CHP units) since 1992. Over 3000 Schnell Motoren CHP units have been installed worldwide. Their total electrical power output is over 630 megawatts – equivalent to the annual electricity supply of around 1.5 million average households. Biomass is an important element in the renewable energy mix. In Germany, renewables make up a good 20 per cent share of total energy generation. Of this energy, around 6 percent comes from biomass. A sustainable supply of energy from biomass

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requires effective and user-friendly technologies. Schnell Motoren aims to further increase energy efficiency, to save feedstock and to increase energy yields sustainably. From 1992, in the pioneering days of the biogas sector, Hans-Jürgen Schnell developed the first biogas plants that were successfully used in the subsequent years. In order to generate electricity from biogas, Schnell developed the Schnell dual fuel CHP unit based on proven diesel engine technology. The special features of the dual fuel CHP unit are its reliable startup behaviour and the fact that it has had the highest efficiency values in the sector from the very beginning.

In 2000, Schnell Motoren started to concentrate on its core expertise and specialise in the development and production of CHP units for the generation of energy from lean gases. Besides biogas, this also includes landfill gas and sewage gas and wood gas.

Wide range Starting with small units of up to 75kW particularly suitable for use in liquid manure plants, Schnell Motoren also offers units within the power range of 460 to 625kW, reaching an efficiency of up to 47 per cent. Schnell Motoren’s award winning ignition system enables ignition to be accurately


controlled, in order to ensure optimum utilisation of the energy in the biogas. The dual fuel CHP units come in sizes producing from 75kW to 1040kW, and feature a powerful V12 engine, a PLC control unit with touchscreen and remote monitoring over a broadband connection, a double bearing synchronous generator, a common rail injection system with Schnell Motoren control electronics, a two-stage water-to-air charge air cooling system, an exhaust heat exchanger made from high-grade stainless steel, and a gas turbine in the exhaust branch enabling enhanced effectiveness. Wolfgang Jörger said “We are currently testing two new units in a power range of 1.5MW to 1.6MW. We expect to launch these CHP units in 2015.”

eRail gas injection system (model-specific), a PLC control unit with touchscreen and remote monitoring over a broadband connection, a double bearing synchronous generator, a two-stage water-to-air charge air cooling system, an exhaust heat exchanger made from high-grade stainless steel, and a turbocompounder in the exhaust branch enabling enhanced effectiveness.

Bright future Schnell Motoren expects to continue expanding worldwide, and has plans to open offices in Europe and Asia – in the Czech Republic, Slovakia, Italy, France and the UK, and in Kuala Lumpur and Singapore.

The company has seen its number of employees steadily grow from over 200 in 2010 to over 500 in 2013. They generated a turnover exceeding €138 million in 2011. The majority of turnover generation is expected to shift from Germany to worldwide from 2013 on. Wolfgang Jörger concluded “Biogas units and natural gas units are being developed to fulfil demands. Schnell CHP units produce electrical energy from low calorific gas as well as natural gas in a highly efficient way. They fulfil decentral energy supply requirements and offer innovative ways for agricultural as well as industrial n energy production.”

Gas CHP units Biogas, sewage gas or landfill gas can be effectively converted to electricity and heat with Schnell Motoren gas CHP units. Wolfgang Jörger continued “When the world market leader for dual fuel CHP units and the developer of BlueRail technology are working together, this will result in a new and powerful CHP unit series: gas gensets with the highest efficiency values.” The gas CHP units come in sizes producing from 75kW to 600kW, and feature a new model of gas genset series with high efficiency values, an integrated agrogen Blu-

Industry Europe 75


FIRST ON THE GRID Woodward Kempen is a global leader in the design and manufacture of wind turbine converters for onshore and offshore applications. Philip Yorke talked to Ludger Rupp, the company’s global sales director, about its modular power converter systems and growth in the offshore renewable energy market.

W

oodward Kempen specialises in the development of renewable power systems (RPS) and is a global leader in the development and manufacture of modular wind power converter technology. The company forms an integral part of Woodward Inc., which was founded in 1870 in Colorado, USA and specialises in the development of integrated technologies for the aerospace and energy industries. Today Woodward’s growth is driven by its commitment to meeting the increasing demand for fuel-efficient, low-emission and highperformance energy management systems. With multiple global locations, Woodward is able to respond quickly to changing market needs by providing optimised solutions tailored to the local demands of its custom-

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ers. The company is listed on the Nasdaq stock exchange in New York and employs more than 6000 people worldwide. In 2012 Woodward Inc. recorded sales of approximately €2 billion.

Optimised power generation systems Woodward’s expertise in the development and manufacture of renewable energy wind converters is underscored by its established track record. The company provides innovative, tailor-made solutions worldwide and has supplied more than 11,000 wind turbine systems for both onshore and offshore applications. Woodward offers a broad portfolio of products including low and medium voltage, doubly fed (DFIG) and full size converter technology. The company’s latest flagship

Concycle® medium voltage converter has been especially designed for operation in offshore wind turbines and provides optimal, high-performance results based upon many years of experience in offshore converter technology. Woodward also produces low voltage DFIG converters and full-size solutions for permanent magnet generators, which deliver optimal reliability and quality in a power-generating system, designed for variable speed wind turbines. The intelligent control of its Concycle® wind converters complies fully with all international grid code requirements. Woodward is a also technology leader in the field of solar energy solutions and its 1000V solar inverters offer efficiencies of about 98 per cent and a wide, maximum


Industry Europe 77


power point tracking (MPPT) that improves energy yield while offering one of the smallest CO2 footprints on the market. Additionally, Woodward offers power electronics solutions for power distribution, energy storage and marine propulsion applications. Mr Rupp said, “We were one of the early pioneers when we entered the renewable energy market in 1995, producing IGBT frequency converters for wind turbines based upon the new requirements of the upcoming market. We had specific requirements to meet from the big energy providers such as Eon, and we supplied OEM manufacturers with converters rated up to 6MW. Now in offshore applications we are talking about wind installations that produce 6–10 megawatts of power and the demand for reliability and power quality continues to increase.” “Initially it was the European market that was driving the industry but this is now a mature market and the main drivers for

78 Industry Europe

growth today are the emerging markets such as China, South Africa, India and South America, and in particular Brazil. Our wind turbine converters provide the gateway between the wind turbine and the grid itself and these world-class products control the electrical output of the wind turbine.” Mr Rupp added, “Our extensive facility here in Kempen, Germany, is the global hub for our offshore applications worldwide and it is here that we specialise in the bigger output converters of 3MW and over. Offshore applications represent the biggest growth opportunity for us and we design our converters to meet the toughest and harshest conditions experienced at sea. Therefore reliability is of utmost importance to operators because servicing offshore installations is a very costly business, both in terms of maintenance and in respect of the revenues lost through an interruption in supply. However, in any event we do offer an unparalleled

after-sales and technical support service worldwide and we also work closely with our customers to develop the optimal product to suit their specific requirements. “In addition to our wind turbine converters, we also manufacture energy storage converters, solar inverters and shore power and dynamic positioning inverters. As an independent supplier we offer flexibility with our products and we are innovative in our approach to product development and customer service. It is also important to remember that we are a truly global organisation and can therefore provide a tailor-made, local service wherever a wind turbine installation may be required anywhere in the world.”

Innovative, modular platforms Woodward’s Concycle® wind converters set the standards when it comes to reliability, efficiency and innovative technology. This is especially true of the company’s


compact, modular MP1 platform. This cutting-edge compact converter is well established in both onshore and offshore wind turbines and is being constantly updated to comply with the latest international grid code legislation requirements. As a customer-orientated and flexible partner, Woodward also offers a local tender solution in countries where it is necessary for local suppliers to produce a certain percentage of the sustainable value chain. This is often required where a special tender consortium is involved like Brazil. Based upon the individual technology licence contract and the industrial property rights, Woodward is able to provide the appropriate critical elements of the overall project. n For further information about Woodward’s latest wind turbine converters and services visit: www.woodward.com

Reactors for converters and drives Mangoldt designs and manufactures various types of reactors for motor drive and frequency converter applications. The renewable energy industry presents interesting challenges for reactor manufacturers. The electrical energy generated by wind turbines or PV panels is fed into the grid through special converters using either a series reactor or reactors combined with capacitors to form an input harmonic filter. The main issue for such reactors is the fundamental current load combined with a considerable amount of superimposed harmonics and ripple currents. In particular, these ripple currents can reach significant amplitudes, and frequencies can be in the region of 3kHz to 28 kHz. These demanding characteristics create the need for precise design of the iron core structure to achieve the desired electrical performance and to avoid excessive noise and heat. The design of Mangoldt reactors is based upon more than 30 years of experience, unique in-house testing capabilities, and ongoing research and development. The reactors have proven to maintain their inductive properties and reliability in both rigorous and diverse applications throughout their entire lifespan. Mangoldt’s Polygap® technology achieves high linearity and stable inductance within the specified frequency spectrum, while minimizing the intensity of stray magnetic fields. Mangoldt has gained notoriety for their ability to produce low loss converter reactors which enable the generation of renewable energy with high converter system efficiency. To confirm reactor performance, Mangoldt developed unique test equipment to prove the reactor’s conformity with stringent customer specifications and application requirements.

Hans von Mangoldt GmbH Hergelsbendenstrasse 18 D - 52080 Aachen, Germany Phone: +49 241 166070 Fax: +49 241 1660721 E-mail: info@mangoldt.com www.mangoldt.com

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FLAVOUR OF SUCCESS Sweden’s largest bakery, Pågen AB, was founded by an entrepreneur and has been passed down through several generations of the family, always growing and expanding its range of products.

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ågen dates back to 1878, when Anders Påhlsson and his wife Matilda started a small bakery in Malmö, Sweden. Though just one of many such businesses it did so well that in 1903 it opened the country’s first industrial bakery. As Malmö grew over the next 50 years from 35,000 inhabitants to more than 250,000, so did the business. In the 1950s, Pågen became the first bakery to distribute its products nationally and then the first to export bread and other bakery products.

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Today, Pågen is the bakery business of Pågen Gruppen AB, under which come several related businesses including a flour mill that supplies much, though not all, of the bakery’s raw material. The firm employs around 1400 people at its three factories, two in Malmö and one near Göteborg.

Rivals unite Pågen was already well ahead of all its competitors when, in 2000, it decided to restructure the business radically. For many

years its Göteborg factory, Pååls Bageri, had been run as a separate business, duplicating many of Pågen’s products and encouraged to compete with its sister company. The thinking behind this was that the internal competition was an exciting challenge for both companies, but the market had changed, and it made sense to merge these companies into one strong entity to meet the growing centralisation and internationalisation in the supermarket and grocery chains.


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The two companies were much the same size and had a combined share of the national market of about 22 per cent. Each had its own portfolio of products, but quick surgery meant that the enlarged company ended up with the same number. Though the combined group was more effective from the start, that alone would not account for the dramatic growth that Pågen has seen since the merger. In Sweden, bread buying habits are different from, say, Germany. Though small local

bakeries do exist their market share is very small: the vast majority of bread is sold in supermarkets. Pågen uses its own fleet of vehicles to deliver overnight from its three bakeries to supermarkets and grocery stores throughout Sweden.

Highest quality baked goods Service like this helps Pågen to stay at the top of the Swedish retail supply chain, and has been enhanced by continuous improvement in the factories. Over the

Swedish jam quality since 1938 Hafi is the leading jam producer in Scandinavia. Our mission is to combine Swedish lingonberries, blueberries and cloudberries with exotic fruits from the Far East to meet our customers’ requirements. Most of our products are sold in stainless steel containers to European customers. We welcome your requests. Hafi, Brännarp 148, 305 77 Getinge, Sweden Phone: +46 35 55008 • E-mail: marcus@hafi.com

past few years the company has sharpened the effectiveness of its operations by streamlining its production lines and reducing production costs. Pågen’s product range is divided into four main areas. Its breads include whole loaves, portion bread and rolls for the fast food market. The second main area is its Gifflar brand of pastry rolls in chocolate, cinnamon, saffron and vanilla flavours. The Pågen muffin range consists of an assortment of classic muffins with various flavoured cream fillings such as


chocolate and lemon. Finally, the company’s range of Krisprolls, its best-selling export, each has a unique flavour and includes cardamom, muesli and wholegrain varieties. The phenomenal success of Krisprolls outside of Scandinavia where they had always been popular, took even Pågen aback in the late 1970s when they were introduced to the wider European market. Krisprolls are packed loosely in bags, not neatly packaged, and have an uneven shape that gives them a hand-made feel.

Being from Sweden is no bad thing in the French or any other European market, and in France Krisprolls are as widely recognised as IKEA, Saab or Ericsson. 90 per cent of Krisprolls are sold outside of Sweden, with France by far the largest market.

Home and abroad Pågen is one of the market leaders in pastries and sweet products such as muffins and bread in the Nordic regions. Increasingly, the supermarket chains in Scandinavia are looking

at Nordic concepts and Nordic buying power. For instance, the Co-op, which was founded in 2002, has developed a strategy of seeking Nordic partners among its food business suppliers. The same is true of the Danish Netto chain, which has established a presence in Sweden over the past few years. “It is a sign of growing pan-Nordic cooperation between the retail trade and the food production industry, and we hope to see much of the company’s future growth coming from this region,” says a n company representative.

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LEADER IN SPECIALPURPOSE TRUCK BODIES IGLOOCAR Ltd of Poland is the leading manufacturer of specialist truck bodies for the transportation of various food products. The company delivers cooling, isothermal, refrigerated, wagon, drink carried and distribution bodies which can be mounted on all truck makes and chassis types, trailers and bodies. Piotr Sadowski revisits IGLOOCAR’s latest developments for Industry Europe.

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hen the company was last featured in this magazine, Krystyna Jaskowska, IGLOOCAR’s operational director and member of the board, pointed out that the producer still had spare manufacturing capacity and that the Polish market, the main distribution destination, was continuing to show strong demand for special purpose truck bodies. “Since then, IGLOOCAR has been developing at a steady pace, taking advantage of the many opportunities on the domestic market,” remarks Ms Jaskowska. “Poland has not been directly hit by the recession, which has contributed to the good results achieved by IGLOOCAR at home, including maintaining a stable employment for 200 staff. The current annual level of sales is around PLN 43 million, equivalent to approximately €10.5 million, which is very satisfying. Our current manufacturing capac-

ity is being nearly fully utilised, but should we need to, it could be increased further by introducing a third daily production shift.”

A Polish company with a European outlook The focus on the distribution of products in the Polish market continues to be one of the driving forces for IGLOOCAR’s operations, but this is not to say that the company avoids cooperating with customers abroad. Ms Jaskowska reveals out that currently around 20 per cent of the overall production is already being exported – and this figure fluctuates depending on the demand situation for special-purpose truck bodies in Europe. The main foreign distribution markets are currently Ukraine and Denmark, with the Danish client subsequently distributing IGLOOCAR’s products across the whole of Scandinavia.

Some deliveries are also made to customers in the Baltic States and Germany. “Both in Poland and abroad, our customers, 80 per cent of whom are dealers of various chassis brands, can approach us with any type of production question relating to special purpose truck bodies,” she explains. “IGLOOCAR is proud of its flexibility and ability to adjust its manufacturing and deliver all types of solutions, for all makes of trucks. Our products are designed by teams of experienced engineers in cooperation with leading university research institutes, as well as with reputable companies in Germany, Italy, France and other countries.” In every project undertaken by the company, the type, parameters and special truck completion are performed on the basis of individual needs and requirements of customers, in order to ensure that an optimal and fully satisfac-

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tory solution is delivered for clients, a product which can be perfectly integrated into their own transport systems. Tradition, experience and reliability, confirmed by all relevant Polish and foreign regulatory certificates, including the certificate according the ATP agreement, make this company from Dębica a highly trustworthy partner for special truck bodies used for transporting foodstuffs, as well as other products which require stable and regulated temperatures in transit. The fact that all of IGLOOCAR’s special purpose truck bodies can be mounted on all brands and types of chassis, trailers and semi-trailers gives the company a very strong market advantage.

