Industry Europe – Issue 24.7

Page 1

VOLUME 24/7 – 2014 • €6

The world of European manufacturing

BUCHER – THE SPECIALIST IN LIGHTWEIGHT SOLUTIONS HAJDU FOCUSES ON ENERGY EFFICIENCY TECHNO-SERVICE CELEBRATES 30 YEARS OF PCB PRODUCTION

AIRBUS AND BOEING THE BATTLE GOES ON



OPINION

PETERMERCER

|

Crime and punishment Trade sanctions might hurt Russia. But will they mend fences or raise walls?

Y

ou knew it was getting serious when Britain’s deputy prime minister Nick Clegg suggested that Russia should be denied the privilege of hosting the 2018 football World Cup. Prime Minister Cameron had been leading the calls for more robust action against Putin’s regime but this was, for the moment, clearly a step too far. It was one thing to slap asset freezes and visa bans on Russian officials and companies but depriving the Russian people of the chance to see Britain humiliated and, probably, Germany triumphant four years from now was altogether too severe a punishment. Nonetheless Cameron told parliament that it “was time to make our power, influence and resources felt” to make clear to Russia that it “could not expect to continue enjoying access to European markets, European capital and European technical expertise while she fuels conflict in Ukraine.” Given the current lack of gunboats it was not quite clear to many how all this British power could be effectively deployed but the prime minister thought a good start would be for France to cancel the delivery of the two Mistral class helicopter assault ships it is building for Russia. He said it was ‘unthinkable’ that Britain would go ahead with such a deal after the catastrophe of MH17. Funnily enough the French were not too keen on this idea. Quite apart from the fact that it’s a bit late – the first of the ships, the Vladivostok, is due for delivery in October and 400 Russian sailors are already training on board at the STX shipyard in Saint-Nazaire – and the fact that in its present state France could do with the €1.2 bn from the deal, the French pointed out that the ships were not very sophisticated in any case. That might come as unwelcome news to the Russians – they could have managed to build a couple of unsophisticated ships themselves. But what really annoyed the French was what they saw as the gross hypocrisy of the British. “Dear British friends, let’s talk about

finance,” said France’s foreign minister Laurent Fabius. Was not London a haven for Russian oligarchs, many of whom were generous supporters of the Conservative Party? If the British wanted to get at Russia, said a French official, they would do better to sanction Chelsea (the Russian-owned football club not the quartier) and support Paris St Germain instead. Germany’s Die Welt newspaper agreed. It was indeed hypocrisy for London to call for tougher sanctions and attack France for blocking them while continuing to shelter Russian oligarchs and supply Russia with arms. It observed that a total of 251 export licences for British arms sales to Russia – worth some £132m – had not been revoked. No British response to this claim has been reported but the line would undoubtedly be that the weapons were not very sophisticated. No doubt Die Welt’s support for the French reflected Germany’s opposition at the time to extending sanctions beyond the Tier 2 asset freezes and travel bans. After all, some 350,000 German jobs depend directly on German-Russian trade and the country could ill afford any interruption of its gas supply from Russia. After the tragedy of MH17, however, and the continuing obstruction of access to the crash site by the pro-Russian separatists, the German government changed its position. German foreign minister Frank-Walter Steinmeier said that now ‘new substantial measures were the correct answer’ because European peace itself was at stake. And a Spiegel editorial said that it was now imperative that Europe act together and put aside ‘national selfishness’. So we now have agreement across the EU on Tier 3 measures that target Russian financial institutions, arms deals of all kinds (except the Mistral deal) and energy technology (except, of course, gas imports).

Not a good record The hope is that these measures will hurt Russia more than Europe. We shall see. But

sadly the history of trade sanctions is not encouraging. Too often sanctions solidify popular support for targeted governments rather that weakening it and strengthen the resolve to carry on regardless. They can even end up making the target country more self-sufficient. That is what happened in Rhodesia in the late 1960s – the country’s real output increased 6 per cent per year. The US embargo on pipeline equipment to the Soviet Union in 1981–82 was almost completely ineffective, as were its trade sanctions against Nicaragua in 1985. Sometimes, of course, the consequences are disastrous. Athenian trade sanctions on Megara in 432 BC kicked off the Peloponnesian War. And over 2000 years later, in 1941, the Roosevelt administration imposed sanctions against Japan which froze all Japanese assets in the USA and shut off all trade between the two countries. Since 80 per cent of Japan’s oil came from the USA, this was nothing less than a declaration of economic war. To which, of course, the Japanese responded with the desperate gamble of their strike on Pearl Harbour. Of course it’s hard to know what to do about Russia’s refusal to stop stirring up the conflict in Ukraine – and arming the separatists with now appalling results – but any attempt to defuse the situation should surely start with an attempt to understand how the Russians themselves see their position in regard to one of their former territories. And are trade sanctions likely to increase understanding or strengthen intransigence? After all, what brings the countries and the peoples of the world ever closer is trade, not the restriction of it. It is free trade that does more than anything else to increase global prosperity and reduce international tensions. So maybe just saying they can’t have the World Cup until they start behaving isn’t such n a bad idea after all. 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 Anthony McClintock Ben Snowing Anna Dudek Stephen Moore Martin Gisborne Victoria Pease

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

Above: Aerospace Industry p6

Comment 1 4

Opinion Crime and punishment Bill Jamieson Not there yet

Aerospace Industry 6 9 12

Battle for the skies Competing in a booming market Aerospace news The latest from the industry A whole new way to fly Airbus’ vision of the future

News

IT Support Jack Everson

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

14 16 18 19 20 21

Reports 22 23

POSITIVE PUBLICATIONS

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

Aerospace 24

© Industry Europe 2014 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.

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

Focused on lightweight solutions Bucher Group

Agriculture 31

Tractors with a difference Valtra

Automation & Tooling 34

The best of both worlds Schiess

Automotive A Square Root Company

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

37 40 44 50

High pressure die casting Ljunghäll A versatile material Columbian Tiszai Excellence rewarded Daimler Leading emission testing technology

Maha Maschinenbau Haldenwang

54 58 61

Powering ahead General Motors Advanced powertrain solutions BorgWarner Group Re-defining engine cooling TitanX


VOL 24/7

Above: VTS Group p122

Building & Construction 64 67

A tradition of quality Eibenstock A railway industry first Abetong

Chemicals 70 75

The appliance of science Haldor Topsoe Expanding horizons Polwax

Consumer Goods Above: Bucher Group p24 Below: Daimler p44

78

Keeping it green Nopa Nordic

Above: Buhler Motor p86 Below: TS PCB p90

Electrical & Electronics 82 86 90 95

Sustaining growth Andritz Out in front Buhler Motor Fast delivery of PCBS TS PCB Power products Trench Austria

Energy & Utilities 98 102 106 110 114

Committed to innovation Angelantoni Ever smarter CPL Concordia Global warming HAJDU Sustainable solutions Hamon Group Re-inventing the wind turbine Mervento

Food & Drink 118 Food fit for kings Merian Foods

HVAC 122 Global partner in air handling solutions VTS Group

Above: Mervento p114 Below: MOFEM p147

Marine 127 Global shipping services JJ Ugland Companies

Above: TitanX p60 Below: Haldor Topsoe p70

Metals & Metalworking 130 International spring supplier Lesjöfors 134 Energy-efficient steel solutions Ruukki 137 Global leaders in tube forming Voestalpine Rotec

Pharmaceutical 140 Serving the pharma industry Siegfried

Also in this issue... 144 A winning design philosophy Adria Mobil 147 Expanded portfolio MOFEM Industry Europe 5


COMMENT

BILLJAMIESON

|

Executive Editor of The Scotsman

Not there yet How unresolved problems dog the eurozone.

T

wo questions spring to the fore in conferences and seminars on the global economic outlook. Both are critical to the export hopes of UK companies selling into continental Europe: when will the eurozone start to see growth rates now enjoyed in other Western economies? And when will we see more monetary stimulus from the European Central Bank? Both questions assume that the single currency has survived its time of trial, that its problems are largely over and that, with judicious ECB monetary policy and structural reform in the peripheral economies, the eurozone recovery will build momentum before too long. It is certainly true that core Europe has seen a notable upturn compared to the position two years ago. Economic activity has been rising for four successive quarters. The consensus view is that further progress will be made and markets are now focusing on the potential for significant outperformance in the periphery. But big doubts remain, and they can be traced to an uncertainty that the single currency – or more accurately the fiscal and monetary regime required to maintain global market confidence in it – has indeed dispelled those existential fears of three years ago. Is the price of the single currency’s revival a slow and faltering recovery as the ECB seeks to maintain pressure on member states to bear down on excessive levels of public debt? And if today’s muted recovery stalls or goes into reverse, might the regime surrounding the euro itself come under further political and financial strain? To the extent that this will prove to be the case – or be seen to be so by the eurozone’s restless and frustrated voters, can we really be sure that ‘the euro crisis’ really is a thing of the past? Latest forecasts by the International Monetary Fund give no assurance of growth momentum. It expects Germany to grow by 6 Industry Europe

1.9 per cent this year and for the eurozone to manage 1.1 per cent expansion – an improvement, but hardly one at a pace that will feed hopes of a big fall in current levels of unemployment. Meanwhile, recent business surveys suggest downside risks to overall eurozone growth in the third quarter, feeding concerns that the initial and strongest phase of improvements may lie behind. Geopolitical concerns in the aftermath of the shooting down of the Malaysian airliner over eastern Ukraine and a disruption to trade between Russia and the EU add to worries.

Is the price of the single currency’s revival a slow and faltering recovery as the ECB seeks to maintain pressure on member states to bear down on excessive levels of public debt? Wearying of austerity Public debt sustainability across the eurozone is still far from guaranteed, despite unprecedented fiscal austerity in the recent past. As Citi group economist Giada Giani points out, public debt ratios are still rising in all euro area countries, except Germany and probably Ireland. Better real GDP growth and improved budget balances make further improvement more likely today than at the height of the crisis. “However,” Citi notes, “these factors alone are not likely to be enough to set debtto-GDP ratios on clear downward trends in some countries without further fiscal efforts and/or growth-enhancing reforms. Cyclical improvements in the budgetary positions may be more limited than generally thought.” All this might seem arcane, but with debt to GDP levels in many eurozone countries unlikely to peak for two or three years, the

support of Europe’s political leaders for continuing austerity programmes is already wearing thin. And voters are wearying of tight lending and spending regimes that are thwarting falls in unemployment and an improvement in living standards. The risks to stability in the eurozone’s financial arrangements may become especially high if the recovery pace does slacken – and this in turn may make the fragile settlement around the euro less securely underpinned than many believe. However, the commitment of the eurozone’s leaders to the euro remains very strong, even though it has required member governments to impose serious burdens on their populations. But there is a limit to public acquiescence in this, just as we are seeing limits to public support for the EU overall. Its continuation in its current form cannot be taken for granted. The UK Government wants to renegotiate the terms of its EU membership. German chancellor Angela Merkel is pursuing a foreign policy agenda distinct from the US and that of the rest of the EU. And in France, the most popular party currently is the one that seeks to assert France’s national interests against the EU. Given these divergent pressures it may be that support for the euro project is limited to measures likely to ensure its survival – and little more. So, the fragility of the eurozone’s recovery and its vulnerability to shocks require action. The prospect of a muted domestic demand recovery, and worries about a large output gap, have strengthened expectations that the European Central Bank will resort to additional policy stimulus through its own version of quantitative easing towards the end of the year. That the single currency area finds itself so out of step with developments in the other direction in the US and UK is a measure of how the eurozone’s unresolved problems n continue to shape current actions.


Industry Europe 7


Boeing 777X - credit Boeing

BATTLE FOR THE SKIES The rivalry between Airbus and Boeing is as fierce as ever as they compete in a fast-growing market. Murdo Morrison, Editor, Flight International, reports.

T

here is little love lost between the world’s two manufacturers of large passenger aircraft. Europe’s Airbus and the USA’s Boeing are building huge backlogs stretching into the 2020s as demand for their products soars. This is thanks to emerging middle classes in markets like China, Latin America and South East Asia, flying for the first time, but also to airlines in their traditional backyards of Europe and North America, refreshing fleets after more than a decade of retrenchment. In terms of orders, their market shares dip and flip, but have remained at roughly 50/50 over recent years, with Airbus edging it in narrowbodies; Boeing in larger, twin-aisle aircraft. However, forget notions of a cosy duopoly; rivalry between the two beasts of aerospace remains intense. In the single-aisle sector, Toulouse and Seattle have directly compet8 Industry Europe

ing products. Each abandoned proposals for all-new narrowbodies to replace their best-selling A320 and 737 families a few years back. Instead, they opted to re-engine, with their repowered types due in service in 2015 and 2017 respectively: Boeing stuck with its incumbent engine supplier, CFM International, which has designed a successor to its CFM56 – the LEAP – promising 15 per cent fuel savings over the current 737; Airbus is offering a choice of the LEAP or a geared turbofan from Pratt & Whitney for its A320neo. In twin-aisle aircraft – a smaller but more lucrative segment for the airframers – the dynamics are different. The two airframers have gone down divergent paths – and each vociferously claims their plan is right. Boeing’s line-up is based around two families of aircraft – the recently-introduced 787 Dreamliner, with three variants catering for 210 to 335 pas-

sengers, and the larger 777, which carries 310 to around 400 passengers. The 777-300ER is already the airplane of choice of most longhaul airlines and Boeing launched its successor – the 777X – at last November’s Dubai air show, with a flurry of orders from the big Gulf airlines and others. Seattle’s strategy appears to be working at the other end of the widebody spectrum too. After a difficult gestation – with entry into service delayed by two years because of problems resulting from an overstretched supply chain, and a grounding following a series of battery fires early last year – the all-composite Dreamliner is ramping up production. At July’s Farnborough air show, Boeing presented the 787-9 stretch variant, which has just gone into service with Air New Zealand. A further stretch, the -10, will follow into service in 2016. The only slow-seller in Boeing’s portfolio is the 747-


Airbus A380 and A350 XWB - credit Airbus

8, the latest version of its venerable jumbo, which is essentially marketed as a freighter. Airbus, by contrast, has struggled in widebodies since the turn of the century. Its 550seat A380 – the largest passenger aircraft ever – has not sold as Airbus had hoped since its launch over a decade ago. The manufacturer envisaged it as a hub-connector, transporting the maximum number of passengers from one large city to another. However, while orders have inched over the 300 mark, considered to represent break even on Airbus’s investment, only Emirates has bought the superjumbo in any sort of volume. And while the smaller A330 has performed well for Airbus over two decades, production of its fuel-thirsty, four-engined sibling, the A340, came to an end in 2011. In 2006, Airbus was forced to abandon plans to introduce a re-engined successor to its A330, called the A350. Instead it went back the drawing board and launched the larger A350 XWB (extra wide body). Its three variants were intended to compete directly with the 787 and – with its largest -1000 variant catering for around 370 passengers – provide a rival for the 777 too. However, the programme was dealt a major blow in June when Emirates cancelled an order for 70 A350s. There are still 742 commitments for the family, but it is set to lose one of its members: the A350-800 ‘shrink’ never gathered much momentum and Airbus looks certain to bin it. Instead, at Farnborough, Airbus announced a re-engined version of its A330, powered

exclusively by a new variant of Rolls-Royce’s Trent family. Boeing predictably rubbished the move, claiming its rival was resorting to reheating a product rejected in 2006. For Airbus, however, the A330neo, as it has been named, has got off to great start. Airframers rarely sell at list price and Airbus’s secret weapon is that it can offer the new A330 – whose initial investment has been essentially amortised – at a substantial discount against the 787. For existing A330 customers seeking fuel savings, but unwilling to absorb the additional training and maintenance costs of switching marques, this has advantages. Earlier this year, John Leahy – an American who has been the European company’s top salesman for two decades – dismissed his competitor’s widebody line-up as a ‘dog’s breakfast’ because it had so many products to address different segments of the market. That argument now looks tenuous, given that Toulouse will be offering five types across three families – the A330neo, A350 XWB and A380. What the latest move has shown, however, is that – just as with the A320neo and the 737 Max – re-engining a successful airframe, with the engine maker taking on much of the investment, can be a highly effective strategy in an era of high fuel prices.

Regional aircraft While Airbus and Boeing dominate in widebodies and narrowbodies, Bombardier wants to break into the market with its 110- to 145-seat

CSeries. However, the programme has been beset with problems – the latest being a failure of a version of Pratt & Whitney’s geared turbofan PW1000G during flight testing. It meant the aircraft could not appear at Farnborough, a huge marketing opportunity for a new product. With Airbus and Boeing both opting to reengine rather than develop new single-aisle aircraft, the Canadian company’s boast is that it is the only purpose-built modern aircraft on the market. With firm orders at just over 200 aircraft, the market seems unconvinced. Other manufacturers have largely shunned the narrowbody market, opting instead to focus on the so-called ‘regional’ segment of under 100 seats, abandoned by the likes of Fokker, Saab and BAE Systems (formerly British Aerospace) over a decade ago. Showing most promise in this area is Bombardier’s arch-rival, Brazilian manufacturer Embraer, which is revamping its top-selling E-Jet family as the E2, again powered by a variant of the near-ubiquitous P&W geared turbofan. After launching the programme at the Paris air show last year, Embraer picked up more commitments at Farnborough. Japan’s Mitsubishi and Russia’s Sukhoi – partnering with Alenia Aermacchi of Italy – have also entered the regional market. While the Mitsubishi Regional Jet has yet to fly, the Sukhoi Superjet 100 has been in service for three years, mainly with airlines in Russia and the former Soviet Union, but also with Mexican low-cost carrier Interjet. Industry Europe 9