Diverse production and services Any client browsing through IGLOOCAR’s offer will be impressed by the wide range of solutions (which can be further adapted depending on individual needs and requirements), which include specialist refrigeration, isothermal and freezer truck bodies, in addition to truck bodies for the transportation of beverages, as well as other products for nontypical transportation needs. By far the largest share of the overall production concerns the manufacturing of insulated truck bodies, which guarantee to maintain a specific temperature of foodstuffs and other goods being transported. This is achieved independently of the outside weather conditions, which means that IGLOOCAR’s insulated truck bodies guarantee the same level of reliability (and temperature) whether transportation takes place in extreme summer or winter temperatures. As a specialist manufacturer, IGLOOCAR is also able to offer excellent services for different truck bodies. It has excellent access to original materials and parts, which in turn results in quick and high-quality repairs. In addition, the company is able to adjust the parameters of truck bodies to the new requirements of customers. “We can adapt transportation 86 Industry Europe

chambers, including installation of refrigeration or heating units, equipping them with shelves, partitions, hooks, windows and many other types of special equipment,” says Ms Jaskowska. “Our servicing department can also carry out all relevant repairs up to the highest standards required by our customers and their insurance companies.”

A caring company In addition to a modern and dynamic market player, IGLOOCAR is also a very socially responsible business, with a positive image and strong acceptance within the community of Dębica and its surrounding areas. “We really value, respect and invest in our employees,” says Ms Jaskowska. “Every person is

employed on a permanent work contract, which in times of economic uncertainty is very important for our staff and their families. In addition, we have a robust and transparent bonus system, which covers both departments, as well as every single employee. We are proud to have a very dedicated crew, with a strong work ethic. We all work together to generate the best results, and our achievements are reflected in securing high places in various customer and market rankings. Our plan is to continue growing organically, as currently the market situation is such that there is not a strong case for pursuing acquisitions. However, should an opportunity for a favourable takeover of another company arise, we n will be ready for it.”

FEIDAL COATINGS GROUP The FEIDAL COATINGS GROUP develops, produces and distributes high-quality paints and coating systems, worldwide. With our business areas industrial paints, protective coatings, decorative paints and floor coatings we belong to one of the larger medium-sized manufacturers in Germany and Europe. Apart from four manufacturing locations in Germany we are additionally represented in Poland, Russia and Ukraine with modern production sites for emulsion paints and renderings, in order to meet the dynamic needs in these countries. Subsidary companies and cooperation partners built up as service centres are available in Austria, Slovenia, Czech Republic, Saudi Arabia, Algeria and Philippines. Our products have already been successfully used for many projects as protective coatings and in serial production as industrial and automotive coatings. Our non-polluting products with the “Blauer Engel” (Blue Angel) are particularly highly appreciated. www.feidal-coatings.com


COMPLETE

HEATING

Galmet, from Glubczyce in south-western Poland, is a company that is growing dynamically in the field of heating technology. Operating for more than 30 years, it has reached a leading position in the market.

SOLUTIONS Industry Europe 87


G

almet is well known at home and abroad as a manufacturer of modern water heaters, boilers, solar systems and heat pumps. Initially, there was only a small shop in a garage. Mr Stanislaw Galara founded a one-man establishment in Glubczyce in 1982. At that time, he was the company’s boss and the only employee. In early 1980s a craftsman’s task in Poland was to offer replacements for other products, which could not be otherwise obtained. Lack of central heating radiators was one of many problems that Polish citizens faced at the time. Because of this, Galmet started making simple heaters and tanks. However, Mr Galara was able to make further steps in order to transform his one-person company into a rapidly growing business. At the beginning of the 1990s the company became a family business. As a result

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of its development, the most modern enamel plant in Poland was built in 1999, while in June 2001 an automated powder coating line for outer coats heaters was opened.

Experienced staff Today, Galmet is one of the leading companies in the heating technology industry. It employs more than 700 people and production takes place in a factory with an area of over 25,000m2. The company boasts well-trained staff. Each employee, regardless of the position, has to start in the company’s production department, some of them for two months, others for six months or more. Thanks to this simple procedure, everyone knows exactly what the company makes and is well aware of the plant’s structure. All departments can effectively collaborate with each other since

they know the needs and specific conditions of the plant’s production. It is extremely important as the vast majority of employees, more than 500 people, carry out activities related to the production process.

Broad product range The company’s annual sales are estimated as more than PLN 123.59 million (more than €30 million). Approximately 20 per cent of Galmet’s output is sent abroad, mainly to Poland’s neighbouring countries, but also to Slovenia, Latvia, Sweden, Hungary and Romania. The company is going to expand into new markets like Kazakhstan. The scope of Galmet’s production is very wide and includes such products as water heaters, boilers, central heating, complete solar systems and heat pumps. Galmet water heaters are available in the widest range on


the Polish market – no other company in Poland has such a large selection of heaters. Most heaters are electric and equipped with advanced automatic controls. LCD displays and digital temperature control allow users to set the water heat very precisely. Galmet also produces hot water exchangers. They are not electric, but cooperate with central heating boilers. These exchangers are characterised by simplicity of design, a wide choice of models and very good value for money. The company is also a major manufacturer of central heating boilers. Its offer includes coal burning boilers,

fine coal boilers, as well as boilers burning pellets and firewood. Its green policy is a very important part of the company’s programme. Renewable energy in the form of solar systems is available in a wide range of branded products. These devices are equipped with special Sunselect technology, which has the ability to absorb solar energy even during days when the sun is not particularly bright. These products can be successfully installed in combination with other Galmet devices. They are fully compatible and allow for the full implementation of the heating system.

Cloos Polska Sp. z o.o. is a one of the leading supplier of welding equipment and services. We have over 20 years of

experience in construction and implementation of high-tech welding and cutting systems. With our QINEO®, the new generation of welding machines for manual and automated applications, and QIROX®, the system for automated welding and cutting, our product range covers the entire spectrum of arc welding technology. Our product portfolio includes intelligent software, sensor and safety technology solutions – all of which are customised to meet your specific needs and requirements! Leadership and competence equals process automation and welding at its best. Whatever your needs are, we “Weld your way.” CLOOS Polska Sp. z o. o. ul. Stawki 5, 58-100 Świdnica Tel.: +48 74 851 86 60 Fax: +48 74 851 86 61 E-mail: firma@cloos.pl www.cloos.pl

Galmet controls the entire production process, including galvanising and enamelling. The company’s departments are self-contained. Galmet boasts that it applies Western standards so materials, technologies and even industrial wastewater treatment units contribute to the improvement of the environment. Recently it also completed the construction of a new hall for the production of solar collectors, which is equipped with modern, fully automated machinery from leading European producers. The hall is now the newest and most modern facility of this kind in Poland. Here, Galmet produces 3900 solar collectors per annum.

Close customer relationships One of Galmet’s biggest strengths is its ability to offer the highest quality goods at affordable prices. Moreover, the company helps clients in the installation of heating systems. It recommends and encourages clients to take advantage of the expert assistance offered by its trained installers. They know very well what should be done, can advise on how to optimise the cost and answer any questions related to the finished installation. Galmet also offers a good quality after sales service. Its service department is flexible and ready to n visit customers wherever they are. Visit: www.galmet.com.pl


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MAXIMUM COMFORT,

MINIMUM ENERGY Not many companies can refer to 2012 as having been their best year ever, but this is the case for Ariston Thermogroup SpA, writes Barbara Rossi for Industry Europe.

T

he story of the group – headquartered in the central Italian region of Marche – began in 1930, when Aristide Merloni set up a weighing machine production business in Fabriano. The activity evolved and expanded over the years, alongside a few name changes. Despite all of this, the business remained in the hands of the founding Merloni family. The Ariston brand was created in the 1960s for the production of electric water heaters, and soon established itself as a European leader. Thanks to a list of prestigious acquisitions: Racold, Chaffoteaux, Elco, Rendamax, Cuenod, Ecoflam and Termogamma, among others, the company became a group, which adopted the Ariston Thermo name in 2008. The same year also saw the opening of the European Centre of Competence for Solar Thermal, 2009 the acquisition of world leader status and 2011 further expansion, with the acquisition of Cipag SA and Domotec AG. Paolo Merloni, the third generation of the founding family, is now at the head of this fully established heating industry world leader which, despite holding to its traditional family-run Italian business spirit, is a real international player. In 2012

it had a turnover of €1.32 billion, the best result ever, and Ariston Thermogroup was actually in the position of repurchasing 18 per cent of its own shares from the Intesa Sanpaolo and BNL banks. The group has 6700 employees worldwide, 19 production sites in 10 countries, as well as 42 companies and 6 representative offices in 129 countries. It also maintains 15 competence centres for product research and development and distributes 6.9 million products per year in over 150 countries, in addition to more than 33 million components (1500 people are dedicated to sales and marketing).

Three divisions The activity of the group centres on three closely connected divisions, which address the needs of different markets: thermal comfort, burners and components, with products being distributed under a variety of brands. The component division products are offered through the Thermowatt label, while brand names dealing in burners are Elco, Cuenod and Ecoflam. Products from both of these divisions are sold to other manufacturers and professionals in related

sectors. Thermal comfort is the largest business, offering energy-efficient heating and hot water products, systems and services for both domestic and commercial users around the world, through the Ariston, Racold, Elco and Chaffoteaux makes. The breakdown for the different divisions is: thermal comfort 89 per cent, burners 6 per cent and components 5 per cent. Each of these divisions has its own management and brand portfolio, so as to make sure to be close to its reference markets. The same applies to R&D, which is not just concentrated at the Italian headquarters. In fact, over 270 people, deployed in 15 competence centres for product R&D in eight countries, are dedicated to this activity. In 2012 €58 million was channelled into R&D and investments. Obviously, all relevant certifications are held – ISO 9001, ISO 14001 and BS OHSAS 18001. Currently 89 per cent of turnover is generated outside Italy (47 per cent in western Europe, 18 per cent in eastern Europe, 19 per cent in Asia and 5 per cent in the rest of the world). International expansion continues to be a strategic driver for growth, with Ariston Thermogroup being in a strong


position in European markets and a leading position in key emerging countries. In fact, its strength in markets such as China – in which it has been present since 1987, as well as India, Russia, Turkey and Latin America – is the basis of its 2012 success.

Energy saving The company gained further strength from the employment of a new set of values and a new leadership model, and it intends to maintain its optimism and strong determination in tackling future challenges. It has

several assets at its disposal, which can help it in this endeavour. After all, there must be a reason why over 6 million families choose its products every year. Employing highly qualified staff, dedicating over 2500 people to customer service, offering remote service and remote diagnostics can all partly explain this, but the company’s range of products – offering a high degree of comfort with the minimum amount of energy – are the foundations of this success. The fact that the Ariston Thermogroup range is of high efficiency, while offering

a reduction in greenhouse emissions, is of particular significance, when in Europe there is a drive for greater energy efficiency, as heating and hot water takes up about a third of the energy currently used in the continent. It is estimated that, if the 230 million water heaters and 200 million boilers in use in Europe could be replaced with their energy-saving Ariston Thermogroup equivalents, their power usage would be up to 50–75 per cent lower. To put this into perspective, this is equal to 260 power plants, each generating 800


megawatts of electricity; or the energy used by 85 million vehicles. The group wants to go further and it has set itself a very ambitious target: that of having 80 per cent of its business coming from high energy efficient products and renewable based systems by 2020. It intends to do this by improving the efficiency of traditional products, such as boilers, water heaters and burners; by developing innovative renewable energy solutions, such as solar thermal and heat pumps; and by investing in the systems of the future, such as micro co-generation. Ariston Thermogroup is in a very strong competitive position, well-balanced both at geographical and business sector levels. It intends to consolidate its achievements in Europe, while continuing to increase its sales in fast-growing markets; however, the group is

fully aware of the fact that the world is in rapid evolution and could be completely different in the next 10 years. The group’s management believes that in future the world’s economy will have up to seven centres of gravity. The only anchor for the future is considered to be an ability to compete under any condition and economic situation. Brands will be reinforced, increasing commercial and communication investments in the different countries. Moreover, even more effort will be made in acting as a truly successful team, so as to achieve the set targets in a sustainable way, because sustainability, alongside the values of integrity, excellence, people and customer care, will continue to be at the core of the group’s activity. Social responsibility is taken extremely seriously and in 2012 €1.2 million was channelled into activities supporting local n communities, both in Italy and abroad.


STEEL FORGINGS FOR GLOBAL MARKETS Specialised in high-quality hot steel forgings, available in a wide range of weights, and with a focus on total quality, ACSA Steel Forgings SpA is already equipped for volume growth, as Industry Europe discovers when talking to Sabrina Colombo, one of the two partners leading the company. Barbara Rossi reports. 94 Industry Europe


A

CSA Steel Forgings was set up in 1935 by Mr Antonio Colombo, near the northern Italian town of Varese. Specifically its first site was in Solbiate Arno and this is reflected in the acronym naming the company: ACSA stands for Antonio Colombo Solbiate Arno, but the last two letters of the acronym can also mean ‘stampaggio a caldo’ (hot forging), thus describing the activity of the company. The company developed when the two sons of Mr Colombo, Rino and Evaldo, joined the operation. In the 1960s ACSA was already exporting to Germany and the USA, offering clients a fast service, thanks to the employment of staff based at local level. Today, the company is managed by the third generation of the founding family,

in particular by Mr Colombo’s grandchildren, Arturo and Sabrina. The company has moved its location, although it is still based in the Varese area (Oggiona Santo Stefano). Here it operates from a 250,000m2 site, which includes 50,000m2 of covered area. ACSA also has a production unit situated 15 km away, where it carries out thermal treatment of some of the forged components that it produces. ACSA employs the latest technology, thanks to which it has an annual output capacity of 70,000 tons of high-quality hot steel forgings in carbon alloy, micro-alloy and stainless steels, among others, with a wide variety of weights ranging from 0.5 kg to 250 kg. Production starts with the design

provided by the client, further supported and developed by the ACSA engineering department, which being equipped with upto-date technology (CAE), is able to support customers in the design phase, by means of forging simulation to optimise the forging process and the product. ACSA works in partnership with its customers, choosing the best materials and processes to use in order to optimise resistance, obtain homogeneous mechanical features, etc. The moulds necessary for the production of the required component are then manufactured. The needs of clients determine the development of new products, as ACSA customises its offer in order to fulfil their requirements, with 10 people dedicated Industry Europe 95



to R&D. ACSA also manufactures all the moulds and machinery that it needs for its production, thereby only depending on external suppliers in terms of the raw materials employed in its industrial processes. The result is a tooling department which is completely autonomous and equipped with the latest generation of CNC-machines fully controlled by CAD/CAM. The range of products currently manufactured includes components for wind power and earth-moving equipment, cylinders and crankshafts for small planes, parts for pressure accumulators, crankshafts for motor vehicles and internal combustion engines, steering knuckles for truck and car axles, oil filters for industrial machinery, flywheels for the earth-moving sector and gears for agricultural machines and lorries; alongside these there are also parts for lorry transmissions, components for diesel, locomotive and marine engines, rod supports for diggers, adaptors for the energy sector, and camshafts, flywheels and rods for the textile industry. Production is guaranteed by the fact that for each different production range there are

at least two production lines available. ACSA has of 10 lines of presses of 1600, 2500, 4000 and 6300 tons; two hammer lines of 9000 and 25,000 kg; and three extrusion lines of 400, 1000 and 1250 tons.