A350 XWB leaving Farnborough - credit Airbus

The Superjet, which uses western technology including engines partly-designed in France, is one of two programmes Russia’s aerospace holding company United Aircraft hopes will revitalise the country’s flagging industry. The other is the narrowbody Irkut MC-21, a successor to ageing Soviet era types, scheduled to fly next year. China too is getting in on the game, although both its Comac C919 narrowbody and ARJ21 regional jet are behind their original schedule. Of the two, the C919, powered by the CFM LEAP, looks closer to reality, with first flight slated for next year. Although the high entry barriers of getting into the airliner market have been difficult to surmount – even for China – the swelling domestic market should ensure the eventual success of its programmes and industry. The importance of doing business in the country has led to Airbus and Embraer, among others, setting up final production lines there, and both the C919 and ARJ21 use Western technology extensively. All the orders for airliners have raised fears of an orders bubble. Airbus and Boeing plan to raise monthly production of their narrowbodies from 42 each to 48 and 49 by the end of the decade. Given that just a few years 10 Industry Europe

ago, their respective output was in the 20s, this is unprecedented. Worries have been prompted by huge purchases by young airlines in Asian countries such as Indonesia that are launching hundreds of short-haul services. Most experts, however, feel that – short of a catastrophe in the world economy – projected GDP rate increases into the 2020s can sustain current demand.

Uncertain future for defence Defence is where the aerospace industry is finding it tough. An engine fire stopped the F-35 joint strike fighter making its UK debut at Farnborough, an embarrassment for manufacturer Lockheed Martin. Britain’s industry is a major participant in the programme, and the vertical take-off and landing version will serve on the country’s new aircraft carriers. With home-customer production of the continent’s two main fighter programmes – the four-country Eurofighter Typhoon and the Dassault Rafale – due to run out in the next few years, both manufacturers are looking to exports to keep production lines going. The Middle East and Asia offer the most promise. Airbus Group – parent of the commercial airliner maker and formerly known as EADS – earlier this year merged its defence and

space units as a result of slowing military spending. It and its European counterparts, BAE Systems, Dassault and Italy’s Finmeccanica, are relying on future government spending to design an unmanned combat aircraft to replace the current generation of fighters in the 2030s or 2040s. Projects are underway, but there is no guarantee of them becoming funded programmes in the next decade or so. Governments face the dilemma of balancing the need to cut budgets and retaining the expertise and business to keep domestic defence industries intact. For Europe’s aerospace the saviour is the commercial sector, with Airbus and Boeing’s suppliers benefiting from their success. By the end of this decade, Airbus’s plant in Broughton, north Wales will be producing almost 100 wings a month, each a highlycomplex piece of engineering. GKN in Bristol makes many of the composite structures that go into them. In turn, dozens of SMEs design and build sub-systems and components, a pattern replicated in clusters all over the continent from Toulouse to Munich, Seville to southern Italy. Thanks to millions getting the flying bug, aerospace will remain one of Europe’s most important knowledge n industries for decades to come.


NEWS

New developments in the Aerospace industry

INDUSTRYNEWS

GKN Aerospace wins Boeing forecasts demand for 36,770 new airplanes oeing projects a demand for 36,770 new airplanes over the next 20 years, an increase of 4.2% multi-million pound BLondon, from last year’s forecast. The company released its annual Current Market Outlook (CMO) today in estimating the total value of those new airplanes at $5.2 trillion. contract from Bombardier “This market is strong and resilient,” said Randy Tinseth, vice-president of Marketing, Boeing Commercial Airplanes. “With new and more efficient airplanes entering service, the growth in air travel is being driven by customers who want to fly where they want, when they want.” Fueling this year’s forecast is the single-aisle market, which is projected to be the fastest growing and most dynamic segment due to the continued emergence of low-cost carriers. 25,680 new airplanes will be needed in this segment, making up 70% of the total units in the forecast. “Based on the overwhelming amount of orders and deliveries, we see the heart of the single-aisle market in the 160-seat range,” said Tinseth. Visit: www.boeing.com

Brazil’s Azul signs LOI for up to 50 Embraer E195-E2 jets

G

KN Aerospace has been selected by Bombardier Aerospace, Belfast, to design, develop and supply the composite integrated rudder and elevator for the new Global 7000 and Global 8000 ultra long-range business jets. The multimillion pound contract adds to already significant GKN Aerospace work packages on these aircraft. These composite structures will be developed and manufactured at the company’s Cowes facility on the Isle of Wight, UK. First deliveries to Bombardier in Belfast will take place in 2014 and will continue through to 2026. Neil McManus, CEO, GKN Aerospace – Europe and Special Products states: “Our engineering expertise across composites and transparencies will make a vital contribution to meeting the remarkable range and emissions goals of the Global 7000 and Global 8000 aircraft. This latest contract win illustrates both our growing relationship with Bombardier Aerospace, which includes the supply of critical structures for the CSeries aircraft’s advanced composite wings, and also our increasing participation in the business aviation market.” Visit: www.gkn.com/aerospace

Lockheed Martin opens space technology office in United Kingdom

L

ockheed Martin is opening a space technology office in Great Britain to explore partnership opportunities with UK businesses and universities to support the UK’s goal of maintaining and growing its national capabilities in space. Form-

E

mbraer S.A. has signed a Letter of Intent (LOI) with Azul Linhas Aéreas Brasileiras SA for 30 firm orders for the E195-E2 jets. The firm order is expected to be completed by the fourth quarter of this year. Besides the firm order, the LOI includes additional 20 purchase rights for the same model, bringing the total potential order to up to 50 E195-E2 jets. The contract for the E-Jets E2 has an estimated value of USD 3.1 billion, at list prices, if all purchase rights are converted to firm

orders. As the first airline to order the E195-E2, Azul becomes the launch operator for this aircraft. “With the E-Jets family as the backbone of its fleet, Azul has brought affordable air travel to an entirely new segment of the population in Brazil,” said Paulo Cesar Silva, president & CEO, Embraer Commercial Aviation. “With this order today, all of us at Embraer are proud to know that the Brazilian market will continue to be served long into the future with our latest products.” Visit: www.embraer.com

AgustaWestland awarded AW159 Wildcat FASGW missile integration contract

A

gustaWestland has signed a contract with the UK Ministry of Defence (MoD) valued at £90 million to integrate, test and install the Future Anti-Surface Guided Weapon (FASGW) Heavy and Light missile systems onto 28 Royal Navy AW159 Wildcat helicopters. The two missiles are the MBDA FASGW(Heavy)/ ANL (Future Anti Surface Guided Weapon (Heavy)/ Anti Navire Léger) and the Thales Light Multirole Missile (LMM) (FASGW (Light)). Both will be integrated onto the AW159 Wildcat to give it the ability to attack a wide range of surface targets

ranging from small high speed surface craft up to large surface vessels such as corvettes, as well as coastal and land targets. Visit: www.agustawestland.com

ing part of Lockheed Martin’s expanding business footprint in the UK, the office will be based at the UK Space Gateway in Harwell, Oxford. “Our new office will support the UK Space Agency’s objective to grow national involvement in the space sector through innovation and science, new opportunities, and space-related

exports,” said Stephen Ball, chief executive of Lockheed Martin UK. “We will underpin this strategy by working with industry and academia to identify opportunities to accelerate innovation, strengthen national space expertise, and connect UK organisations with international space programmes.” Visit: www.lockheedmartin.co.uk Industry Europe 11


NEWS

New developments in the Aerosoace industry

Airbus A320neo surpasses 3000 firm orders

A

irbus A320neo (new engine option) Family has reached an important milestone during the Farnborough airshow, having cumulated more than 3000 firm orders from 57 customers since its launch in December 2010. The milestone was reached when SMBC Aviation Capital ordered 110 A320neo, marking the latest vote of confidence for the world’s leading Single Aisle aircraft Family. “We’ve given customers many reasons to prefer the A320neo Family and our customers have given us 3000 reasons for making it the world’s favourite and fastest selling single aisle aircraft by far. With 15% reduced fuel burn, an additional 500nm range and the widest most comfortable cabin in its category, the A320neo Family is the single aisle aircraft of choice with 57 customers worldwide – twice as

many as the competitor,” said John Leahy, chief operating officer, Customers. “We are honored by SMBC’s vote of confidence in the NEO, and we’re proud that our partnership with them has pushed the A320neo order book beyond 3000.” Visit: www.airbus.com