Total quality ACSA has total quality control at each stage of the production process, constantly checking materials, suppliers, production (statistical controls) and shipment. A 3D optical scanner is employed to carry out further quality checks of the production phase. ACSA, which holds certifications such as ISO 9001, ISO/TS 16949, Lloyd’s and TUV, also has an internal laboratory which is ISO IEC 17025 certified. Tests carried out by this internal laboratory are microstructure and macrostructure checks, chemical analyses, impact, tensile and hardness tests and crack detection. The sectors served by the company are commercial vehicles and automotive, petrochemical, railway and locomotives, aerospace, wind power, agriculture, earth-moving and industrial machinery. Ms Colombo explains, “We have no problems in exporting our production. Already 70 per cent of our output is

for export, and we serve markets all over the world. Currently our main geographical markets are Europe, North America, Japan and South Africa, while the main market segment is the automotive industry (including lorries and motorcycles). Our size and organisation have developed over the years, but we have maintained the decision making speed of a familyled company, offering quick response times. We are able to support our clients in periods of production ramp-ups, often encountered in current markets, as we already have at least two production lines for every production range, meaning that we are equipped to accommodate sudden increases in production volumes. However, in order to further increase our production capacity, as well as to make thermal treatment more efficient and increase its output, we are planning to expand our production site in terms of covered area, so as to enter important new markets. Geographically we will focus our future growth on expanding our presence in North African markets, as well as in the Middle East and Gulf States, while in terms of market segments served we intend to extend our offer to products for the oil and n gas sector.”


GLOBAL EXPANSION As the world’s leading supplier of thermal processing services, UK-based Bodycote supports a large number of multinational businesses and niche players across industry sectors. Industry Europe looks at the continued success of the company.

E

stablished in 1923 and based in Macclesfield in the north of England, Bodycote has steadily grown to become the world’s leading provider of thermal processing systems. Initially founded as a textile business at the heart of the UK’s flourishing textile industry, the Bodycote family utilised its entrepreneurial skills right from the start. Its strategic development toward the increasingly vital industrial requirements of the region and the country came in 1979 when the company decided to focus more on industrial applications, with tactical acquisitions including a heat treatment company and huge investment, boosting its overall capabilities. In the past 40-plus years, Bodycote has continued this dedication to industrial appli-

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cations and also its appreciation of the necessity of investment in order to stay at the top of its game. It has grown to become a global business with more than 170 facilities in 27 countries worldwide, so there are very few territories where Bodycote does not have a strong presence. It has long seen the value of investment in order to maintain and enhance its market-leading position, and provides a vital link in the manufacturing process for virtually all sectors.

Leading the way Today, as the world’s leading supplier of heat treatments, metal joining, hot isostatic pressing and surface technology, Bodycote has extensive experience in supporting large multinational customers and their supply

chains, as well as working closely with a number of niche local specialists. With a strong presence across a range of industrial sectors, the bulk of Bodycote’s activities (42 per cent) come from what it describes as ‘general industry’, which includes construction, mining and medical requirements such as implants, drills and tools. A further 26 per cent comes from the automotive industry, 20 per cent from aerospace and the remaining 12 per cent from the energy industry. In terms of projected growth, both the automotive and energy sectors represent clear positive targets for the company. The growth in the automotive industry in 2012 was significant, a key reason for which has been the new technologies and new legislation regarding the reduction of CO2


Industry Europe 99


emissions for new vehicles. Until recently the focus had been more on developing and manufacturing small eco-efficient cars, but now many factors are pointing towards a trend for larger, more practical family cars that are also meeting these strict rules on emissions. Heat treatment is an excellent tool for the required technological manufacturing on such models, so Bodycote is in an excellent position to respond to this trend. In terms of the expected growth in the energy sector, Bodycote will also use its

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experience and know-how to add value to this burgeoning industry. There is a continuing growing demand for cleaner, greener types of energy. Many countries, particularly in Europe, are seemingly moving away from nuclear energy towards other forms of renewable, sustainable energy, so its strong presence in the heat treatment of wind towers is very interesting. In terms of alternative energy technologies, the company is also present in the solar power and fuel cell industry.

Continued growth Stable growth is also achieved from the aerospace industry, particularly as it has such long lead times. With Bodycote’s sales benefitting from the fact that the aerospace industry orders new planes around three to five years in advance, this also represents a valuable stability for the company’s capacity. Future growth for Bodycote will come from both organic expansion and strategic acquisitions. Some years ago it established a joint venture with a respected automotive


heat treatment company in a former German city in Romania, and recently this has become a wholly owned subsidiary. Bodycote continues its global expansion. In April 2012 it acquired the heat treatment business of Curtiss-Wright Corporation which comprises nine sites in northern and central USA and serves a wide range of industries but with a particular focus on commercial aerospace and oil and gas. In that same month it took another step forward in this market when it opened a new surface technology plant in Houston, Texas. This was followed in October of the same year with the acquisition of a Carolina-based heat treatment business comprising six facilities in the south-east of the USA. But the company has not neglected continued expansion on the European market either: in July 2012 it announced its plans to expand its heat treatment network in France with a new facility in Toulouse. This new location is dedicated to the assembly and strengthening of aluminium structural parts for the aerospace industry. In addition to heat treatment services such as annealing and straightening of large aerospace structural parts it also provides electron n beam welding. Industry Europe 101


LATHES OF THE HIGHEST QUALITY FAT (Fabryka Automatów Tokarskich) SA, part the of Belgian HACO Group, is a well-known Polish manufacturer of specialist, mainly numerically controlled, custom-made lathes, exported to clients around the world. It is the only company in the Group which produces lathes, manufacturing around 150 machines every year. Piotr Sadowski reports.

Q

uality has always been the top priority for FAT SA, which has nearly 70 years of manufacturing tradition and since its inception has produced more than 60,000 lathes. “While we cannot compete on price with Far Eastern producers, we certainly win over clients by the strength of our brand and the absolute guarantee of providing the best quality and customer service following the purchase,” explains Ireneusz Ostrowski, director of sales and marketing at the company. “We work together with clients to deliver customised medium to large size lathes, today mostly numerically controlled. For example, we recently organised a meeting with our dealers to introduce one of our latest products, the FTM 700 5-axis CNC turn-mill centre. All of our machines are manufactured according to detailed custom102 Industry Europe

ers’ orders. Our advantage lies in non-serial production and the capability to adjust to individual needs of clients.”

Growth and investment despite the recession Since 1998, FAT has been a member of the Belgian HACO Group, which is an important European manufacturer of sheet metal working machinery (press brakes, guillotine shears, punching machines and laser cutting machines etc). Thanks to the cooperation with HACO, FAT has developed very quickly and has focused on the production of both conventional and CNC controlled flat bed CNC lathes. The company gained new investments and increased production of lathes. New machine shop was built; production of modern teach-in lathes using state-of-the-

art technology were developed as well as production of fabricating machinery. FAT also started to realise special projects for individual orders. A new sales strategy through dealer network was implanted. The economic slowdown certainly affected the operations of FAT SA: it had to undertake vital cost restructuring and shed around 100 jobs. Nevertheless, the company managed to cope with the difficulties and for the last two years it has been undergoing stabilisation and has begun hiring again. “We now employ around 220 staff. It is, however, important to note that FAT SA is focusing on manufacturing increasingly larger, more innovative and complicated lathes. Some lathes, such as those in the TUR MN series, have an impressive turning length up to 16,000mm and turning diameter up to 1550mm.


Established in 1945, FAT SA is nowadays also a very independent producer. “This has been achieved thanks to a number factors; they include the fact that we operate our own design office and manufacture over 90 per cent of the mechanical components for our machines in-house,” adds Mr Ostrowski. “Our independence means that we can create a product entirely from start to finish, according to clients’ needs, as well as guaranteeing reliability and high-quality aftersales service.” This dynamic company is also investing in its development. Recently, it purchased a gear wheel grinder and a turning milling centre. The management is

also considering changing its headquarters to the outskirts of the city of Wrocław, which could happen in the next three years.

Global exports FAT SA can be considered as one of the leading European manufacturers of conventional, servo-controlled and CNC-controlled flat and slant bed lathes. It works with clients from a wide range of industries, such as hydraulics, shipyards, repair machinery, energy, mining, oil and gas, and many more. While continuously expanding its sales on the domestic market, currently accounting for up to 20 per cent of the annual distribution, FAT SA is also

a well-known global supplier of lathes. Its biggest export market is western Europe, with key countries being Germany, France, Scandinavia and Belgium, where the parent entity HACO is located, in addition to a significant number of other European markets, including Russia and Turkey. Thanks to its own sales network, FAT SA also supplies customers across North America, as well as South America, Asia, Middle East and Africa, and Australia. “When looking for new dealers, we always ensure that our local trading partner is a company who has a thorough knowledge and insight into the local market conditions,” says Mr

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SCHNEEBERGER GmbH Founded in 1923 in Switzerland, Schneeberger is now one of the leading brandnames,when it comes to groundbreaking innovations in the field of linear technology. Linear bearings, profiled linear guideways, integrated measuring systems, gear racks, slides, positioning systems and mineral casting are all part of Schneeberger’s product and manufacturing range. The company serves original equipment manufacturers operating in various industries worldwide – from general machine tool industry and automation to special industries as solar and semiconductor technology to electrical engineering and medical engineering, every field is represented. Schneeberger’s distributors and exclusive representatives can be found in all major industrial nations around the world, thereby guaranteeing the best possible proximity to customers everywhere. See: www.schneeberger.com

HARMONY IN COOPERATION RELIABLE SERVICE

ZHU “HASAN” Manufacturer of UCH® – cooling systems of cutting tool in machine tools.
 Electro pumps for cooling emulsions and oils in machine tools – submersible pumps, gear pumps, high pressure pumps, transfer pumps.

ZAKŁAD HANDLOWO - USŁUGOWY „HASAN” | 48-300 NYSA, ul. Jeziorna 15 tel: +48 77 409 39 30 - 2 | fax: +48 77 431 05 43 | e-mail: zhu@hasan.pl | www.hasan.pl

Lighting for machine tools - fluorescent lights, halogen lamps, LED lamps.
 Exterior and interior lights - StLED street lamps, LED lighting tubes: T5, T8, T10, linear.
 Optoelectronic encoders.
 Sectional hoses for cooling emulsions 0-1 atm, 0-6 atm.
 Limit switches - micro switches.
 Sales, technical support, service.

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Ostrowski. “It also must be able to guarantee excellent after-sales service.” Local partners significantly contribute to the FAT S.A. products’ final success on the market. The company has cooperated with such big names in their fields as Schneeberger (one of the leading brand names, when it comes to groundbreaking innovations in the field of linear technology), Igus (a worldwide manufacturer and distributor of plastic plain bearings, spherical bearings, linear guides, cable carriers and continuous-flex cables), Hasan (a leading manufacturer of cooling systems of cutting tool in machine tools), Fagor Automation (a company with great experience in the development and manufacturing of products for machine automation and control) and NSK Polska. The last company is one of the world’s leading manufacturers of rolling bearings, linear technology, automotive components and steering systems. It offers standard and customised products to key industrial sectors. The NSK product ranges include ball and roller bearings, bearing units, linear guides and ball screws, hub units and

steering columns. NSK bearing types include deep groove, angular contact, self-aligning, thrust, cylindrical, spherical, and tapered and needle. FAT’s cooperation with NSK Polska started in 2001. Initially, this cooperation included delivery of TAC and BTR bearings to spindle lathes, which replaced the widely used angular contact ball bearings. Gradually the range of products supplied has been expanded. The NSK high quality products and advisory services as well as its technical support resulted in more than ten years of fruitful cooperation with FAT/HACO. The company is also actively engaged in strengthening its brand awareness by regularly exhibiting at key international industry fairs. It is a well-known presence at events such as METAV in Düsseldorf, INDUSTRIE LYON, PRODEX in Basel, USINAGE EXPO NOUVEAU in Paris, TEKNISKA MASSAN in Stockholm, MACH-TOOL in Poznań, TATEF in Istanbul, VIENNA TAC, TOOLEX in Sosnowiec, IMTS in Chicago and many others. The company is going to proudly present its latest products: TUR 4MN heavy duty

4-guideway lathe designed for highly efficient machining of long and heavy workpieces and TUR PMN a new model based on the well-established and popular TUR MN series adapted for pipe turning during Open House at FAT HACO in Wroclaw, 6–7 September 2013. The company cordially invites its current and future customers for this event. The Open House will be followed by the EMO Fair held in Hannover, Germany, 16–21 September. The company will be present there with its new TUR PMN model. “Marketing is an important element of developing our business as it helps to continue building and strengthening the positive and reliable image of the company,” confirms Mr Ostrowski. “With over 60,000 produced and sold worldwide, our machines have earned an excellent reputation worldwide as technologically advanced European products of the best quality and reliability. Our ultimate aim is therefore to ensure that those customers who choose our machines will keep coming back n to our brand.”

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ROOTED IN THE PAST, FOCUSED ON THE FUTURE The Forgital Group can be proud of its very long history, having been established in 1873. At the same time, as Barbara Rossi discovers, this highly specialised rolled ring forging company keeps an absolute focus on innovation, so as to be able to maintain its competitiveness, even in fast-growing markets.

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he Forgital Group is led by the fifth generation of the founding Spezzapria family and is headquartered in the Vicenza area of north-eastern Italy (specifically in Seghe di Velo d’Astico). Its size and structure keeps on growing and it currently includes a series of production and commercial companies, through which it produces and distributes forged and laminated rolled rings of rectangular or shaped sections. Various materials are used for this activity, mainly carbon steels, alloy steels, stainless steels and aluminium, as well as a nickel alloys, cobalt alloys, and copper and titanium alloys. Forgital offers an extremely wide range, used in applications in a large number


of industries. The main sectors served are aerospace, oil and gas, transmission, power generation, and general mechanics. The structure of the group is subdivided into operational sites and a sales network, with a couple of its companies crossing these boundaries. First of all, there is Forgital Italy, the first and main player of the group. Totally focused on innovation, the company makes important investments in research, has modern production facilities and takes special care of people and the environment. The constant exchange that it has with its customers is a real asset in terms of keeping at the cutting edge. It can boast of having three hot-working lines, a complete range of over twenty furnaces for heat treatment, and an extended machining capacity, as well as holding all relevant certifications issued by the most important international bodies. Then there is France based Forgital FMDL, acquired by the group in recent years. This is one of the most important European manufacturing units specialised in small and medium-sized rolled rings weighing up to a maximum of 14 tons. As well as this specialism, FMDL also has unique experience and know-how in terms of open

die forging. In France, the group is also manufacturing thanks to the work of Forgital Dembiermont which, having been founded in 1881, is almost as old as the parent group. One of its three rolling mills is actually the most powerful in Europe, and thanks to these facilities the company produces a very wide variety of rolled rings, whose weights range from 10kg to 40 tons, and whose diameters span from 300mm to 8000mm. In terms of machining, the group can count on Forgital Rimach, Forgital Sumec, Fly and Visual. Forgital Rimach, a subsidiary of Forgital Italy, based fairly close to its parent company, deals with mechanically machining rings with diameters between 500mm and 2000mm, while Forgital Sumec is the machining unit of Forgital Italy SpA and specialise in the rough, semi and finish machining of medium-sized rings whose diameters are between 900mm and 3100mm. Its drilling capacity (and in drilling) reaches diameters of 50mm. Again the company is based near Forgital Italy. Fly is a machining centre opened just over three years ago in northern Italy, and is equipped with the latest generation of lathes and measuring machines. It is able to finish the group’s products for the most demanding clients. In

addition to this, Forgital is now a shareholder of Visual, based in north eastern Italy, a dynamic company active in mechanical and electronic construction, as well as retrofitting and servicing of lathes.

Winning contracts At research level the company can avail itself of RTM Breda, a research centre based in Milan. Through the centre, the group can test and independently certify products, as well as providing testing of instruments and carrying out research and development. Furthermore, it acts as a contact point with the university world. Moreover the group now also includes TS Coatings Italy, which was set up in relation to a research project aimed at developing anti-wear coatings to improve the surface performance of materials. Research is particularly important because Forgital operates in such a specialist field that it is hard to find external people who have the right know-how for its techniques. A significant percentage of its staff are research engineers. The sales network is composed of various foreign based subsidiaries, namely Forgital USA, Forgital South America, Forgital

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Germany, Forgital UK, Forgital East Europe and Forgital India. The US and South American subsidiaries are active at the operational level, respectively making own products and acting as heat treating and machining subcontractors. The opening of Forgital India and Forgital

South America is a clear sign of how the group has responded to the increasing importance of fast-emerging markets, while Forgital UK has also marked a milestone in the group’s development. Through it the group has signed a long-term agreement with Rolls Royce for the production and supply of titanium forgings for the Fan Case Module of the Trent XWB engine which will power the new Airbus A350 XWB aircraft family. Thanks to its range of companies the group is able to provide clients with a unique and compact supply chain, offering them a fully tailored service, including scientific know-how of materials and forging, design and engineering of products, support during assembly and testing. Thanks to the “operational excellence

team”, excellence is guaranteed at each stage of the whole production process. Today, the official mission of Forgital is that of providing complete solutions in order to improve and simplify the production process through an integrated system of technologies and services. Remaining at the cutting-edge, guaranteeing high product quality and valuing the human resources are the pillars which will support Forgital’s future. Recently the group signed a major contract for several years in the aerospace industry with Techspace Aero, a Belgian member of the Safran Group, specialised in building modules for aircraft and aerospace engines. Forgital will supply Techspace with external shrouds for the n Boeing 787 and Boeing 747 engines.

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FROM STRENGTH TO STRENGTH

LAXCON STEELS LIMITED is a major producer of precision stainless steel products and one of India’s best known success stories. Philip Yorke traces the remarkable growth of a company that sets the industry standards, and reports on its latest achievements as well as what the future holds in store.

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axcon Steels Limited entered the steel-making industry in 1978 when the current chairman Surender Pal Gupta decided that the steel industry in India could match or exceed the standards achieved in Europe and the USA. He therefore set about establishing a steel making company that subscribed to the best technology available and supported it with professionals who were committed to meticulous quality controls, outstanding customer care, reliability and integrity. This dedication to unparalleled quality and service has resulted in Laxcon Steels Limited growing from one small steel plant in 1978 with a capacity of 2,400 tonnes per year, to an organisation with manufacturing facilities at multiple locations throughout India, and with a combined capacity of more than 120,000 tonnes per year. The group exports its products to more than 30 countries worldwide.

A programme of continuous investment has made Laxcon Steels Limited one of the most technically advanced stainless steel manufacturers in Asia. The company utilises a wide range of the most modern steel manufacturing techniques in association with advanced monitoring processes. Its state-of-the-art machinery offers a high level of flexibility in terms of both products and capacity. Cutting-edge equipment such as spectrometers, ultrasonic testers, hardness testers, wet labs for chemical testing and physical testing are all part of the facilities at the company’s disposal. This is in addition to further quality control options that include the use of the latest radioactivity testing equipment.

Optimal quality and service driving sales The group’s commitment to a continuous programme of investment in new technology and innovation, as well as its ability

to meet the highest specifications of its customers, has gained the company an enviable global reputation. This dynamic, family-owned enterprise is out-performing other major players through its clear strategy for growth, its ultra-modern facilities and the top-drawer professional talent that has steered the company to the success that it enjoys today. Chairman, SP Gupta said, “Our exceptional investment in the latest technology has enabled us to compete favourably alongside the most advanced European and American companies.” Staying one step ahead of its competitors both in terms of technology and consistent quality is one of the main drivers for the company’s impressive growth record. Headquartered in New Delhi, Laxcon Steels Limited of industries operates five state-ofthe-art steel-making facilities, all of which are dedicated to producing optimal quality steel products. The company’s facility at

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State of the art copper mould tubes and plates for con nuous cas ng. Via della Repubblica, 257 55051 Fornaci di Barga (LU) - Italy Tel.: +39 0583 70071 Email: info@coppermoulds.com

Made in Italy quality and service. www.coppermoulds.com

Edwards Edwards is a major producer of mechanical vacuum pumps and leads the way in vacuum for secondary metallurgy in production of high quality steel. This leading market position is built on an understanding of customers’ processes and

expertise in providing vacuum solutions, which are easy to integrate into existing systems. Edwards has by far the largest installed base of dry pumps in the global steel industry with a global footprint of manufacturing, sales and service.


Ahmedabad, for example, produces alloy, stainless, special and carbon steels while the group’s sister unit in the same city is focused on the production of bright bars. Delhi is the location for the group’s advanced stainless steel melting plant as well as its alloy steel melting plant. An additional facility for steel melting is to be found in the southern Indian metropolis of Chenai. All the group’s five manufacturing plants work in concert to offer an exceptionally flexible and diverse range of products and services, resulting in a unique customer package. The managing director said, “Laxcon Steels Limited produces a wide range of grades that cater for the needs of the entire spectrum of industrial and domestic markets. With the development of new technologies we strive to make the most of the versatility of steel for the benefit of our clients.” The group’s commercial director, Vinod Gupta added, “We will continue to improve the technologies and quality of our prod-

ucts and services, and to look for ways to introduce a wider range of products to meet our customer’s growing needs. For us the greatest priority is customer satisfaction. We always ensure that we do everything in our power to improve our services and to guarantee the highest possible quality product. We are focused on establishing long-term relationships with our customers. We feel that we owe our success to this approach”.

Increasing global footprint Laxcon Steels Limited continues to see strong growth across all its five modern manufacturing facilities. However, its flagship plant, located at Ahmedabad, which trades as Laxcon Steels Ltd. is the jewel in the company’s crown, demonstrating consistent annual growth of more than 30 per cent per year. This highly regarded company specialises in the production of stainless, alloy, carbon and special steel billets, as well as forging quality ingots, rolled and forged long

products and flat-rolled products. Laxcon Steels is capable of producing high-quality forging ingots up to 14.5 tonnes and round billets in sizes 150mm and 250mm. In addition, bright bars are available in a variety of thicknesses to suit a variety of applications and the company is India’s largest producer of cold-finished steel bars. Laxcon Steels, in association with its four affiliate plants, is capturing new markets across the globe from North America and Europe to the Middle East and Asia and all the way down to Australasia. With India leading the way in fast-track growth across all its market sectors, there is tremendous potential, particularly in stainless steel production. As a key player in the steel market, Laxcon Steels Limited will continue to play a significant role in the future growth n of the industry. For further details of Laxcon Steels Limited high-quality steel products and services visit: www.gopalgroup.com

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INNOVATORS IN

HIGH GRADE STEEL Netherlands-based Nedstaal is an innovative producer specialising in various types of steel cut to size. Abigail Saltmarsh looks at its plans for growth.

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ver the last 12 years, steel producer Nedstaal has grown from an operation with just one customer to a company with more than 150. Now, says CEO Bert Bult, the company – which works with highgrade customised steel and offers ingots and blooms that are cut to size – is seeking further substantial growth as it creates extra capacity to meet even more demand. “There is so much growth potential for us just with our existing customers,” he says. “By adding extra capacity and with a focus

on efficiency and quality, we expect to grow from a company producing 150 tonnes a year to one producing 190 tonnes. “We operate in a very niche market and have a very specific product range. If someone wants high volumes then we are not the company for them but if they want our more specialised service then we can help.” He adds: “Because there is a demand for our products, we expect to expand by about 20 per cent over the next three years.”

The highest quality Nedstaal was founded in 1938 as a subsidiary of NKF, a manufacturer of strips and wires used in electrical cables. In the mid 1960s, the company was taken over by Philips and was later incorporated into Thyssen Stahl AG. In 1998, it underwent a management buyout by Glimmerveen and the H2 Investment Group. Today, the operation produces steel for processing companies forging or rolling sub-assemblies into semi-finished or

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finished products. It recycles scrap into high-grade steel that complies with the highest quality standards. “About 15 per cent of our volumes go to customers as ingots,” explains Mr Bult. “Approximately 85 per cent is rolled and sold on as blooms to the forging market or to the wire business.” At its base in Alblasserdam, Nedstaal can deliver steel alloys with alloying element percentages of up to 30 to 35 per cent. These can be produced using a combination of an electric arc furnace and a separate ladle furnace. “For a long time, many of our customers just saw us as a basic steel supplier, known for its short delivery, reliable supply and very customer-specific service. Now, however, we are putting a lot of effort into explaining that we can work with alloys as well.”

Investing at the plant The company has one production site, which includes its raw material depository,

steel plant, rolling mill and alloy machine. Approximately 35 tonnes of scrap is melted for each charge in an electric arc furnace. Alloys are added in a ladle furnace using a dosing system that ensures that the chemical composition remains within the required tolerances. If required, argon is injected to create an inert atmosphere that keeps the steel as pure as possible in compliance with the highest quality standards. “Over the last five years we have invested heavily in secondary metallurgy, as well as our IT systems,” says Mr Bult. “For the next three years we are going to invest quite an amount in increasing the capacity of the steel mill. This will help us reach our target of increasing output from 150 tonnes to 190 tonnes by 2015.” Customers are Europe-based, primarily from the UK, Italy, France, Germany and Poland. On the forging side, they are from the transport sector – automotive, heavy trucks and trains etc – as well as oil and gas and renewable energy, such as wind farms.

“I would say that on the forging side of the business we are looking for growth in all sectors. For example, we are currently developing steel for crank shafts for customers in automotive but also, with the growth in fracking, we are seeing demand for seamless steel tubes from the energy sector. This sort of product requires ingot cast steel.”

Emphasis on training Nedstaal’s growth will be organic, he suggests. As the company expands, it is putting more emphasis on training staff as well as investing in equipment. “We need technically educated people for our machines. People are the key, particularly in a niche area like ours; we have to keep training levels up, to ensure a high level of skills,” says Mr Bult. “If we can find and keep the right people then we can offer an even better service. We know the potential is there for growth and n we are doing all we can to achieve it.”

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CUTTING-EDGE SAND-CASTING SOLUTIONS 118 Industry Europe


Thoni-Alutec is a technology leader in the production of aluminium sand castings and die castings for manufacturing industries. Philip Yorke talked to Mr Jay Kitchen, the company’s senior technical manager at its UK facility, about its current production facilities, complete value-chain services and move into new markets.

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honi-Alutec is an independent, privately owned company that was founded in Germany in the 1960s and is now in its third generation of family ownership. Following consistent growth since its inception, the company established a state-of-the-art manufacturing facility in Poland in 1998 and has since invested in another facility close to the original plant. The combined total of available production space is more than 72,500m2, which is set in an area covering over 27 acres. Today, Thoni-Alutec continues to maintain its European sales office in Germany, as well as a sales and technical support facility in the UK. Thoni-Alutec supplies aluminium castings to its customers in Europe, the USA, the Middle East, India and China. With more than 1250 employees and a turnover of over €100 million, the company has grown to become one of the largest aluminium jobbing foundries in the world.

plete supply-chain service operations in relation to aluminium castings. In addition, ThoniAlutec’s customers are individually supplied with tailor-made castings according to various international standards and thereby receive the optimal solution to their requirements. Starting from casting design and pattern shop to foundry, machine shop and assembly, the company supplies high-precision aluminium castings up to 10 tonnes in weight and more than 10 metres in length.

During the entire production process the casting integrity is checked in relation to international standards using X-ray, ultrasonic, and dye penetration tests. Dimensional inspection and mechanical testing is also included. Mr Kitchen said, “We serve a broad section of industry from automotive to medical and from energy to aerospace. We also supply some of the world’s biggest OEMs, as well as smaller and medium-sized busi-

Complete supply chain expertise Experience gathered over many decades combined with continuous expansion of its manufacturing facilities along with the training of highly skilled staff has made Thoni-Alutec one of the world’s most competent and successful foundries in its sector. Further diversification of its core activities provides customers with comIndustry Europe 119


nesses. The renewable energy sector is a growth area for us, which not only involves the manufacture of wind turbine parts but also the more traditional large generator sets and power distribution centres. We are also seeing growth in the demand for castings used in power stations for high-voltage switch gear applications. Mr Kitchen added, “We specialise in sand casting, low-pressure sand castings, low-pressure die castings and gravity die casting everything is conducted in-house so that we can control the quality and precision of everything we do from concept to final assembly. We are also very environmentally aware and recycle all our sand and use the heat from our furnaces to power our equipment and to heat our buildings. We see organic growth as being the main growth driver with our focus on Indian and 120 Industry Europe

eastern European markets delivering significant growth for the future. Our automotive business has seen little slowdown which is normally associated with that particular market, we are currently working with Aston Martin cars to produce torque and transmission components, as well as with other Niche car manufacturers. “There is a distinct trend to move away from steel to aluminium, and we have seen examples of this in our work with the aerospace industry where we are working closely with Individual clients from our facility in Poland. We are located very close to a high-tech industrial area known as ‘Aerospace Valley’. We are convinced that aluminium castings have major future potential as in many cases welded steel and cast-iron castings can be replaced with aluminium castings that offer a significant advantage.

These include corrosion resistance, low weight, high thermal conductivity, ease of machining and low stress. What’s more, aluminium is fully recyclable.”

Serving diverse global markets Thoni-Alutec’s portfolio demonstrates the company’s achievements in the area of light aluminium casting. Its international customers in various industries regard the company as a high-performance and reliable partner. Its clients in the USA, China and India are testimony to the high level of service and the precision products that the company provides. Thoni-Alutec works in close partnership with all its customers whose original innovative ideas it supports with enthusiasm and with its cutting-edge expertise. The company’s design engineers are experienced in successfully converting manufactur-


ing processes and materials, and can support a client from the initial concept stage through to full serial production. Thoni-Alutec’s design offices will also convert any new development into a lean and production-friendly design, while taking into account the entire production value chain process. Furthermore, the full inte-

gration of all design and production processes in-house provides customers with the shortest possible delivery times, and guarantees the highest levels of service and product quality. The company’s broad spectrum of activities serves an equally diverse range of markets, which includes robotics, medical, energy,

railway, mechanical engineering and engine technology, as well as aerospace, defence, marine and the automotive industries. n For further information about ThoniAlutec’s high-precision products and services visit: www.thoni-alutec.pl

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STRENGTH IN A GROUP COLOREX Group of Poland is a leading supplier of powder coating services to a wide range of customers. Launched in 1990, when the business first focused on services for the construction industry, the company opened its first Powder Technology Centre in Kraków in 1992. Today the Group is made up of nine individual business entities, which together make up a holding capable of meeting all challenges and customer demands. Piotr Sadowski reports.

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hen Jacek Figiel started his business operations, the beginnings were humble. Nevertheless, driven by the opportunities opening up on the Polish market following the change of the economic and political system in 1989, Mr Figiel quickly began expanding his enterprise. “When I opened the Powder Technology Centre in Kraków in 1992, it was not only the first such business in the city, but effectively in the whole of Poland,” explains the company’s founder and now president of the Group. “Today we employ 350 staff across all the companies in COLOREX Group, with the powder coating business employing directly 200 of them. Employment is increasing, as is our turnover. We operate 14 modern lacquering lines and are able to varnish elements even up to 15 metres in length. This is a service offer which gives us a strong competitive advantage in the entire southern part of Poland, a natural for our operations.”