Airbus Helicopters signs contracts for 123 rotorcraft for China

Nordic Aviation Capital adds 75 ATR 42-600s to its portfolio

ON

the occasion of German Chancellor Angela Merkel’s state visit in Beijing, Airbus Helicopters signed contracts for a record 123 civil helicopters with three customers from various Chinese provinces. The rotorcraft will be used for general aviation activities covering multiple missions including utility work, aerial tours, passenger transport, business aviation, emergency medical services and search and rescue. The three contracts were signed with Fujian Xinmei General Aviation Co. (GAC), Guangdong Baiyun GAC and Yunnan Fengxiang GAC. The total fleet of 123 helicopters comprises mainly light singleengine helicopters from Airbus Helicopters’ Ecureuil family, as well as the light twin-engine EC135. “We are grateful to the operators for selecting Airbus Helicopters to be their partner in developing the general aviation market to serve Chinaís needs,” said Airbus Helicopters CEO Guillaume Faury. Visit: www.airbushelicopters.com

Rolls-Royce technology powers Farnborough announcements

F

arnborough International Airshow saw Rolls-Royce further enhance its broad portfolio of engines and its order book. The selection of the new Rolls-Royce Trent 7000 engine as the exclusive powerplant for Airbus’s A330neo aircraft preceded selection announcements by AirAsia X (50 aircraft),

12 Industry Europe

N

ordic Aviation Capital (NAC), the largest regional aircraft trading and leasing company with the world’s biggest ATR fleet, has signed a total order for 75 ATR 42-600 aircraft, in a deal valued at over US$1.55 billion. Deliveries will commence in 2015 through to 2020. By confirming this order for new ATR 42-600s – which includes 25 firm orders and 50 options for the type – NAC is once again demonstrating its full confidence in ATR – and this time, in the smaller 50-seater ATR 42-600. Patrick de Castelbajac, ATR’s chief executive officer, declared: “We are delighted to see NAC placing another very important order for the world’s best-selling regional aircraft. The ATR-600 series aircraft is unrivalled in terms of its economic performance and product offering, and the aircraft’s family of 50 and 70 seat capacity is the best solution to respond to the regional market requirements around the world.” Visit: www.atraircraft.com Transaero Airlines (12) and lessors Air Lease Corporation (25), CIT (15) and Avolon (15). The Trent 7000 builds on the market-leading Trent 700 to deliver significant performance benefits, improving specific fuel consumption by 10 per cent and halving perceived noise. Elsewhere in the Civil market, Kuwait Airways selected the Trent 700 to power their fleet of five new A330 aircraft and

NRC collaborates with NASA on Access II flight testing

T

he National Research Council of Canada (NRC) has joined the National Aeronautics and Space Administration (NASA) and the German Aerospace Center (DLR) in NASA’s Access II project to conduct a series of flight tests designed to study the effects on emissions and contrail formation of burning alternative fuels in jet engines. In May 2014, NRC’s CT-133 research jet flew from the Armstrong Flight Research Center in Edwards, California, to measure emissions from NASA’s four-engine DC-8 jet. The NRC research aircraft flew in formation with the NASA Hu-25 and DLR Falcon 20E at typical commercial flight altitudes between 9 and 12 kilometres. The research aircraft were able to obtain in-flight emission measurements and contrail characteristics from the DC-8 jet, burning both conventional jet fuel and blended alternative fuels. They measured the emissions of the biofuel-JetA mixture and its effects on the formation and properties of condensation trails at typical commercial flight altitudes. NRC’s CT-133 measured the concentration effect of the DC-8 trailing vortices upon several emission species and the longevity of contrail ice particles in their vicinity. Visit: www.nrc.gc.ca/aerospace

Air Mauritius ordered six Airbus A350 XWB aircraft, powered by the Trent XWB. Away from the show, a higher thrust version of the Trent XWB, the world’s most efficient large civil aero engine, ran for the first time on the test bed. Rolls-Royce also announced an $86m order from lessor MG Aviation for Trent 1000 engines to power two Boeing 787-9 Dreamliners. Visit: www.rolls-royce.com


INDUSTRYNEWS Aero engine and landing gear agreement signed 777X takes off with BAE Systems’ between Firth Rixson and United Technologies irth Rixson has signed a 10-year agreement am convinced this contributed to our ability to Integrated Flight FTechnologies valued at more than $1 billion with United win new business,” said David Mortimer, chief Corporation to supply engine officer of Firth Rixson. Control Electronics and system components for UTC Propulsion & executive Headquartered in Sheffield, Firth Rixson supplies

T

he Boeing Company has selected a BAE Systems-led team to provide electronics for the 777X flight control system through a competitive procurement process. The system, known as the Integrated Flight Control Electronics and the Air Data Reference Function, will control the flight surfaces of the aircraft and integrate additional functionality unique to the 777X. “This will be one of the most advanced fly-bywire systems on any commercial aircraft, enabling the 777X to achieve superior flying quality and fuel efficiency,” said Dr Ehtisham Siddiqui, vice-president and general manager of Commercial Aircraft Solutions at BAE Systems. Boeing’s selection of BAE Systems for this key component of the aircraft further solidifies our valuable relationship, which has continuously developed over the past six decades.” BAE Systems is teaming with Rockwell Collins to bring this world class capability to Boeing. Both companies have a strong record of executing complex development programs and are major suppliers to Boeing across its portfolio of airplanes. BAE Systems and Rockwell Collins are also suppliers of the primary flight control electronics and Autoland systems for the current 777 platform. Visit: www.baesystems.com

MTU Aero Engines takes stake in GE9X engine program

M

TU Aero Engines AG will be taking a 4% workshare in General Electric’s GE9X program. Germany’s leading engine manufacturer will be manufacturing and assuming design responsibility for the engine’s turbine centre frame. Taken over the life of the program, the workshare will be worth around

Aerospace Systems’ businesses Pratt & Whitney and UTC Aerospace Systems. “UTC demands high standards for quality, delivery, cost and performance and many of our sites have earned UTC Supplier Gold status. I

seamless rolled rings, forgings and speciality metals primarily to the aerospace market, but also to industries requiring highly engineered material applications, such as off-highway, mining and oil and gas. Visit: www.firthrixson.com

Dassault’s Falcon 2000S & 2000LXS approved for London City Airport

D

assault’s Falcon 2000S and 2000LXS twin jets recently received approval to operate at one of the world’s most challenging airports, London City, located in the heart of Europe’s financial hub. Dassault is the only business jet manufacturer to have its entire current production fleet certified to operate at London City. “The ability to operate at London City gives our operators an added measure of flexibility and a distinct advantage in their day-to-day operations,” said Eric Trappier, chairman and CEO of Dassault Aviation. “Superior airport performance is at the

centre of every Falcon that Dassault designs and builds. The London City approvals Dassault has received for all of our current production aircraft are a clear example of this.” Visit: www.dassault-aviation.com

CFM signs $21.4 billion in new deals at Farnborough Air Show

C

FM International’s industry-leading LEAP and CFM56 product lines remain the engines of choice for single-aisle aircraft, with the company signing orders, commitments, and long-term service agreements for a total of 1062 engines at the 2014 Farnborough Air Show. Jean-Paul Ebanga, president and CEO of CFM International, said, “We started the show predicting that 2014 would be another record year; that prediction came true in a big way. As of today, we have total orders and commitments for more than 3000 engines. And it is still only July. Both the LEAP and CFM56 product lines continue to prove their worth to our airline customers around the globe and we are constantly gratified by the continued faith these airlines show in our people and our products.î CFM International, a 50/50 joint company between Snecma (Safran) and GE, is the world’s leading supplier of commercial aircraft engines, and has delivered more than 26,600 engines to date. www.cfmaeroengines.com

four billion euros in revenue for MTU. The new engine will be designed to exclusively power Boeing’s 777X long-haul airliner, which is slated to enter service around 2020. 300 aircraft are already on firm order or option. “Our stake in the GE9X program gives us a significant market share in one of the most important next-generation engines

in the upper thrust category. At the same time, it helps us further balance the mix of our product portfolio,” explains MTU CEO Reiner Winkler. “Some 30% of today’s active aircraft have MTU modules on board. We are going to increase this share in the worldwide engine fleets appreciably over the next five to ten years.” Visit: www.mtu.de Industry Europe 13


In its ‘Future by Airbus’ programme the plane-maker offers a vision of what the aircraft and the experience of air travel might be like by 2050. Peter Mercer reports. © AIRBUS S.A.S 2010 - All rights reserved - EIAI