Major operations in powder coating The Powder Technology Centre, launched in 1992, underwent a name change in 2007 and since then operates under the name of COLOREX Play. It specialises in lacquering steel and aluminium elements, as well as providing

renovation services for steel and aluminium wheel rims. Seven years before the name change, a second powder coating company was added to the Group: in 2000, Mr Figiel launched the operations of ABC COLOREX Ltd, an ultra-modern powder coating facility which today ensures that the over two decades of industry experience guarantee the provision of lacquering services worthy of the 21st century. Right now a new investment is underway, with PLN 5.6 million of EU co-financing, which will result in the launch of a new automated powder coating facility, the only such lacquering unit in the country. “We have implemented the most modern technologies in our powder coating lines,” says Mr Figiel. “The company has secured the ISO quality certificate, as well as the European QUALICOAT quality mark, which is one the key registered European trademarks for companies operating in the lacquering industry. It effectively means that we can guarantee the highest quality of products, particularly the quality of decorative coatings on aluminium elements used in the construction industry. For example, we were the providers of powder coating services for elements used in erecting the football stadium in Wrocław, in time for Euro

2012 championships. We are also actively involved in offering powder coating services for other industries, including electro-technical, advertising, as well as wherever there is a need for powder-coated elements.” In addition to providing services to the above-mentioned sectors, ABC COLOREX is a renowned supplier of powder coating services to the automotive sector, equipped with the required powder-coating certification for supplies to this industry. “Suppliers for the automotive sector continue to increase their presence in Poland and we are very open to cooperation with such business partners,” points out Mr Figiel. “Poland is still a relatively cheap market for locating manufacturing from the point of view of the labour force, thus making the country still an attractive destination for foreign investors, in many different sectors. We are a Group that is not afraid to undertake any challenges and are interested in talking to potential new western partners moving into Poland.” Being a leading innovator in the powder coating services sector, the company has introduced a cutting-edge novel powder coating technology called DEKOR. It involves transplanting a chosen design (pigment from film), in a process of sublimation, to a surface Industry Europe 123


previously coated with a polyurethane powder lacquer. The resulting effect is a lasting and highly aesthetic coating which can imitate wood (such as pine, mahogany, oak, beech and others), stone (marble, granite, just to mention some effects) or any other design which can be chosen from a wideranging palette. In addition to providing excellent powder coating services, ABC COLOREX is also one of the most dynamically developing companies providing complex metal treatment services. The company operates a high-quality metal treatment unit with unusually high, for the Polish market, output capabilities. Vital experience as well as a professional machine park, both conventional as well as CNC, enable ABC COLOREX to carry out all types of services involving treatment of metal sheets, as well as ready elements, in accordance with supplied requirements of projects. Metal treatment services include laser cutting (with the actual area of working laser coverage of 3000mm x 1500mm) of metal sheets up to the thickness of 20mm (construction steel); folding of metal sheets on edge presses up to the thickness of 10mm and on benders up to the length of 6000mm; cutting of metal sheets to required sizes using guillotines, up to the length of 6000mm; welding (MIG/TIG), riveting, gluing; rolling of metal sheets and 124 Industry Europe

profiles; grinding, milling and other services. Cutting can also be done on aluminium # 8mm and stainless steel # 12mm. “The advantages of laser cutting are very important and include the possibility to achieve high speed of cutting while retaining excellent precision and accuracy of cutting,” explains Mr Figiel. “Furthermore, laser cutting guarantees repeatability and high quality of

elements being cut; it results in a smooth and clean cutting surface, which means there is no need for further finishing treatment, as well as resulting in low waste of material. By combining our metal treatment services with powder coating and services offered by other companies in the COLOREX Group, we can supply our customers with both half-products, as well as components ready for assembling.”


Collection Futura is a range of special finishes for use on exterior architectural metal components. A favourite of architects for over 15 years, Collection Futura has been specified on numerous prestigious projects. Together with PeclersParis we have created 5 global themes and finishes inspired by nature. Finishes shown on this card are made with AkzoNobel’s Interpon D2525 technology. Interpon D2525 is an ultra durable powder coating, which meets the demanding weathering requirements of the leading industry specifications Qualicoat Class 2, GSB Master, and AAMA 2604-05, as well as BS EN 12206. Collection Futura means your design will be both contemporary and long-lasting, keeping its stylish visage for many years to come. When specifying or ordering, ensure you include the full product designation, e.g. Product: Interpon D2525; Shade: Halamhera 2525, Product Code: YW052F. For further information, please contact. Projects: Malwina Krosta - Specification Advisor – Buildings & Furniture +48 605 109 704 / malwina.krosta@akzonobel.com Sales: Mariusz Popielecki - Account Manager - Buildings & Furniture, Poland +48 785 016 902 / mariusz.popielecki@akzonobel.com

Modern Technology, Know-how, Commitment... ...are the components that determine success – today and in the future. KLEBCHEMIE M. G. Becker GmbH & Co. KG, producer of KLEIBERIT products – modern and innovative. The company’s competence is especially reflected in the tremendous development and productivity in PUR-adhesives, which is why KLEIBERIT products have become market leaders in this future technology sector – worldwide! In our modern laboratories, experienced, innovative and highly qualified chemists develop high quality products in accordance to customer requirements. Emphasis is placed on the development of environmentally friendly and ecologically clean adhesives. Our applications laboratory has an extensive range of machinery, so our skilled technicians and engineers are able to conduct tests under “real life” conditions. The combination of our inbound quality control, production quality control and constant product development ensures that our customers will only receive quality products. KLEIBERIT products are being used worldwide by many well known companies in the woodworking, plastics and automotive industries. • PUR-Adhesive: One and two components • PUR-Hotmelts, PUR-Glue • Dispersions: PUR, EVA, PVAC • Hotmelts: PUR, EVA, PO, PA, PE • Two component PUR and Epoxy Systems • Foams and Sealing Compounds • Solvent based Adhesives Working internally and in the field, our highly motivated employees always provide the best customer service through excellent customer care, high quality technical assistance, fast order processing, and quick, worldwide delivery.

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Inver Polska Sp z.o.o. Inver Poland, a part of the Italian group named Inver, manufactures powder coatings. The thermosetting powders are coatings in solid form; they do not release solvents during application. They are not flammable, have no special restrictions for transport, can be stored simply and safely. They are ready for use and give a high coverage. The overspray can be recovered. The company’s production range includes various types of powder coatings: heat hardened powder coatings based on polyesters, for external use, epoxypolyesters for internal use, epoxy for special internal use, and polyurethane, with a wide range of shades and levels of brilliance.

Range of other services Certainly a major strength of COLOREX Group lies in the fact that the various companies provide a range of complementary services or, indeed, products. Customers can have a project, which would normally require the use of two or more suppliers, delivered by entities in the Group – guaranteeing uniform quality, reliability and timeliness. “For example, COLOREX LIFT designs a range of passenger lifts, many of them non-standard, such as for use in hospitals or the construction industry,” says Mr Figiel. “We are then able to install them and of course provide excellent after-service. Naturally, lift elements can be appropriately powder coated, according to customers’ requirements, which is an example of complementarity of the companies in the Group. We have delivered many

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unique and often complicated lift solutions for customers in the country.” The Group’s cooperation with its key suppliers also plays a huge role in its continued success. It has well-established relationships with some major names, including AkzoNobel, Decoral, Inver Poland and Axalta Coating Systems. From the outset of the Group’s activities, it has also been involved in the manufacturing of fencing, an operation which in 2007 was transferred to a new dedicated company within the Group, the Fencing Factory COLOREX Ltd. The factory employs modern technologies and specialist staff to provide fencing solutions for a wide range of properties, private, housing, municipal, sports facilities and others. All solutions can be naturally appropriately powder coated.

“Continuing the provision of services for the construction industry, KOLTEX, another company, was created as one of the first veneering facility in Poland, offering the highest quality services of refining PVC, aluminium and steel profiles with a range of wood-imitating Renolit EXOFOL foils, as well as glues from renowned company Kleiberit,” concludes Mr Figiel. “Our aim is to continue moving forward and to develop all of our companies, focusing on improvements, innovations and cost savings, as has been the case with the recent introduction of an integrated management system. We will also potentially fill other market niches, as we did with the launch of a company manufacturing appliances for the production of mineral water for homes and businesses, which can produce hot, still or sparkling water, n on demand, from the same unit.”


SPECIALISTS IN

HYDRAULIC VALVE BLOCKS Brinks Metaalbewerking BV is a technology leader in complex machining operations as well as in thermal deburring and cleaning. The company continues to expand and enter new markets thanks to its innovative production expertise and high-precision technology. Philip Yorke reports.

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rinks Metaalbewerking was founded in 1964. In 1983 the company was acquired by a young entrepreneur by the name of De Bruine who increased its product portfolio and broadened its range of customer services. Today, Brinks Metaalbewerking is one of Europe’s leading suppliers of hydraulic valve blocks and components which are produced to meet the needs of a diverse range of industries, from renewable energy and construction, to agriculture and automotive. Brinks Metaalbewerking specialises in drilling, milling, thermal deburring and cleaning, in serial batches that range

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from a few hundred pieces to more than two hundred thousand, with an individual weight limit of 40kgs.

Diverse high-quality processes Brinks Metaal’s core business involves machining, deburring and the cleaning of hydraulic parts. The company has a comprehensive range of equipment and processes in house that enables it to meet any challenge and to guarantee the highest standards at all stages of production. It is able to supply its parts ready to be assembled. Brinks Metaalbewerking machines its components from cast iron or

forged parts, aluminium profiles or aluminium forged parts and its customers include many of the world’s best-known hydraulics system manufacturers. The company’s hydraulic components are produced for use in a wide range of industrial applications, including trucks, agriculture, construction equipment and forklifts. Another important sector for Brinks Metaalbewerking is the automotive market where the company is a supplier to manufacturers of convertible roof systems. It is a fact that most of convertible cars worldwide benefit from Brinks Metaal’s valve bodies, pump bodies and cylinder tubes, and its


products are essential components in active suspension systems on vehicles such as the Porsche Panamera and BMW X-5. During the last five years Brinks Metaalbewerking has made significant investments in new technology and robotised production lines. The company machines its products on single or multi-spindle machines which are fully automated for fast loading and unloading. For the deburring of parts it uses TEM thermal deburring, after which process, the parts are cleaned in cascade baths with ultrasound cleaning and then vacuum dried. Finally the products are inspected and packed in a clean room. This ensures that the parts leave the factory in the cleanest possible condition and ready to be assembled at the customer’s factory. Another high-tech deburring option is the use of high-pressure water jet deburring which involves pressures of 700–800 bar. The company is able to manufacture and process complex hydraulic parts and can work with two or four spindles at a time; it operates 40 state-of-the-art machines at its modern plant in the Netherlands. In 2008, it made some major investments in a new building, a flexible manufacturing cell with two CNC-machines and a Palletech with 28 pallets, a high-speed linear two-spindle machine

and the latest automated cleaning lines. The company is also focusing on attracting more business from the agricultural industry and already works with some of the most prestigious European manufacturers. Brinks Metaalbewerking also operates a final assembly department for companies that require a fully assembled product and is currently providing complete leveller systems for campervans where it is responsible for all the mechanics and the complete operating system.

Leaders in thermal deburring technology Expertise gained over many years has made Brinks Metaalbewerking a technology leader in thermal deburring and many other metal cleansing processes. This special thermal process, which is known as ‘TEM’, guarantees the removal of burrs both internally and externally from the newly manufactured component. Burrs can be removed from components manufactured by metal removal machines, but also from injection moulded components. The components to be deburred are placed in a pressure chamber and a mixture of oxygen and gas ignited and the heat it generates causes all burrs that are present to be burned off. TEM is the most efficient

and practical technology for the deburring of a wide range of applications for hydraulic and pneumatic valve blocks, as well as for high-precision products. The deburring quality depends upon the size of the burr itself, and the type of material involved is an influencing factor and Brinks Metaalbewerking is committed to meeting the highest quality requirements of its customers. Therefore the company’s production processes are continuously evaluated, improved and upgraded. Water jet deburring is another process conducted by Brinks Metaalbewerking that is ideal for larger components that won’t fit standard deburring equipment. This method is achieved by a CNC-machine with the workpiece on a turn table where very high water pressure is applied. These various processes can be tailored to clean and optimise any specific hydraulic component in any market sector and are particularly relevant to hydraulic pumps and motors. These are two areas that the company is n currently targeting. For further information about Brinks Metaalbewerking’s cutting-edge products and services visit: www.brinksmetaal.nl Industry Europe 129


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A PIONEER IN

COATINGS Oerlikon Balzers is the leading global provider of thin-film coatings to improve the performance and longevity of precision components and tools. Abigail Saltmarsh finds out more about its latest developments.

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Roland Herb, the senior vice president and head of business line tools at Oerlikon Balzers, is in no doubt as to what keeps the leading global provider of thin-film coatings so successful: innovation. The company, which is a segment of the Switzerland-based Oerlikon Group, develops and manufactures coatings that significantly improve the performance and longevity of precision components and tools. “For us, innovation is a major pillar of any of our strategies,” he says. “Developing new technologies is essential for us if we wish to remain a leader and to ensure that we gain new markets.” “Along with the other keystones of our business model – to ensure we have customer proximity, a good global footprint and a presence in a wide range of industries – this is an important driver for us for the future.”

An expanding footprint Oerlikon Balzers’ coatings, marketed under the Balinit® brand name, are extremely thin and exceptionally hard. They significantly reduce friction and wear. The company also develops processes, manufactures and sells systems and production facilities, and offers contract coating services through a dynamically growing network. Under the technology brand ePD™, it develops integrated services and solutions for the metallisation of plastic parts with chrome effects. “We have 91 coating centres in 33 countries across Europe, the Americas and Asia – and this footprint is constantly expanding. Last year saw expansion in

Malaysia, India and China, and our plan now is to continue expansion in new countries in South East Asia and eastern Europe, as well as expanding capacity and strengthening our footprint in places such as Turkey and the USA.”

Diverse applications The company’s solutions are used in a broad range of applications in the automotive and machine industry, in food and packaging, medical technology and increasingly in aerospace. Leading tool manufacturers and automobile manufacturers are among Oerlikon Balzers’ customers. “We have over 20,000 customers around the world and process more than 200 million precision tools and components every year – these range from items as small as watch pins up to dies for entire car bodies,” says Dr Herb. The largest area of application for physical vapour deposition (PVD) hard material coatings is precision tools for metal cutting (drills and cutters), forming tools, plastics processing and metal die casting as well as low friction coatings for automotive applications. A relatively new but rapidly growing area of focus is the coating of precision components in order to reduce friction and improve durability. Other industries in which PVD hard material coatings are used include general machinery industries, the aircraft industry, motor racing and the medical and hygiene technology industry. PVD coatings are also being increasingly used in the luxury goods industry (watches, cell phones) – for aesthetics and practicality. Industry Europe 131




New technologies One major area of focus at the moment for Oerlikon Balzers is the industrialisation of S3p™ and ePD™ technologies. Both were launched in 2011 and are now set to propel the company into further growth. S3p™ – also referred to as ‘scalable pulsed power plasma’ – enables extremely smooth yet dense and hard coatings to be manufactured reliably and efficiently for the first time. The application potential for this technology is wide-ranging in a large number of fields. “Dense, hard and highly adhesive coatings, with a controlled microstructure, are extremely important for the coating of tools in order to increase productivity. For many years physical vapour deposition (PVD) – using arc evaporation technology – has proven able to deliver these properties, and for a decade researchers tried to combine this technology with the sputtering process to achieve extremely smooth surfaces,” explains Dr Franz, the regional executive manager for Europe of Oerlikon Balzers.

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“Oerlikon Balzers has managed to overcome all of the limitations of the previous approaches and expanded the parameter range in several dimensions independently of one another. The technology is protected by multiple patent applications and is now ready for production.”

“We will continue to focus on innovation as we grow and, of course, our future strategies will increasingly involve environmental concerns. ePD™ is eco-friendly and as we grow our technologies, then products and solutions will become greener,” he says.

Greener options

Looking ahead, he says the company expects to see organic growth across all the industries in which it is involved but the medical and aerospace industries are likely to be particularly interesting. In France, it has recently opened a centre of competences, with a focus on aerospace applications. As the company grows, it will also continue to pursue its strategy of following its customers and the developing markets. “Our aim is to further strengthen our position as a leader, bringing new solutions in metallic and plastic-related applications and to develop our geographical footprint around the world,” says Dr Herb. “We plan to strengthen our existing markets through further innovation n and outstanding services.”

Following a pilot in Germany, the first ePD™ (embedded PVD for design parts) technology centre in the world was opened at the Suzhou location, China. In contrast to traditional procedures, the low-emissions, eco-friendly ePD™ technology for the metallisation of plastic parts does not use any environmentally damaging materials, such as chromium VI. “ePD™ offers innovative functional features, such as radar-transparent metallisation for distance sensor systems, lightweight construction and a greater variety of design possibilities. Testing by major car manufacturers is underway and certification for use in high-volume production is expected during 2013,” says Dr Franz.