A WHOLE NEW WAY TO FLY A

irbus has been looking into the future. It has been imagining some of the radical innovations in air travel that could take place by the middle of the century. Its ‘future solutions’ include a revolutionary Airbus Concept Plane and an equally radical Concept Cabin, ideas for ‘smarter flight’ that see improved air traffic management cutting flight times, fuel burns and emissions, and new energy sources that will better protect the environment. The Concept Plane is an engineer’s dream in the sense that the technological innovations that it brings together are unlikely ever to coexist in an actual aircraft. But if this is not a plane that will ever fly, all the technologies it incorporates are feasible and, indeed, are already being developed by Airbus for applications in future aircraft. What makes the Concept Plane so useful for Airbus engineers is that it provides a platform on which they can bring together different technologies without having to worry about the impact of one on the other – which in reality, of course, is always a major constraint on radical innovation. The fuselage of the Concept Plane is not the simple tube we are used to but 14 Industry Europe

is curved and shaped to provide more internal space for various cabin configurations as well as to improve its aerodynamic performance. This fuselage – and indeed the whole aircraft structure – is manufactured entirely from composite materials to take advantage of their easy-to-shape characteristics. The entry/exit doorways are double doors to enable faster and easier boarding. Longer and slimmer configured wings reduce drag from the flow of air over the wing surface and so improve fuel efficiency, while the concept plane does not have a vertical tail at all. One of the most important functions of the vertical tail on today’s aircraft, whose engines are installed on the wings, is to provide directional stability in the event of engine failure. But, says Airbus, the engines of the future will have no risk of failure so a vertical tail is unnecessary. Instead the tail section is U-shaped and acts as a shield to reduce the aircraft’s external noise. The vertical tail will also be redundant because the engines will not hang off the wings. They will be at the rear of the fuselage and semi-embedded. This location opti-

mises fuel burn and improves cabin comfort through much reduced noise levels and is practicable because the superior reliability of future engines will mean that there is much less need for immediate and easy access to engine components. Maintenance requirements of the aircraft’s electrical and electronic systems will also be greatly reduced. In fact, Airbus believes that future electronic and other on-board systems will be entirely self-sufficient, continuously monitoring their own state of health and scheduling any maintenance that is needed well in advance. Actual maintenance is likely to be minimum to zero. The composite materials that will be used in the aircraft structure will not only be light and easily shaped – they will also be ‘intelligent’, able to sense the loads that they are under and so making possible an even lighter aircraft that burns less fuel and creates lower emissions. And, despite the advanced nature of these new materials and the complex shapes that will be formed from them, the cost and environmental impact of building the aircraft will be significantly reduced by new manufacturing methods.


© AIRBUS S.A.S 2009 - All rights reserved - EIAI

The Concept Cabin What about the interior of the Concept Plane? What would it be like to travel in such an aircraft? The Airbus Concept Cabin brings together alternative possibilities to show what the future of flight might look like from the passengers’ perspective. The key concept is that aircraft cabins of the future will be customised to the needs of individual passengers. So the Concept Cabin is not built around the traditional cabin classes that we are familiar with in today’s commercial aircraft. Business and Economy class are replaced by zones that target individual needs, such as relaxing, playing games, interacting with other passengers or even holding business meetings with people on the ground. By offering different levels of experience within each zone airlines would be able to achieve the price differential they need to operate a successful business. But the most radical features of the Concept Cabin are in its structure and the materials it employs. Airbus proposes a bionic structure that mimics the bone structure of birds. Bone is both light and strong thanks

© AIRBUS S.A.S 2010 - All rights reserved - EIAI

to a porous interior that carries tension only where necessary, leaving space elsewhere. So by using bionic structures, the fuselage has the strength it needs but can also make maximum use of extra space. This bionic structure will be coated with a biopolymer membrane which controls the amount of natural light, humidity and temperature and eliminates the need for windows by making the structure transparent or opaque on command. This smarter structure will not only make the aircraft lighter and more fuel-efficient, but will give passengers unobstructed views of the skies and the earth through the transparent walls of the aircraft. And an integrated neural network, incorporated into the structural materials themselves, will make the hundreds of kilometres of cables and wires of today’s aircraft a thing of the past. This network will even be able to recognise individual passengers, ‘connecting’ them to the plane and identifying and responding to their individual needs. The fittings and furniture of the cabin will take care of their own cleaning and repairs thanks to innovations such as dirt-repellent

coatings and self-healing covers. They may even incorporate morphing materials that can change shape and return to their initial form as they adapt to the specific needs of individual passengers. Advanced holographic technology will enable scenes to be projected onto the cabin walls – images of the aircraft’s destination or of a city skyline or a tropical forest – or could even make a private cabin look like your own bedroom at home or a business conference room. And whatever you are doing on the plane you will be helping to improve its efficiency; energy harvesting systems will collect your body heat through your seat or your pod as you sleep and combine it with energy collected from sources such as solar panels to fuel cabin appliances. The Airbus Concept Plane and the Concept Cabin may be the result of future-gazing by Airbus’ engineers but the technologies they feature are far from fanciful and many are already being developed. Whichever of them actually make it into a real airliner of 2050, we can be sure that they will deliver a whole new n way to fly.

© AIRBUS S.A.S

Industry Europe 15


NEWS

New contracts and orders in industry

ABB wins order for Maritime Link power project in Canada New Plusshus orders

A

BB, the leading power and automation technology group, has won an order worth approximately $400 million from NSP Maritime Link Inc., a subsidiary of Emera Inc., to supply a high-voltage direct current (HVDC) power transmission solution creating the first electricity link between the island of Newfoundland and the North American power grid. The Maritime Link Project is a 500 MW high voltage direct current (HVDC) connection

that will enable clean, renewable electricity generated in Newfoundland and Labrador to be transmitted to the North American grid in Nova Scotia. The stabilising features of ABB’s latest HVDC Light solution will also allow Nova Scotia to integrate additional renewables and contribute to Canada’s emission-reduction efforts. “ABB pioneered HVDC and is a global leader in this key transmission technology which is being increasingly deployed across a range of applications,” said ABB CEO Ulrich Spiesshofer. “Our innovative solution for this project will help integrate clean renewable energy, facilitate the efficient transmission of electricity, improve grid stability and enable power sharing.” The Maritime Link will deploy ABB’s HVDC Light Voltage Source Conversion (VSC) technology incorporating a full VSC bipolar configuration to further enhance system availability. Visit: www.abb.com

Sif wins Dudgeon foundation contract

T

he Dudgeon Wind Farm Limited has awarded the contract for the Monopile Foundation Fabrication for its Dudgeon Offshore Wind Farm to Sif Group BV. The contract covers the procurement, fabrication and assembly of 67 monopiles (MPs) and 67 transition pieces (TPs), including transportation to the Dudgeon Offshore Wind Farm storage site from where the monopile foundations will be collected for installation. The monopiles will be in the range from 800 to 1200 Mt with diameters from 7.0 to 7.4 metres. The TPs will be between 350 and 400 Mt. The contract will lead to the start of the foundation fabrication in July 2015. The first monopile foundation is scheduled for delivery in January 2016, and start of installation is scheduled to commence between March and

Sweco to provide engineering services for Metsä Fibre bio-product plant

S

weco Industry has received an order regarding Metsä Fibre Oy’s Äänekoski bio-product plant. It includes the completion of environmental impacts assessment (EIA) process and pre-engineering of the bio-product plant. In addition to pulp, the bio-product plant will be refining biomaterials, bioenergy,

16 Industry Europe

May 2016, and be completed by August of that year. The investment decision for the Dudgeon Offshore Wind Farm project was issued by its owners on 1 July 2014. Visit: www.sif-group.com

biochemicals, and fertilizers. In the refining process, the raw material and side processes are being turned into products and bioenergy. “This assignment is important to Sweco in many aspects,” says Kari Harsunen, managing director of Sweco Industry Oy. “We are happy to see that the most significant investment in the field of forest industry is coming closer to realisation and that Sweco is involved in it.”

worth SEK 70 million

S

etra has received new orders for Plusshus worth a total of SEK 70 million. The orders relate to industrial-scale construction of apartments and terraced housing for customers in Greater Stockholm and Umeå. “This is proof of continued rising interest in industrial-scale and climate-smart wood construction,” says Krister Norberg, head of the Plusshus operations within Setra’s Building Systems & Products business area. “Our customers, builders and developers are experiencing increased demand in the market. The period between sales start, building start and the desired occupancy date is shortening. Our standardised building systems and processes make us a flexible cooperation partner able to deliver unique homes with a short construction time,” says Norberg. The new orders include apartments, groups of terraced houses, and detached houses in the Stockholm suburbs of Knivsta, Bålsta, Hässelby and Haninge as well as in Nynäshamn, south of Stockholm. In central Umeå, a city in northern Sweden, a densification project is underway where roof-top terraced houses are being built on top of existing apartment blocks. Visit: www.setragroup.com The plant does not use fossil fuels at all. The equipment will be built as energy efficiently as possible. The business model of the plant is based on efficient partner networks and cooperation. The possibilities for new bio-products with high added value will be created especially for small and medium-sized companies. Visit: www.sweco.fi


WINNINGBUSINESS FLSmidth receives material handling order in Vietnam Meyer Burger awarded contracts totalling over CHF 25 million

M

FL

Smidth has received an order worth approximately USD 55 million from the Vietnamese National Oil and Gas Group Petrovietnam for supply of coal handling equipment for a power plant located in the Thai Binh province, 170km south-east of Hanoi, Vietnam. The order comprises various grab unloaders, portal scraper reclaimers, tripper cars and belt conveyors. The equipment will have an unloading capacity of 1400 tonnes per hour and a reclaiming capacity of 1200 tonnes per hour. “Vietnam has significant electric power shortages and has set up a plan for building several power plants in the near future and it is therefore a very interesting market for FLSmidth. This order is an addition to an earlier order for Petrovietnam, and we are naturally very happy to be able to further strengthen our relationship with Petrovietnam,” comments group executive vice-president Carsten R. Lund. The order will be booked by the Material Handling division and contribute to FLSmidth’s earnings until late 2016. Visit: www.flsmidth.com

Novasep-MIE consortium to construct the first sorbitol production plant in Vietnam

 N ovasep, a leading supplier of services and technologies to the life science industries, has announced that its Shanghai-based Asia Pacific subsidiary has secured an Engineering, Procurement and Construction (EPC) contract with Tay Ninh Chemical Industry (Tanichem), a joint stock company between Vietnam National Chemical Group (Vinachem) and Tay Ninh Sugar. Novasep’s share of the contract is in the amount of €7.5 million. The contract is to construct the first sorbitol production plant in Vietnam.