Continued growth


MASTERS OF SHEET METAL MACHINERY Petersen Machinery is a market leader in the design and manufacture of sheet metal fabricating machinery. Philip Yorke talked to Peter Tafazoli, the company’s CEO, about its unique solutions for optimising sheet metal production and its global re-branding strategy.

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etersen Machinery has been manufacturing machines since 1907 and highperformance sheet metal machinery for over 50 years. Today the company is based in Gotene, Sweden, where its state-of-the-art facilities develop machines that are designed to meet the latest needs of the sheet metal industry. The company markets two renowned global brands: CIDAN and Göteneds. The CIDAN brand was created from the initials of the founder, Christian Iensen of Danmark, and the Göteneds brand simply reflected the home-town name of the company’s original facility in Sweden at Goetene. Petersen Machinery offers a wide range of machines and custom-made equipment that Industry Europe 135


covers an equally diverse range of product groups. These include CNC power folding machines, motorised guillotine shears, cut-tolength lines, decoilers and recoilers. Between them these machines set the industry standards and offer features that are not available anywhere else in the market. The company is owned by Petersen Machinery Denmark AS, which has subsidiaries located in the USA and China. Petersen Machinery also has a comprehensive worldwide network of dealers to meet its customers’ servicing and technical support needs.

Unique, flexible, energy-saving solutions All Petersen’s advanced products are developed in house and based upon its own internal research, and they all benefit from the latest patented Petersen technology. The company’s famous range of folding machines offers a number of features that are unique to the sheet metal fabrication industry. Today CIDAN folding machines offer unparalleled flexibility with their

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advanced technology and are known by many names: CNC Bender, Metal Bender, Power Folder and Power Bender. These machines are all motorised CNC powered folders and all models bear the famous CIDAN or Göteneds logo and are supported by the company’s comprehensive service guarantees. All Petersen folding machines offer optimal solutions to any company that seeks flexibility in their production processes and an environmentally friendly approach, with the additional aim of cutting costs. The CIDAN range of folding machines from Petersen are flexible products designed for a large variety of different profiles and are so easy to use that a single operator with one set of tools can manage the production of multiple types of sheet metal profiles. To enhance the efficiency and ease of use of these machines, the company invented the original Combi Beam, which is now a well-known automatic tool-changing system that has revolutionised the whole concept of

folding machines worldwide. The automatic locking of the Petersen Combi Beam makes it exceptionally easy to change tools and offers a level of flexibility and ease of operation that is unmatched by any other manufacturer. The tool change sequence is programmed into the control system, which means that when it is time to change tools, the upper beam will automatically rise up to its maximum height. This allows the automatic rotation manoeuvre to be controlled by the foot of the operator. In addition, its two different tool set-ups save valuable time and ensure smooth, efficient production flow.

Focus on Asian markets In the second half of 2012, Petersen Machinery registered and opened a dedicated sales and service facility based in Shanghai, China. The company is named CIDAN Machinery Trading Shanghai Co Ltd, and sells and services Petersen Machinery’s sheet metal machines under the brand name CIDAN


Founded in 1983, Electricity in Alingsås AB, headquartered in Alingsås, produces automation and control equipment – mainly for Swedish manufacturing – as well as performing service work and repairs of electrical equipment. Our mission is to deliver the highest quality, customised ELautomation at competitive prices. Elpro develops programs and provides complete control and drive systems for the control, monitoring and automation of machinery in industry. We tailor proposals and solutions for the best possible performance. All development and construction is carried out in our own premises in Alingsås. Design and programming is carried out with the most modern tools and market-leading computer platforms. We always produce complete supporting documentation and participate in all phases of development. Elpro manages individual projects as well as the series production of current cabinets, switchboards and control equipment. Our products have a wide range of applications, including material handling, packaging, car washes, sheet metal machinery, gear controls, waste facilities, medical equipment, etc.

Bultgatan 8, 441 39 Alingsås Tel: +46-322-66 85 50 • Fax: +46-322-66 85 69 E-mail: info@elpro.se • www.elpro.se

throughout China. Within the power folding machine market, Petersen occupies a unique position, as these machines provide users with a wide range of advanced production possibilities which at the present time are not known to Chinese companies within the sheet metal industry. Mr Tafazoli said, “As a privately owned company we are flexible and able to make decisions and act upon them without delay. Since 2007 we have seen significant growth following our establishment of CIDAN Machinery Inc. in the USA and the introduction of new power folders and shearing machines. However, Petersen Machinery was one of the pioneers of folding machines in the USA sold under a different brand name and now has thousands of machines only in North America. Furthermore, in 2012 we also established a firm foothold in China. In our continuous programme of upgrading and renewal we also took the step of promoting our company through our globally renowned brand, CIDAN. Therefore from now on we will be marketing ourselves as CIDAN Machinery instead of Petersen Machinery, as this translates far better as a global brand and is a brand with equity that is well known and respected worldwide. “Our business in our mature markets such as Europe and North America is seeing consistent growth, but we see the Asian and Pacific Rim markets as offering us our biggest growth opportunities. However,

although there is great potential in these emerging markets, the main challenge is introducing this new technology to the market and to educate it accordingly. Even in Sweden and the USA it took us more than 10 years before we had managed to educate and grow the market significantly.” Mr, Tafazoli added, “There are many points of difference between us and our competitors – we have a distinct advantage thanks to the competitive edge of our proven and advanced technology. Our hightech machines are simple to operate and offer unparalleled precision and flexibility. The sheet metal machine market can be volatile but we are present in many markets, and as a privately owned company, we can change direction very quickly to exploit

market forces. We are also different in that we offer our customers training and provide unmatched after sales service and support. “All our machines are in fact tailor-made to meet the individual specifications of our customers. So we are pushing to have a modular approach to manufacturing which provides optimal flexibility and the interchange of functional technology. We are optimistic about the future and keep the door open for possible acquisitions should the right opportunity present itself. Today we are very much a global company but we continue to offer a n truly dedicated local service.” For further details of CIDAN Machinery’s latest high-precision sheet metal machines visit: www.petersenmachinery.com

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MIGHTY LIGHT Aluminium casting specialist company MWS Industry Holding GmbH is growing rapidly as it takes advantage of the exciting opportunities in its niche sector. Emma-Jane Batey spoke to the managing director, Josef Stiegler, to find out more.

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a leading name in a niche sector of the metals industry, MWS Industry Holding GmbH is focused on aluminium casting, with sand casting and mould casting making up its core business areas. The managing director, Josef Stiegler, spoke to Industry Europe about the company and its advantages. He said, “We are a partner to our customers; the metals industry is a very demanding industry and the aluminium casting element of it is especially demanding. With the high-technology equipment and knowledge we have in our plants, we are able to offer high quality, high precision casting at a competitive price.” Following its recent acquisition of a major German sand casting company, MWS is now the largest sand casting company in Europe. This marks a renewed focus on sand casting in the MWS portfolio. Mr Stiegler explained, “We are certainly aiming to move forward in the direction of sand casting without losing 138 Industry Europe

any of our other aluminium casting activities. Our strategic acquisition has put us in an even stronger position in the German market and we have an excellent footprint across Europe.”

Totally private As a privately owned company, MWS Industry Holding GmbH is owned by seven individuals, five of whom are actively involved in the operational management of the company’s sites in Germany, Austria and Slovakia. The Slovakian plant allows the company to compete with many of eastern Europe’s low-cost manufacturers, while maintaining the high standards associated with the MWS name in western Europe. Mr Stiegler said, “We are often asked about the benefits of being a privately owned company and I say that the key advantage is that we can drive the company as we think best, seen from a long-term perspective and not a short-term optimisa-

tion. We listen to our customers and make sure we are moving the company in the direction that best suits their needs. We plan to stay this way too; we don’t want any finance investor or equity company. From the first acquisition in 2004 and the following mergers that established MWS, our plan was the same – to be a privately-owned, customer-focused company – and that will remain the case in the future.” Primarily active in the German automotive market, MWS is also represented in the wider European industries of bicycle manufacture, engineering and electricity. The aluminium casting market is largely driven by the automotive industry and this likely to continue in response to the industry’s focus on cutting the weight of vehicles. Mr Stiegler explained, “Virtually all automotive manufacturers are focused on cutting the weight of their vehicles in order to meet environmental targets for the reduction of fuel consump-


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tion. With aluminium considerably lighter than steel, it features strongly in the automotive manufacturers’ plans for the future.”

Expecting growth Mr Stiegler expects to see a continued 2–4 per cent growth in the automotive market and, with its main customer, the German automotive giant Audi, this represents an exciting future for MWS. Even with MWS offering only part of the technology required – it does not offer high pressure die casting – its positioning in the niche part of this niche sector makes it ideally placed to utilise this opportunity. Mr Stiegler continued, “High pressure die casting is ideal for large volumes – it’s the most efficient technology for this application – but we’ve decided not to try and penetrate this market as it is already well-represented. We know our knowledge and expertise can be better

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utilised in the more niche areas of gravity die casting and sand casting within the aluminium casting industry, and it is in these two areas that we really flourish. As the largest producer in Europe in these two areas we have the most advanced technology.” MWS is able to maximise the capabilities of its team and state-of-the-art facilities to offer various possibilities of production and prototyping from its in-house prototyping studio and to cope with small, medium and large runs. MWS Industry Holding sees a number of opportunities in the short and long term. Mr Stiegler concluded, “The aluminium casting market is very Europe-focused at the moment and we expect that to continue. There are plenty of opportunities for us to increase our market share in Europe as long as we continue to be strategic and n customer-focused.” n

Josef Stiegler, managing director


HEALTH AND WELLBEING STRAIGHT FROM THE TUSCAN HILLS A total awareness of the relationship between nature and human health is at the basis of ABOCA’s success, alongside a focus on research, innovation and product quality. Skilled members of staff prepare its herbal medicine remedies in an environmentally friendly way and with the health and wellbeing of people in mind, writes Barbara Rossi. Industry Europe speaks to the company’s general director, Mr Massimo Mercati.

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ith a presence in 15 countries, 16 families of international patents, 500 employees, three sites in Italy (with production facilities occupying a total of 27,000m2), 1000 hectares of cultivated land on which 70 different types of plants are grown, and 2300 tonnes of fresh produce which is dried every year, ABOCA is a forerunner, as well as an Italian leader and an international benchmark, with regard to medicinal and hygienic herb based products for health and well-being. The location of the company is very much part of its essence, as its very name derives

from the ancient Tuscan dialect name for ground pine. Furthermore, the place where the main site of the company is situated, Sansepolcro (in the hills of the Tuscan Valtiberina), is an area which has specialised in producing medicinal herbs since the 13th century. As well as this facility, where the company started out and where the head office is still based, ABOCA also has a site in Pistrino Citerna, on the opposite side of the same valley, which belongs to the neighbouring Umbria region. This is where processing and production take place, as well as R&D and


quality control activities. The company also has a museum, situated in the historical centre of Sansepolcro and dedicated to the history and culture of herbs. ABOCA makes effective products for many health needs and for the most widespread ailments, such as coughs, consti-

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pation related gastrointestinal problems, haemorrhoids, gut bacteria and stomach ache, as well as for insomnia, excess weight and obesity, among others. “Our production capacity is growing, as the company is experiencing an expansion phase, but growth is not only implemented in quantitative terms, but also with regard to quality and production efficiency,” Mr Mercati explains. Product quality is, in fact, guaranteed at every stage of the process, thanks to effective monitoring from seed to finished product. “There are several products on which we significantly rely for strategic purposes. One of these is Grintuss, a range of dry and wet cough syrups for both adults and children; Bionacid for stomach pain; and Libramed, the latest solution in the fight against excess weight and obesity. These are complex natural matrix based products which are the result of significant investments at both technological and scientific research levels. Furthermore, we are on a constant quest in terms of research. We never stop at what we achieve, as we see it as a further starting point. We really try to carry out research and innovation on a continuous basis.” As well as carrying out internal research, the company also uses external cutting-edge research centres and collaborates with the most prestigious Italian and foreign universities.

Breaking ground Investments are also carried out on a continuous basis and from the start the company has always channelled an important part of turnover into research and innovation, so as to improve the quality and efficacy of its products. An example is the plant dedicated to the making of medical products, which is typified by a very advanced high grade pharmaceutical technology and which makes ABOCA a leader on the national market, not only at a commercial level, but also with regard to technological and scientific know-how. “Today we are an important benchmark globally in terms of scientific medical herbal therapy research.” In terms of geographical markets, Mr Mercati says, “Our main market is still Italy, but we are also growing a lot in Spain and are present in other important markets, such as Poland, Romania and France. Overall we are present in more than 15 countries. We are continuously searching for new geographical markets. I have to say that in our sector each geographical market represents a different world with different legal, cultural and social requirements and – exactly for this reason – we have to carefully study each individual market before deciding whether to enter it. “The drivers of our growth are our continuous scientific research, constant innovation and professional training of our staff. Our aim


Alba Service Soc. Coop. Via della pace n. 11 41059 Zocca (MO) Tel. 059-986351 info@coopalba.eu

Alba Service is a service company based in Zocca, near Modena (northern Italy), which since 2000 has been working successfully in the industrial and residential cleaning, porterage, and goods handling sectors in the Emilia Romagna, Umbria, Veneto and Lombardy regions. Alba Service is a young, but solid company, which today can rely on a significant workforce. These assets make it a leading player in its field. Since its start Alba Service has always been attentive to customers’ needs, and today it is able to supply very high quality services, fully complying with UNI EN ISO 9001, UNI EN ISO 14001 and BS OHAS 18001 requirements. The residential and industrial cleaning services, as well as goods handling, represent the core business of the company, but thanks to the studies, research and commitment of each member of the management team, the organisation has managed to identify new routes and sceneries to offer its clients a new range of services fulfilling their needs.

Scatolificio Bianchini is specialised in industrial packaging and die-cut in general. Scatolificio Bianchini srl - Via Romana 06012 Promano (pg) tel.: + 39 075 854 0630 | fax: +39 075 854 657 e-mail: bianchini@scatolificiobianchini.com | www.scatolificiobianchini.eu

is therefore that of growing through acquiring new market segments in Italy, promoting new products for new needs and, at the same time, conquering and strengthening new foreign markets. Forecasting the future is always hard, but I believe that ABOCA will develop as it has always done, pursuing a long-term vision centred around product quality, safety and efficacy, investing in research and technology, and trying to always be competitive, also thanks to an environmentally sustainable n production process.”


COMMERCIAL COMPOSITE STRENGTH Amber Composites is part of materials technology multinational TenCate of the Netherlands. Amber Composites is a technology leader in the development and manufacture of lightweight thermoset composites for commercial vehicles and aerospace applications. Philip Yorke talked to Frank Meurs, the company’s managing director about this latest acquisition of TenCate and its unique product offering that is now enabling it to penetrate new markets.

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mber Composites is a UK-based company that was recently acquired by TenCate Advanced Composites, a market group within the Dutch materials technology company, TenCate, which is a global supplier of advanced composite materials for the space and aerospace industry, the defense industry (composite anti-ballistics) and a wide range of industrial applications. TenCate combines its fibre and fabric expertise with smart chemical and engineering technologies and is one of the oldest companies in Europe, with origins in materials dating back to before 1704. With the acquisition of Amber Composites, TenCate Advanced Composites will increase

its presence in global markets for industrial and automotive composites, tooling materials and in the European aerospace market, offering both thermoplastic and thermoset solutions. Amber Composites has been manufacturing for nearly 25 years lightweight materials for high-performance, lightweight structures and for a diverse range of industries. These include sports cars, passenger cars and other vehicles such as motors, aeroplanes, helicopters and communication devices. The company is recognised worldwide for its strength in composite tooling. TenCate Advanced Composites in North America and Europe will both stand to benefit from the recent acquisition of Amber Composites,

which will provide this market group with a more balanced product portfolio and will open the door to new opportunities worldwide. Today, the TenCate multinational is a truly global organisation with over 4500 employees worldwide and manufacturing facilities operating on four continents. Sales in 2012 were recorded as approaching €1.1 billion.