Novasep Asia spearheaded the deal, signed between the Novasep-MIE consortium and Tanichem. Novasep will be responsible for the engineering and procurement of process equipment together with some field services. Novasep-MIE will be responsible for constructing and erecting the plant, as well as procuring utility equipment. The sorbitol plant will be located at Tan Hoi Industrial Park, Tan Chau district, Tay Ninh province in Vietnam.
 Visit: www.novasep.com

Wärtsilä wins major offshore contract

Keppel FELS. The complete Wärtsilä scope of supply includes, in addition to the two AQUARIUS BWMS units, a series of Wärtsilä engine room pumps, and a pre-engineered integrated auxiliary equipment module. “All four of the rigs previously ordered by Floatel International have been fitted with Wärtsilä’s equipment, although this is the first to specify a ballast water management

A

new semi-submersible accommodation and construction vessel (floatel) being built for Floatel International AB, the Swedish offshore floatel owner and operator, will feature two Wärtsilä AQUARIUS UV ballast water management systems (BWMS) and other Wärtsilä equipment. The vessel, the ‘Floatel Triumph’, is currently under construction at

eyer Burger Technology Ltd has successfully concluded three important contracts totalling over CHF 25 million with existing customers. A follow-up contract for the delivery of water-based diamond wire saws for the production of solar wafers for high performance cells has been concluded with a leading solar wafer manufacturer who trusts Meyer Burger’s high-quality, advanced diamond wire technology for top manufacturing yield and reduced production process costs. The second contract is for the supply and provisioning of state-of-the-art module lamination technology to a module manufacturer who relies on Meyer Burger’s advanced process control systems and patented hybrid heating plate technology to increase its production volume of top quality, innovative solar modules. The overall annual production capacity of the two contracts is 700 MW with delivery of the systems scheduled throughout 2014. In specialised non-PV technologies a contract was also successfully concluded with Meyer Burger for the delivery of additional high precision industrial diamond wire-based slicing systems. The strategically important follow-up contract underscores the customer’s confidence in Meyer Burger’s top quality cutting technology and extensive process know-how. Visit: www.meyerburger.com

system,” says Dr Joe Thomas, director, Ballast Water Management Systems, Wärtsilä Ship Power. The ‘Floatel Triumph’ is designed for operation in demanding environments, and is being built in accordance with ABS class standards. The vessel will have a total accommodation capacity of 500 persons. Visit: www.wartsila.com Industry Europe 17


NEWS

Combining strengths

Morgan Advanced Materials takes Assa Abloy over Porextherm Dämmstoffe GmbH acquires Enox

M

organ Advanced Materials plc has signed an agreement to acquire leading insulation manufacturer Porextherm Dämmstoffe GmbH (Porextherm), adding to its broad portfolio of thermal insulation products and solutions. The agreement was entered into by Morgan Deutschland Holding GmbH, a wholly owned subsidiary of the company. Recognised as a technical leader in the production of microporous insulation materials, with sales in 2013 of approximately €24 million, Porextherm was established in 1989 and since then has developed a wide range of WDS® high-temperature insulation and Vacuum Insulation Panel (VIP) products. Its range includes heat and vacuum sealed products which offer excellent thermal conductivity and are easy to install. Porextherm specialises in developing insulation products with the lowest possible thermal conductivity combined with superior durability and will enhance the Morgan Group’s existing high performance insulating systems portfolio. Commenting on the acquisition, Mark Robertshaw, CEO Morgan Advanced Materials said: “The addition of Porextherm to the Morgan Group enhances our existing portfolio of high-performance insulating systems, and also gives us the chance to share knowledge and processes which will lead to future product development.” Visit: www.morganadvancedmaterials.com

and to substantially broaden Sonova’s offering of hearing solutions and market reach. Lukas Braunschweiler, CEO of Sonova, said: “Comfort Audio is a very attractive addition to our advanced portfolio of hearing solutions. Both the strong solutions and technology offering and the management talent of Comfort Audio will create significant value for Sonova.” Visit: www.sonova.com

SSA ABLOY has signed an agreement to acquire the locks and hardware business under the ENOX brand from Pooja Hardware, one of the market leaders in India. “I am very pleased that ENOX is joining the ASSA ABLOY Group. ENOX is the Group’s first major entry into the large and fast growing Indian market and will constitute an important building block in our strategy to grow market presence in emerging markets,” says Johan Molin, president and CEO of ASSA ABLOY. “ENOX is a great addition to the Asia Pacific division. The acquisition adds complimentary business channels and products to our existing Indian business. ENOX will also give us access to a new customer base within the fast growing glass hardware segment,” says Magnus Kagevik, executive vice-president of ASSA ABLOY and head of Division Asia Pacific. The acquired business was established in 2007 and has some 220 employees. The head office is located in Mumbai. Sales for 2014 are expected to reach INR 1200 M (approx SEK 130 M) with a good EBIT margin. The acquisition will be accretive to EPS from start. Visit: www.assaabloy.com

SINYA Group manufactures electric motors for washers, dryers and other white goods appliances. SINYA Group was founded in July 2005 and the main manufacturing plant is located in Changzhou, Jiangsu province, occupying an area of 28,550m2. A new manufacturing plant, of around 68,760m2, is under construction. The group also includes ‘Wuxi Ecovi’, an

appliance products and solutions development and engineering company. CMM Group manufactures transmissions and mechanical components for appliance solutions marketed by SINYA Group. CMM Group was founded in July 2005 and the manufacturing plant is located in Changzhou, on an area of approximately 12,000m2. Visit: www.weg.net

Sonova to acquire Comfort Audio

S

onova Holding AG is to acquire 100% of the shares of Comfort Audio i Halmstad AB (Sweden). Comfort Audio is specialised in the development, manufacturing and distribution of innovative assistive listening devices. The hearing solutions of Comfort Audio cater for people with hearing loss in challenging listening situations, for example in larger work group sessions or in schools, and complement Sonova’s broad wireless and non-wireless product and solution offering. Comfort Audio employs around 90 staff, mainly in Sweden, and has a strong distribution network in Scandinavia as well as a presence in several other European markets and the US. In 2013 sales reached SEK 143 million (CHF 19 million). Its sleekly designed product and solution portfolio is geared towards maximum listening comfort. Sonova plans to maintain the Halmstad base of Comfort Audio

WEG purchases Chinese white goods components manufacturers

W

EG has announced an agreement to acquire the Chinese manufacturer of electric motors for washers and dryers Changzhou Sinya Electromotor Co. Ltd (‘SINYA Group’) and component manufacturer Changzhou Machine Master Co. Ltd (‘CMM Group).

18 Industry Europe

A


LINKINGUP Sandvik in strategic Stora Enso takes over US-based biotechnology company Enso has acquired 100% of the shares of the US-based company Virdia, a leading developer cooperation with Ssugarstora of extraction and separation technologies for conversion of cellulosic biomass into highly refined and lignin. The acquisition of Virdia supports the vision of Stora Enso’s Biomaterials Division Zhuzhou Group in becoming a significant player in biochemicals and biomaterials. The technology enables more efficient extraction of different valuable fractions of the biomass, allowing for the possibility to develop and commercialise cost-effective renewable solutions to address well-identified market-driven needs. This is a new step in implementing the division’s strategy, following the recent lignin extraction investment at Sunila Mill in Finland.

 “This acquisition is in line with our strategy of growing in bio-based chemicals, ingredients and solutions, building on cost-effective, non-food-competing raw materials. These solutions will contribute to a more sustainable future by replacing fossil-based materials in various applications with renewable and cost-effective choices. We are now investing in a new technology platform that will enable us to reach new industries and value chains, and create significant sustainable profit growth for our company,” says Juan Carlos Bueno, EVP, Stora Enso Biomaterials.