Technology driven innovation TenCate is dedicated to developing and manufacturing functional materials with distinctive characteristics that add value to customers and end-users alike, as well as enhancing ecological and economic well-being. Safety and protection, sustain-

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ability and the environment are ongoing key global trends for the company. TenCate draws its inspiration for the development of pioneering, functional materials from evolving current technological change. Frank Meurs said, “One of our most exciting areas for global expansion is the commercial vehicle market which is where our recent acquisition of Amber Composites is set to play a major role. Within the group we have an enviable track record for technology-driven innovative products that make a difference. In our particular speciality we also offer the broadest product range in the world and continue to set new industry standards with such products as those in

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our TenCate Cetex® portfolio which is a revolutionary new thermoplastic composite material. The uniqueness of our products is matched only by the uniqueness of our entrepreneurial management style and dedicated customer focus.” Mr Meurs added, “TenCate is the global technology leaders in our field; although we are not number one in every market segment, TenCate is always to be found in the top five. We are also extending our global reach through the targeting of new market sectors including other modes of transport such as buses and rail transport. Our strategy for growth is based upon the acquisition of highly successful technology companies in

or adjacent to our innovative working fields, and integrating them into our group practices and culture. A good example is this recent acquisition of Amber Composites, which will significantly strengthen our position in Europe and in particular in the aerospace, commercial vehicle and radar markets. “This move will strengthen our position worldwide, particularly in sectors such as motor sports and Formula One racing, as well as in solar arrays and radome markets. To date we have been very much focused on the aerospace industry but today TenCate Advanced Composites is targeting the automotive industry and in particular commercial vehicles of all kinds. Currently, we are in pole position to


take the fullest advantage of our technological leadership which began 25 years ago with the strategic decision to significantly increase our R&D investments and the development of relevant, innovative products that are developed to meet the challenges of tomorrow.”

TenCate Cetex® offers optimal solutions The growing importance of light and mouldable thermoplastic materials is again highlighted by the specifications demanded for the latest Airbus A350 XWB. TenCate Cetex® is a revolutionary thermoplastic composite and is described as having exceptional qualities as both high strength and low weight, and

will be applied to the stiffening structure of the airframe body of this new Airbus. This innovative material is already used in existing Airbus programmes including the Airbus A380. These advanced fabric reinforced thermoplastic composites are also used in other Airbus programmes for semi-structural exterior applications, as well as for interior aircraft applications. In the automotive sector too, TenCate Advanced Composites continues to make its presence felt with the supply of advanced composite materials for leading, global automotive customers. The strategic focus for these new composites from Tencate will be structural parts and other components

which are crucial to the integrity and safety of the vehicle. Furthermore, the demand for lightweight structures especially in hybrid and electric cars for daily use will continue to grow in the coming years. Much of the company’s success over the past decades, mainly in the aerospace industry, has been attributed to its on-going commitment to developing innovative, high-quality products such as the n company’s TenCate Cetex® range. For further details of the innovative composite materials of TenCate and the product portfolio visit: www.tencateadvancedcomposites.com

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MAKING CONNECTIONS Denmark’s GN Netcom is part of the GN Store Nord group, supplying headsets and other equipment under the Jabra brand. Industry Europe looks at the latest from the company.

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hile GN Netcom prides itself on its ever-increasing business on the office side of its operation, it is also seeing significant growth in its mobile products. A number of exciting products are being launched in response to growing trends in both consumer and professional items – and more are on the way. “We are starting to really address these trends and, as a result, I think these new products will drive growth for us,” says a company spokesperson. “On the consumer side, these are mobile and communication products in the areas of music and fitness. Also, more and more people are trying to be more flexible and to have the option of working in different locations. They therefore want products that will enable them to do so.”

A global operation GN Store Nord’s history goes back to 1869 when the Great Northern Telegraph Company was founded. Initially functioning as a telegraph company, it today focuses on headsets, through GN Netcom, and hearing instruments and audiological diagnostics equipment, through GN ReSound. GN headsets are marketed globally under the Jabra brand whereas GN’s hearing instruments are marketed under the ReSound, Beltone and Interton brands. All products are largely manufactured in China. The total workforce comprises around 4100 employees of which approximately 900 are in Denmark. The group’s headquarters are in Ballerup, just outside Copenhagen. It sells its products worldwide and is seeing particularly strong growth in Asia.

Streaming sound One of the big developments for GN Netcom in the areas of music and sports is that technology has moved much further in supporting music streaming. And as demand has grown and technology improved so the company has developed more complementary consumer products. “One product is the Jabra Halo and another is the Jabra Clipper,” explains the company spokesperson. “Also, for music and sport, 148 Industry Europe


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we have developed the Jabra Sport, which is ideal for running or riding a bike.” The Jabra Halo connects easily to a mobile phone through Bluetooth and enables the user to stream music and to take calls wirelessly. A corded option can be used if the player of choice doesn’t support Bluetooth stereo/A2DP. The Jabra Clipper gives the wearer wireless stereo music and calls in one small Bluetooth clip. Its in-ear headphones block external noise, which enhances its clear, vibrant music and calling quality. It also automatically switches between music and incoming calls to the phone. “These are not the first wireless music or stereo products we have launched but streaming music has now really taken off. A lot of things have happened in wireless streaming of music content, which have been triggers. These have included Apple’s support on the iPhone and the development of the smart phone for streaming.” This year (2013) the Jabra Mobile division strengthened its portfolio by launching additional models of successful products. The distinct Jabra headsets, Jabra Revo Wireless and Jabra Vox, were launched to

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target more preferences and users. With these launches, all of Jabra’s headsets that are targeting the attractive fast-growing segment where voice communication and music are integrating are available in both black and white to match the standard colours of smartphones. Meanwhile the popular Jabra Sport was launched in a Wireless+ edition with enhanced wireless performance and new innovative features. It offers users more flexibility with an adjustable behind-the-head cord and four sizes of ear gels to improve sound experience. All Jabra Sport products come with special features when used with the Endomondo Sports Tracker app, which is offered as a free download with Jabra Sport products.

Unified communication Another area of continued success for GN Netcom is unified communication. Today office communication takes place via different devices and media types. These include telephone landlines, mobile phones, video conferencing, email and soft phones – and employees can feel stressed and overwhelmed trying to juggle all the different channels and still work effectively.

Unified communication brings together all these devices and interfaces into one single integrated application. It makes it easier for people to connect, communicate and work together. The result is more productive employees and smoother interactions. This is another big growth area for GN Netcom and will continue to be so. It also sees the convergence of professional and mobile products, as people increasingly work in different places.

Looking ahead The office products side of the business continues to expand as well. Products such as the Jabra Speak 10, a small speakerphone that offers a hands-free solution for the office, for example, are proving particularly successful. “I think the overall shape of the company will remain the same for the next couple of years but hopefully we will have gained a bigger market share with these new products. We are still focused very much on our professional users, developing wireless products for call centres, but I do believe that expansion over the next years will come in these areas of sport and music for the consumer market. And unified communication for the office market.” n


ON YOUR BIKE World-class cyclists ride to win on Giant bicycles – and millions of ordinary cyclists around the world choose them too. Industry Europe finds out what makes Giant different from its competitors.

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aiwan-based Giant builds more than six million bicycles a year. Some are madeto-measure performance bikes for professionals, with price tags to match. Millions more are made to measure in a rather different way – they are designed to meet the very different needs of cyclists, depending on whether they are cycling on the safe, level cycle paths of the Netherlands, battling up and down hills and through the rain in Wales, or cruising along in the Californian sunshine. A key part of Giant’s global success is its ‘local’ focus. Founded in 1972, Giant started as a local company in Taiwan. It has always been a company with a manufacturing philosophy and it is now the largest bicycle manufacturer in the world. It is also the only bicycle company covering the full value chain, and one

of only very few Taiwanese companies with a worldwide recognised brand name. “We describe ourselves as a one-stop provider of high-end products,” says a company representative. “We were the first to mass produce bicycles using carbon fibre composite materials, in 1987. We also supply over two million bikes to other brands – bikes that are built to their designs. With our full manufacturing facilities we are able to make bikes – or sometimes just the tubing – for our customers very cost effectively and with better quality.”

Total solution “Giant was founded by business people. In Taiwan bikes are the most favoured mode of transport, more out of necessity – not so much for leisure,” says Mr Davies. “This

background has made a difference. The owners understand manufacturing very well so they look at a problem from the engineering side as opposed to the more emotional side. They see the bicycle as a total solution for transportation. “So if you live in the urban sprawl of Taiwan, or the rural pastures of Wales, you understand that the topography means different types of bikes. There is, for example, the space issue – you might need a compact bike in order to store it. Or you might need big tyres because of the local conditions. We have a global range, but developed and adapted for different usages.” And the country or regional preferences do vary hugely. In the Netherlands, despite wind and rain, it would not be unusual to see


a 70-year-old woman on a bike, or a parent with two children on the back. In Spain and Italy, the focus is much more on elite, highperformance cycling – fast bikes and flashy colours. “People there don’t cycle to work – cycling is more for recreation, whether for touring or getting fit,” says Mr Davies. “The bicycle has lots of different usages, so we apply our knowledge to that.” To keep close to the market and its needs, Giant has experienced design-oriented teams based in each region. Design is also done by category, whether performance, road racing, mountain biking or city biking – when people often want folding bikes. “Each region involves a whole different mindset and the designer has to think that way,” says Mr Davies. “We pick people who

understand their category and markets very well. The materials used are very complex. In the high-end performance sector, composites technology is continually improving, so you can use more and more complicated materials. A lot of computer analysis is involved and high-tech research and development. It is a case of how little material you can get away with and keep it safe.

Manufacturing sites In general, Giant is working in a highly competitive market where products are constantly being updated. It has more than 150 research and development professionals based in Taiwan, China, the Netherlands and the USA. Designers must keep up with the latest preferences when it comes to the shape of wheels



on children’s bikes, or the type of saddle preferred by riders in a particular country. Giant has two manufacturing sites in China and manufacturing sites in Taiwan and Vietnam. In order to serve the European market, it has an assembly plant in the Netherlands. Bicycle frames arrive here ‘raw’ and unpainted. They are painted, built and assembled, all in-house to serve the whole European region. Bicycles for the general market are built as standard for stock, to be sold by bicycle shops and dealers, although there is an option for a customer to buy just the frame set, and then the shop will build up a customised bike with their choice of components.

Turning point When Giant first became involved in sponsoring professional cyclists, in 1998, it was a turning point for the company. Today it sponsors world-class riders across all the different disciplines – track, road, mountain, triathlon, both men and women. “It is our way of saying we have competence across the board,” say the company spokesperson. “These professionals only ride a bike if it is good – they would never ride a bike just for the money, because the bike is their tool.” Giant broke onto the professional scene in February 1998, when Laurent Jalabert and his teammates started the Ruta del


Sol race with shiny new yellow bikes that seemed three sizes too small and had a sloping top tube. Five hours later, they emerged victorious and Giant’s Total Compact Road (TCR) concept began its reign. Since then, Giant has had winners across the board, including the Tour de France. Over the years, the TCR has evolved from TCR Alu to TCR Comp to TCR Advanced. Among the new performance models that Giant will be launching are the new 2014 CX bikes – an and all-new range of cyclocross bikes aimed at breaking performance barriers in the current market of cross bikes.

Electric bikes “Cycling is a green and healthy activity and we want to promote that. We want to sell more bikes but the cycling environment needs to be improved,” continues the company spokesperson. “It is not all like the dedicated cycle tracks in Holland – in other countries you follow cycle lanes which are just painted on the main roads and often lead you straight onto a dual carriageway. Holland is unique for its huge number of bicycles. America has good pockets, but in other areas – forget it. We need to do more together to promote cycling, especially with the obesity problem, but really it is local governments that need to do more.”

Giant believes that the steady increase in sales of its electric bikes could be an important step in the right direction. Electric bikes are cheaper than cars and today’s models can cover large distances before the battery needs charging. Giant produces bikes that range in price from €350 to €7000. From region to region they will continue to differ considerably;

Giant Europe and Giant USA have the ability to sell a totally different selection of bicycles. As Giant says, in Australia, Japanese consumer preferences are not taken into consideration when designing bicycles and marketing for the local market. This regional focus enables the global group to react quickly to changing n trends and fashions.


WINNING FORMULA The Finnish slot machine association RAY has the exclusive right to operate slot machines and casino games in Finland. All the proceeds are used to support Finnish health and social welfare organisations.

F

or decades, gambling in Finland has been strictly regulated. RAY (Raha-automaattiyhdistys) was founded in 1938. Its monopoly over slot machines throughout the country was granted by the Finnish state. Today the company controls the distribution of slot machines in Finland’s cafés and amusement arcades. RAY collects the revenue from the slot machines and pays rent to those owners of amusement arcades and restaurants who have installed slot machines on their premises. After RAY has paid all its overheads, the money left over is used for charitable purposes. Every year, money from RAY reaches around 800 Finnish charities, including those 156 Industry Europe

for the rehabilitation of war veterans and for the care of disabled war veterans in nursing homes. Other beneficiaries include charities like the Finnish Association for Mental Health.

Activities There is much more to RAY than just a grantawarding public body. Before any profits can be spent, RAY’s staff have to work to generate the revenue. Its headquarters are in Espoo, near Helsinki, and it employs 1600 people. The scope of the organisation covers the whole of the country, so many of the employees work outside the head office. These include the dealers who supply slot machines

to restaurants and amusement arcades all over Finland. It also operates 70 gaming arcades of its own, and even runs a casino, the Grand Casino Helsinki. The casino in Helsinki, which generates about four per cent of RAY’s annual revenue, is the only legal casino in the whole of Finland. Slot machines often have to be replaced to meet changing tastes. Its slot machines have an average working lifetime of six years before they are replaced. It buys between 2000 and 3000 new slots every year. The company has stopped making its own machines, and instead it uses subcontractors, but most of the games on the slots are its own designs. RAY


closely monitors its machines to gauge their popularity with the players. It collects data from the machines in all the different outlets, so it knows which machines are underperforming and can take them away. This also means that it knows which machines are most likely to succeed.

Online gaming The Internet is changing the way people do business. RAY is no exception, and has now established its presence online. After receiving its online gaming licence from the Finnish government, it has been running a successful online gaming service since 2010. The site

offers Finnish gamblers the chance to play over 150 different games, including movie-based games like Gladiator and the Pink Panther. In addition, it offers an online poker service. Some of the online games available, like Tuplapotti and Tähti, are RAY classics and are already familiar to consumers from the slot

Industry Europe 157



SUZO-HAPP SUZO-HAPP is the world’s largest supplier of components and spare parts in the amusement and gaming industry. The localised R&D departments create product solutions for all individual industry segments. Furthermore, SuzoHapp is the preferred master distributor for the best-known names of component manufacturers. Suzo-Happ has expanded its presence into further markets, such as retail, transport and vending. Suzo-Happ has a dedicated large manufacturing site in China. The R&D and Asian production site enables Suzo-Happ to develop, manufacturer and distribute customerspecific solutions and the Suzo-Happ team welcomes any enquiries on outsourcing production to their site in China. Please contact: sales@suzohapp.nl.

machines. “We create our own games and we buy them in as well,” explained a company spokesperson. “Out of our ten most popular online games, around half are our own.” RAY has 40 in-house programmers whose job is to create new games. Other online games are purchased from the international online gaming software company Playtech. “We work closely with Playtech, our business partner for Internet services.” RAY now plans to offer customers a responsible gaming tool, Playscan, which will analyse their gaming habits and identify potential problems or excesses. “If there has been a sudden change in someone’s gaming behaviour, we

will be able to send him a warning. We bought the software from a Swedish company. We are already gathering the data and soon we will be launching the service.”

Growth RAY’s website is only available to Finnish gamblers, but there are many alternative gaming websites for the Finns to choose from. By moving into the world of online gaming, RAY has therefore entered a competitive arena in which, unlike the arrangements for slot machines, it does not have the monopoly. Nevertheless, online gaming is a lucrative business, and RAY is determined to capture

a greater share of this market so it can raise more money for charity. “Online gaming is a tough sector and we know we have to be very good to succeed. But the Internet is a good field to achieve further growth as the market is developing very strongly. By ensuring that we always have new games to offer, we are confident that we will be able to grow. We believe that we have one important advantage, which is that we know the customers in Finland better than anybody else. We have a clear understanding of what they want, so we can ensure that our offering is adapted n to meet their demands.”

Industry Europe 159


SUPERIOR SANITARY SOLUTIONS ‘The Beautiful power of water’ and ‘Wir Wissen Wie’ are the watchwords of Kolektor Liv d.o.o., a Slovenian company that has its focus on sanitary technology. The company’s sales director Mr Mitja Piškur talked us through its history, current activities and vision for the future. Vanja Švačko reports.

160 Industry Europe


K

olektor Liv started as Metal Company Liv in the 1950s and was involved in casting, carpentry and metal processing. Its main strategy was listening to the needs of the market and developing its production according to the current trends. After some years of manufacturing wheels and castors, concrete mixers and hydraulic lifts for forestry, in 1961 the company for the first time tried its hand at sanitary technology, which was considered as a milestone in shaping its profile and future business orientation. Siphons and flushing valves were the first sanitary products, followed by flushing cisterns and eventually concealed cisterns a decade later. “This was a strategic move into the development, manufacturing and marketing of thermoplastic products,” explained Mr Piškur. Today the company’s main products are concealed systems that consist of various equipment for bathroom and sanitation facilities, flushing plates, no-contact flushing and exposed flushing cisterns, traps and toilet seats. The company boasts a strong development department. A large number of customers and a long list of references

prove that Kolektor Liv uses the best materials, which along with simple installation and modern design comply with the highest environmental standards. According to the latest data, there is a fine balance between the two product ranges (visible and concealed cisterns) when it comes to generating revenue. Although the company’s focus is on concealed systems because of the foreseeable future market demands, some European regions that Kolektor Liv covers still have not implemented concealed systems and require visible cisterns.

Independence within the group In 2006, Kolektor Liv became a part of the Kolektor group, a half-century-old transnational concern comprising almost 30 companies and over 3000 employees, with its headquarters in Slovenia. The group concentrates on markets in Europe, Asia and USA. There are three main divisions that define its area of scope: components and systems, building technology and products for home, as well as industrial technology and energy. Kolektor Liv takes care of sanitary technology and since 2012 has operated with two

main trademarks: Schwab and Liv. “Both brands bring synergy and clear vision for the market, especially considering the more than a century long experiences of Schwab in the field,” continued Mr Piškur. While Schwab is mostly present in western European markets, Liv covers eastern Europe.

Emphasising green technology Kolektor Liv has one production facility in Postojna. This location provides excellent logistic features such as proximity to the airports and highways, which is one of its distinguishing advantages. Apart from its closeness to the end consumer, good service, quality and design, the company addresses environmental issues very seriously, implementing an environmental management system in compliance with ISO 14001. “The most important step from a market orientation point was the renewal of brand design for both sanitary brands – Schwab and Liv. “We have developed separate strategies for each brand, but both emphasize tradition, quality, innovation and green technology,” explained Mr Piškur. “Sanitary installation products combine contemporary Industry Europe 161


design, technical trends and natural materials. Distinguished by stylish design, highquality materials and simple installation, our products upgrade any bathrooms ambience and are created for living comfort.” Kolektor Liv also holds certificates for quality management system, quality in the automotive industry and those generally required in Europe. The main products have the DVGW certificate and are manufactured in accordance with the requirements of the

162 Industry Europe

EU Directive for CE marking. The company has also obtained attestations and certificates required for specific countries.

Small things that add value Kolektor Liv finds itself confronted with evergrowing demands in the markets where its products are present. Apart from the European Union and the countries of the Balkan region, where the former Yugoslavia is one of the key importers of the Liv brand,

recently the company secured a very high position in Romania and Hungary, next to Geberit, the European market leader in sanitary technology. “Although our core business remains developing and presenting sanitary products under our own brands, a significant part of the business strategy also cooperation with certain internationally well-known and successful ceramic producers such as Roca. From a product availability point of view, as


a supplier, we are present also in Germany’s leading DIY store chains.” However, generating new ideas is essential work for those who want to stay ahead of the game. Kolektor Liv mainly invests in product improvement. “The sanitary business doesn’t have a rapid growth. Instead the growth is in development – while the base of the product remains the same, multifunctional and customised features, improved hygienic advantages etc are small things that add value,” stated Mr Piškur. “So what we do is to work on the product development every year. The main drive for the new product is design, so we develop it by following trends that provide us with new design features, mostly for flushing plates.” This kind of approach led to Kolektor Liv receiving the recognition of the ‘Innovative Company’ in the region for 2012. With regards to general growth, the company’s strategy is to grow organically. No acquisitions are planned for now, unless some good opportunity occurs. Focusing on two brands, developing them and gaining market share is the key strategy for the n future of Kolektor Liv. Visit: www.liv.si; www.sanitaer-schwab.com; www.kolektor.com


WATER TREATMENT SOLUTIONS

Unlike other resources, there is no substitute for water and only 0.3 per cent of Earth’s water is readily available freshwater. It is a resource that needs to be protected and valued. Marco Siebel spoke to the managing director, Harmen van der Kolk, to learn more about how the European Ovivo companies work together.

W

ith over 200 years of experience, Ovivo is a world leader in engineered water treatment solutions. Ovivo’s expertise spans all industries and solutions applicable to water, waste-water and ultra-pure water. Ovivo has locations in 21 countries employing over 1500 people. Its European operations generated in 2011 revenues of over €180 million. Ovivo operates locally, exchanging expertise between each company when the need for it arises. In Europe, Ovivo has offices in the UK, Ireland, Switzerland, Germany, Austria, France, Spain and the Netherlands. Ovivo Holland is taking care of many projects all over the world for global companies with headquarters in the Benelux. Ovivo Holland has specialised in developing, building, installing and taking

164 Industry Europe


care of the 24h/7 service of water installations used for the pharmaceutical, microelectronics, dialysis and energy sectors. Harmen van der Kolk “We have been operating since 1976, working for the microelectronics and healthcare business sectors. Nowadays we are part of the Electronics & Metals division. Ovivo UK, part of the Energy division, is leading the energy market, and we take great pride in our way of working as an exceptional global team, with each Ovivo branch having its own centre of excellence.”

Ultra-pure water for the micro-electronics industry Ovivo’s technologies remove impurities from water at the limits of their detection. The ultra-pure water needed for semiconduc-

tor manufacture is the purest water feasible. It is produced by combining conventional, membrane, ion exchange, thermal and oxidising treatment processes. Together with Ovivo Switzerland, Ovivo Holland designs and builds ultra-pure water treatment plants according to the latest ITRS road map specifications. The pre-treatment section of an ultra-pure water plant uses filtration, ion exchange and membrane processes to produce permeate of lowest TOC and salt content. Mr van der Kolk continued, “Due to our long experience in this market, customers choose Ovivo because of the design, quality and reliability of our systems. Our PLC control is one of our features in these plants.” Ovivo also builds degasifying units, for the removal of gases such as oxygen and CO2

as well as some volatile organics. Mixedbed ion exchangers in a merry-go-round arrangement, or chemical-free treatments of electro-deionisation purify the permeate to the highest theoretical resistivity level. The external mixed-bed regeneration avoids traces of contaminants in the ultra-pure water system. The polishing section provides for the final adjustment of the quality parameters, as well as for the temperature and pressure control in the distribution loop. All remaining ionic impurities are removed by polishing mixed-bed ion exchangers. Finally, the last remaining particles are removed by ultra-filtration systems before the ultra-pure water is distributed to the cold or hot consumers. Industry Europe 165


The ultra-pure water is typically distributed to the process equipment on the fabrication floor through a looped piping system designed for a continuous flow to avoid bacteria growth. Unconsumed ultrapure water is continuously recirculated to the ultra pure water tank for repurification in the polishing plant. Ovivo provides design, installation, supervision and certification of distribution systems, including hook-up installations to the process tools.

Demineralised water applications for the healthcare industry The hardness of tap water generally ranges from 8° to 20° dH, often causing hardness sediment (scale). For this reason tap water must be softened with a water softener. For some applications partially softened water of 2° to 4° dH is needed, while other applications require total softening (softened water of < 0.1° dH). To reach the level of demineralised water reversed osmosis or ion exchange is necessary. There are numerous applications for which demineralised water is needed. For dialysis patients, for example, special water treatment installations are required. This is 166 Industry Europe


essential for conductivity, bacterial count and endotoxins. Next to this the whole dialysis flow system can be disinfected with ozone or hot water. Demineralised water can be made in various ways. The most common methods are: softening/demineralisation followed by one or two passes of RO (reverse osmosis), demineralisation cartridge or an EDI (electro deionisation). In some circumstances it is also necessary to decrease the bacterial count, apart from the control and extermination of legionella. Mr van der Kolk added, “Our integrated solutions range from equipment design, sup-

ply and installation to the integration of complete systems. With clean water becoming a rarer commodity by the day, our clients can be found all over the world – from Tunisia down through Ruanda and Madagascar to South Africa, and from India through China and Taiwan to Australia. Ovivo is there to increase our customers’ waterrelated safety and productivity.” The local presence of Ovivo is key to our way of doing business.

Global enterprise Ovivo is part of GLV Inc., Canada, a leading global provider of technological solutions used in water treatment, recycling and purification,

as well as in pulp and paper production. Ovivo specialises in the design and international marketing of solutions and processes for the treatment and recycling of wastewater, the screening of water intakes for power stations, refineries, desalination plants and municipal applications. The Pulp and Paper Group is a world leader in the design and marketing of equipment and systems used in various stages of n pulp and paper production. Visit Ovivo at www.ovivowater.com or www.glv.com to learn more about their products and services.

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ADVERTISERSINDEX

A

I

Akzo Nobel Powder Coatings Alba Service Soc. Coop AL ATO Srl Aumann GmbH Aybars Makina Sanayi ve Tic Ltd STI

P 125 P 143 P 96 P 61 P 46

Jansen Group P 30 Outside back P 39 P 101

C Cloos Polska sp. Zoo Colly Components CSI Industries BV

P 89 P 38 P 54

D Decoral System Srl Dow Italia Div. Commerciale Srl

P 125 P 93

E E M Moulds Edwards Elpress AB Elpro I Alingsas AB Enplast Plastik Kimya San Tic. AS ES FiberVisions Etichettificio Service Srl Eurotek Foundry Products Ltd

P 112 P 112 P 67 P 137 P 26 P 54 P 70 P 121

F Faist Componenti SpA Feidal Polska sp. zoo Filc d.d.

P 51 P 132 P 166 P 126

J

B Bargy Decolletage BRT Corriere Espresso Bulten Sweden AB Burgdorf GmbH

IMCD Denmark AS Inficon InterApp Group Inver Polska sp z.o.o

S

P 30 P 86 P 26

G Generale Meccatronica Applicata P 71 Grieshaber Feinmechanik GmbH & Co. KG P 63

H Hafi Hallands Fruktindustri P 82 Hans Von Mangoldt GmbH & Co. KG P 79 Henschke GmbH P 116

P 116

K Källbergs Industri AB Klejtech / Klebchemie G Becker GmbH

P 83 P 125

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Scan Diesel Scart Imballaggi Scatolificio Bianchini Srl Schneeberger GmbH Selle Italia Srl Sigmatex (UK) Ltd Sintek Ltd. Co. Slingsan Endüstriyel Torba Sanayi ve Dis Ticaret Ltd Specialkarosser AB SRAM Stanzbeile Augenstein GmbH Suzo Happ Synergy ScienTech Corp.

Lanificio Angelico Srl P 58 Larco Inside front LPW Reinigungssysteme GmbH P 38

T

M

U

Max-Baermann GmbH Metaloprema d.o.o.

P 63 P 163

Vogt AG Verbindungstechnik

P 109

P 70

Z P 132

P Pietro Carnaghi SpA P 108 Plansee Composite Materials GmbH P 133 Point Transaction Systems P 158 PPG Coatings Europe BV P 155 PPG Helios d.o.o P 26 Primagaz P 140 Prinzbach HM-Sonderwerkzeuge P 129 GmbH & Co. KG Promal Coatings sp zoo P 126 PW Masterchem P 51

R Raccortubi Rubinetterie Ritmonio Srl

P 39

P 38

0 Oerlikon Leybold Vacuum AG

Utensili Fratelli Magoni SpA

P 82 P 153 P 61 P 159 P 150

V

N Nolato Silikonteknik AB

Toten Metall AS

P 75 P 35 P 143 P 104 P 154 P 147 P 46 P 47

Inside back P 92

Zelter GmbH ZHU Hasan Eksport-Import

P 30 P 104




Articles inside

Water treatment solutions Ovivo

7min
pages 166-172

Superior sanitary solutions Kolektor Liv

5min
pages 162-165

Winning formula RAY

5min
pages 158-161

On your bike Giant

6min
pages 153-157

Making connections GN Netcom

4min
pages 150-152

Commercial composite strength Amber Composites

5min
pages 146-149

Mighty light MWS Industry Holding

4min
pages 140-142

Masters of sheet metal machinery Petersen Machinery

6min
pages 137-139

Cutting-edge sand-casting solutions Thoni-Alutec

4min
pages 120-123

Strength in a group COLOREX Group

10min
pages 124-128

Innovators in high grade steel Nedstaal

4min
pages 116-119

A pioneer in coatings Oerlikon Balzers

5min
pages 132-136

Health and wellbeing straight from the Tuscan hills

5min
pages 143-145

Specialists in hydraulic valve blocks

4min
pages 129-131

Rooted in the past, focused on the future

5min
pages 108-111

From strength to strength Laxcon Steels

5min
pages 112-115

Lathes of the highest quality FAT

7min
pages 104-107

Steel forgings for global markets ACSA Steel Forgings

4min
pages 96-99

Global expansion Bodycote

4min
pages 100-103

Maximum comfort, minimum energy

5min
pages 92-95

Complete heating solutions Galmet

5min
pages 89-91

Leader in special-purpose truck bodies IGLOOCAR

5min
pages 86-88

First on the grid Woodward Kempen

6min
pages 78-81

Flavour of success Pågen

4min
pages 82-85

Energy from biomass Schnell Motoren

4min
pages 75-77

Energy storage solutions Power-One

8min
pages 70-74

Harnessing the future PKC Group

5min
pages 66-69

Flying high Buhler Motor

4min
pages 61-65

Tailored to perfection Strellson

4min
pages 58-60

A global giant Proctor & Gamble

5min
pages 54-57

A global leader in cement Cimsa Cimento

6min
pages 46-49

World class construction machinery Hidromek

5min
pages 43-45

The green team Nopa Nordic

4min
pages 50-53

Proving its metal Ljunghäll Group

4min
pages 38-42

Taking care of your vehicle Ravaglioli

6min
pages 34-37

Turbocharged success BorgWarner Group

4min
pages 30-33

Serving the international auto industry AD Plastik

5min
pages 26-29

Moving on Relocations and expansions

3min
page 20

Taking the high-margin road Europe’s chemical

9min
pages 8-10

Linking up Combining strengths

7min
pages 18-19

Technology spotlight Advances in technology

8min
pages 22-23

Bill Jamieson Waiting for the German watershed

4min
page 6

Winning business New orders and contracts

6min
pages 16-17

Flight of the starship Solar Impulse crosses the USA

5min
pages 14-15

Industry people Appointments

2min
page 21
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