 Visit: www.storaenso.com

S

andvik AB has signed a letter of intent with Zhuzhou Cemented Carbide Group Co. Ltd to form a joint venture for strategic cooperation. The Zhuzhou Group is the largest domestic manufacturer in China of cemented carbide and compatible tools. It also offers smelting services for tungsten, molybdenum, tantalum, niobium and cobalt. The company is based in Zhuzhou, China. Annual sales for the part of the business concerned amount to about 1.3 billion RMB (1.4 billion SEK). Sandvik and Zhuzhou Group intend to establish a joint venture based on the existing manufacturing facilities of Zhuzhou Group in China. The products will be sold and marketed in and outside China. Based on the strength of Sandvik Machining Solutions and the position of Zhuzhou Group, the ambition is to drive profitable growth and capture market shares in the fast-growing mid-market segment. “The cooperation with Zhuzhou Group strengthens our position in one of our largest markets, China. It is also in line with our current strategy to become a key player in the mid-market segment,” says Jonas Gustavsson, president of Sandvik Machining Solutions. Visit: www.sandvik.com

LMI Technologies acquires German company GFMesstechnik

L

MI Technologies has signed an agreement to acquire 100% of the shares of GFMesstechnik – a supplier of 3D metrology products based in Teltow/Berlin. The acquisition will result in the integration of GFM by LMI Technologies under the LMI brand, creating a strong presence in Ger-

OX2 acquires Polish wind power company

T

he acquisition of the project development company Greenfield Wind gives OX2 the local expertise needed to finance and build high-quality wind farms in Poland. The goal is to expand the company, and to achieve a leading position in the sector. OX2 has acquired Greenfield Wind, a Warsaw-based project development company focusing on wind power in Poland. The acquisition includes all operations, 11 staff and a project portfolio of around 220 MW. 
“Poland is an exciting market, and we have now acquired the local expertise we need to start the construction of several projects within the next two years. We are looking forward to working with our new colleagues to make high-quality wind power projects a reality,” says Johan Ihrfelt, president and CEO of OX2. 

Over the past few years, the Polish wind power market has consolidated and matured. 2015 will see the introduction of a new auctionbased support system. This demands high stand-

many and increasing product representation worldwide with the addition of the GFM reseller network. GFM has been working in the development of structured light metrology since 1995 and was one of the first companies that worked closely with Texas Instruments to integrate their DLP (Digital Light Processing) technology into highly accurate

ards of quality and the ability to predict costs reliably, which suits OX2 well as the company has many years’ experience of the whole value chain in establishing wind power developments. Visit: www.ox2.com

3D measurement products such as their MikroCAD instruments. GFM focuses on small volume measurement (as small as 1mm) with very high accuracy (100nm) suitable for surface analysis of micro texture or inline inspection of electronic, medical, or pharmaceutical parts with microscopic detail. Visit: www.lmi3d.com Industry Europe 19


NEWS

MOVINGON

Relocations and expansions across Europe

Volkswagen Group expands DEUTZ to expand its presence in Asia is the largest growth market for DEUTZ in Asia. The Cologne-based production capacity in China China firm has now opened a new sales office in Shanghai, which is an impor-

IN

tant centre for DEUTZ’s European and American customers. The new office will employ sales staff as well as application engineers and service engineers in order to further expand customer support. In addition to the existing representative office in Beijing, DEUTZ also established a sales and service company in the Chinese capital in 2010 to consolidate the company’s activities for the local market. The new sales office in Shanghai will allow DEUTZ to strengthen its local market presence in central and southern China and will contribute to its success in the world’s largest emerging market. Visit: www.deutz.com

Alltech builds algae plant and expands production in Latin America

WEG launches new European automation centre

the presence of German Chancellor Angela Merkel and Chinese Premier Li Keqiang, Prof. Dr. Jochem Heizmann, member of the board of management of Volkswagen Aktiengesellschaft and president and CEO of Volkswagen Group China, recently signed a joint declaration for two new vehicle plants in China together with Xu Jianyi, chairman of FAW. The two new vehicle plants are to be built step-by-step on the east coast of China in the cities of Qingdao in Shandong Province and Tianjin. The decision in favour of these two locations was taken together with the joint venture partner FAW. The key site factors were high qualification levels and the infrastructure available. Furthermore, Tianjin is the location of a new production plant for dual-clutch gearboxes (DSG) for Volkswagen in China that is due to be inaugurated at the end of 2014. Together, the two partners are to invest about two billion euros in the expansion of production capacities. Visit: www.volkswagenag.com

W

ithin the framework of an expansion strategy for the Latin American region, Alltech, a global animal health and nutrition leader, has commenced construction on an algae production plant on the same premises as Alltech Sao Pedro, the largest yeast plant for animal nutrition in the world. This new $63 million investment in Brazil will generate more than 200 direct and indirect jobs, and it will increase Alltech’s Latin America production by 58%. “The company’s experience with its first algae manufacturing plant in Kentucky has been a great success and this is the reason for making the investment in Brazil,” said Dr Mark Lyons, Alltech’s vice-president for corporate affairs. “People are looking for something different, and algae are critical for conquering new markets. Visit: www.alltech.com

Tibbett Logistics extends retail logistics operations in Romania

K

eswick Enterprises Group member company, Tibbett Logistics, has extended its logistics business in Romania with an unnamed leading European multinational retailer to include the storage and distribution of non-food imports from Asia Pacific and European suppliers. As

20 Industry Europe

W

EG, a leading international supplier of drive technology, has opened a new European automation centre in Unna, Germany, to improve support for its customers and to further strengthen its automation components business in Europe. In addition to locating its European automation specialists in the new centre, WEG is opening a shop with test stands, a training centre and warehouse space for automation components. The opening of the new automation centre brings together WEG’s staff and its expertise from the German headquarters in Kerpen with those of its subsidiary Watt Drive to a single location. This leads to an even closer integration of Watt Drive gear technology, particularly technology for relatively low power levels, with automation components such as frequency inverters. Visit: www.weg.net

a result the company has opened a dedicated 8500m2 (91,500 sq ft) warehouse in Europolis Park on the western edge of Bucharest – its tenth distribution centre in the country. Tibbett Logistics already handles the storage and domestic distribution of the retailer’s imported dry food products, plus merchandise from Romanian suppliers,

at a neighbouring 22,000m2 (237,000 sq ft) dedicated distribution centre based in Europolis Park. The company’s warehousing portfolio in Romania now exceeds 80,000m2 (860,000 sq ft) – making it the country’s largest third-party provider of warehousing solutions. Visit: www.tibbettlogistics.com


NEWS

INDUSTRYPEOPLE Huurdeman appointed head of EEF chief executive to lead Bernhard Engineering at LICOS Trucktec GmbH manufacturers in Europe L B ritish manufacturing has strengthened its position in Brussels with the appointment of Terry Scuoler, chief executive of EEF, the manufacturers’ organisation, as chair of CEEMET, the body representing manufacturing across Europe. In his role he will lead the organisation in its discussions with officials at the Commission and Parliament over the next three years. The role comes at a critical time for the future of both the European institutions following the European elections, and the EU economy, and will help drive policies to boost manufacturing across Europe.

Cargotec appoints chairman of Cargotec Industries (China) Co. Ltd

M

artin M. Lin (b. 1953) has been appointed Chairman of China at Cargotec Industries (China) Co. Ltd as of 1 August 2014. “As the importance of Asia for Cargotec increases, both in growth and development of the production and logistics, a strong presence and understanding of the plans and needs of different stakeholder groups, e.g. decision makers, are extremely important. Martin’s experiences of cooperation with governmental agencies in multiindustrial businesses is valuable for Cargotec and its joint ventures in China and I warmly welcome him to the Cargotec family,” says Mika Vehviläinen, Cargotec president and CEO.

New CEO for EyeTechCare

E

yeTechCare SA, which develops noninvasive therapeutic medical devices for the ophthalmology market, has appointed Dr Dietrich Wolf as the new chief executive officer. Wolf succeeds Fabrice Romano, cofounder, who remains a member of the board. Dietrich Wolf joins the company with the view to establishing High Intensity

ICOS Trucktec, part of the Concentric group, has appointed Dr Bernhard Huurdeman (49) chief engineer (Leiter Entwicklung) at its plant in Markdorf, south western Germany which manufactures electromagnetic fan clutches, water pump clutches and belt drive components for the truck, bus and off-highway sectors. Bernhard studied aeronautical and aerospace engineering at the University of Stuttgart, qualifying as a Dr.Ing. with a thesis on flow simulation. Before joining LICOS Trucktec, he spent 15 years with Mann+Hummel of Ludwigsburg, reaching the position of manager of the Thermodynamics Group within the Advanced Development department.

Atlas Copco Compressors appoints AIRScan manager A

tlas Copco Compressors has announced the appointment of Keith Findlay as AIRScan manager within its Compressor Technique Service division in the UK. Commenting on his new position in the company, Keith Findlay said: “My goal is to increase the profile of AIRScan among our UK customer base by providing highly accurate energy audit reports which can help customers save money by highlighting the benefits of VSD and energy recovery technology, in addition to enabling them to rectify downstream issues such as pressure drops, process leaks and pipe work improvements. I therefore believe AIRScan has the potential to become a good practice guide, as well as an energy audit.”

Focused Ultrasound (HIFU) as a recognised future option in glaucoma care. The EyeOP1 device has been launched to select centres in France and neighbouring countries for highly advanced refractory glaucoma. EyeTechCare also plan to research the indication for less advanced glaucoma cases, to further increase the number of patients eligible for this new therapy. Industry Europe 21


NEWS

TECHNOLOGYSPOTLIGHT

Fast building inspection from the air

Advances in technology across industry

Saving lives in a burning skyscraper

R

Q

uietly humming, the flying robot hovers up outside the high-rise. The miniature aircraft equipped with eight rotors slowly whirls upwards to the 11th floor. It examines the façade for damage, such as cracks, defective joints, or chipped and crumbling concrete. At a distance of two metres from the building, the octocopter scans the masonry. Also on board is a high-resolution, digital camera that takes detailed images of each part of the building. In addition, the material tester is equipped with sensors that adjust for wind gusts, maintaining stable attitudes and avoiding collisions with the building. As the remote-controlled robot works its way forward metre by metre, it is carefully monitored by Christian Eschmann. He is a researcher at the Fraunhofer Institute for Non-Destructive Testing IZFP in Saarbrücken, Germany, where he develops and adapts micro-aircraft for building inspections. Compared to many conventional methods, the inspection is more convenient, thanks to the assistance of an aerial robot, and can occur at shorter intervals. In addition, inspection time can be significantly shortened, usually without impeding use of the buildings. “For a 20 by 80 metre-wide façade, a test engineer needs about two to three days. Our octocopter needs three to four hours for this,” says Christian. Cracks and other flaws can now be digitally photographed in high resolution. This permits quick conclusions about the state of a building’s structure. If necessary, the octocopter can also be equipped with a thermal imaging camera, to check such things as building insulation. Visit: christian.eschmann@izfp.fraunhofer.de

esidents and workers in skyscrapers and other tall buildings are often trapped in case of a fire, as 9/11 has demonstrated. The newly developed Evacuator offers a last resort, allowing them to slowly and safely descend on a steel cable at the outside of the building. Worldwide the device can save thousands of lives, from residents in tall buildings to mechanics in wind turbines. Dutch inventors Eugene Verstegen and Joris Veeger came up with the idea when they saw people fall to their death from the Twin Towers in New York. Together with a professional engineering company they developed a fireproof steel winch, which is guaranteed to work at all times, even when electricity is down. The device allows four persons at the same time to descend 50, 140 or 300 metres. They automatically descend in a safety harness on a steel cable, at a speed of one metre per second. The Evacuator is people’s last resort if elevators are switched off, emergency exits are filled with smoke and firemen can’t reach them. Visit: www.evacuator.com

New catalyst gives hope for more cost-efficient metal-air batteries and fuel cells

C

hemists at the Ruhr-Universität Bochum have made a decisive step towards more costefficient regenerative fuel cells and rechargeable metal-air batteries. They developed a new type of catalyst on the basis of carbon, which can facilitate two opposite reactions: electrolysis of water and combustion of hydrogen with oxygen. A catalyst of this kind might make the storage of wind and solar energy and the manufacture of cost-efficient batteries, for example for electric cars, possible. When energy is supplied, the so-called bi-functional catalysts can split water into hydrogen and oxygen – referred to as electrolysis. They can then store the energy in the chemical

22 Industry Europe

bonds of the thus formed hydrogen. The same catalysts can also have their polarity reversed to become fuel cells; they combust hydrogen with oxygen to water, generating electricity at the same time. So far, researchers have been using noble-metal catalysts for this purpose. However, these catalysts have the disadvantage of being either good for electrolysis or good for combustion, but not for both. The novel catalysts from Bochum are made from manganese-oxide or cobalt-oxide nano particles which are embedded in specially modified carbon, into which the researchers have integrated nitrogen atoms in specific positions. Visit: wolfgang.schuhmann@rub.de


NEWS

NOTICEBOARD Cast steel chain C600 – For when the going gets tough Completely new solid carbide reaming tool

K I

wis drive systems is presenting the Flexon brand’s new cast steel C600 chain. A characteristic feature of these cast steel chains is their simple yet robust cast steel design. They are especially suitable for applications that involve pulling or conveying heavy loads, for example in the timber or construction material industries, in pallet conveyor systems, or for moving barrels, bulk containers, gas bottles and cage pallets. The cast steel chain C600 can be relied on to deal with the toughest traction applications and move the heaviest loads even in rugged

conditions and over long distances. An increase of measured breaking loads by about 25% can be achieved by the use of cast steel rather than cast iron chains. As an alternative, there is also a galvanised, zinc plated version for additional corrosion protection. Threaded pins in the connecting link make the chain easy to close and unclose. The cast steel iron chain can also be supplied on request in a plastic version. Chains are available with a pitch of 63.5mm and with or without TAB. Visit: www.iwis.com

Holmatro launches Industrial Solutions

T

he world of high-pressure hydraulics is constantly in motion, and the demand for resultsoriented customer-specific solutions has increased strongly over the past few years. Holmatro has now built up broad experience and good references in the field of ‘customised’ solutions in the world of heavy lifting and movement. Now the time has come for the company to officially publicise its innovations, under the new name ‘Industrial Solutions’. “With Industrial Solutions we demonstrate that we go further than just developing and manufacturing standard hydraulic equipment,” says Niels Rombouts, Holmatro Industrial Equipment director. “The demand for customerspecific solutions has increased enormously

over the years. We now have a complete team of engineers and experts, dedicated to finding the right solution for various different challenges together with the customer.” Whether it be the computer-controlled synchronised positioning of heavy loads, the horizontal movement of industrial objects and installations of exceptional sizes in limited surroundings or the larger vertical movements of heavy loads with accurate control, nothing is impossible for the Holmatro Industrial Solutions team. Cooperation with the customer, ease of use and safety are recurring starting points for the development of these ‘customised’ solutions. Visit: www.holmatro.com

OMET DIHART® is expanding its solid carbide reaming range with the ‘Fullmax’, a completely revised universal reaming tool. With a new first-cut geometry and coating, it is suitable for use with almost all materials. The reaming specialists at KOMET DIHART® have packed all their experience gained from producing previous solid carbide reaming tools into consistently developing these tools further. Their creation is the new KOMET DIHART® Fullmax reamer, that brings a host of benefits at a range of technical levels. 

 The tool’s strong points include, for example, the further development of first-cut geometry which is available exclusively for Fullmax tools. The geometry enables a particularly high level of cutting performance in a range of different materials, even in hardened steels up to HRC62.

 The new design is completed by the universal, high-performance ‘DBG-U’ coating, a TiAlN multilayered thin layer that was developed for Fullmax. The coating opens up a range of deployment options for this solid carbide reaming tool and, because of its improved wear resistance, contributes to longer tool life. Visit: www.kometgroup.com

Volvo Trucks launches a unique gearbox for heavy vehicles

V

olvo Trucks is now launching I-Shift Dual Clutch, the first transmission on the market with a dual clutch system for heavy vehicles. Thanks to powershift gear changes without any interruption in power delivery, torque is maintained and the truck does not lose any speed during gear changes. For the driver, the result is more comfortable and efficient progress on the road. “In situations that require a lot of gear changes, I-Shift Dual Clutch brings an entirely new dimension to truck driving,” says Claes Nilsson, president Volvo Trucks. I-Shift Dual Clutch is a transmission consisting of two input shafts and a dual clutch. This means that two gears can be selected at the same time. It is the clutch that determines which of the gears is currently active. I-Shift Dual Clutch is based on I-Shift, but the front half of the gearbox has been redesigned with entirely new components. Visit: www.volvotrucks.com Industry Europe 23


EURO-REPORT

FOCUS ON...

Germany Allan Hall reports from Berlin on China’s appetite for Germany’s family firms.

T

he Chinese are on a new buying spree in Germany – one that threatens the change the industrial and manufacturing landscape forever. Acquisitions-hungry investors are buying up the vaunted ‘Mittelstand’ companies, the mom-and-pop firms which form the backbone of the nation’s export-led economy. Financial experts say attractive prices being offered are one reason for the sale of the economic sanctuaries, but another is a lack of heirs to pass them on to. A case in point is the Putzmeister engineering firm which was sold to China in 2012 after the founding dynasty was unable to find a successor. “Technology firms, hidden champions with problems finding an heir, that’s what Chinese investors are looking out for,” said Peter Englisch of EY. “Every private equity fund in the world currently has its eyes fixed on this market.” “German firms, and particularly familyrun ones, are the ideal takeover targets for Chinese investors at the moment,” said Stefan Heidbreder, head of the federation of familyowned businesses. Collectively known as the Mittelstand, some 50 per cent of them are family run – down 25 per cent from the 1990s. Tradition is what has kept them alive – the passing of the torch from generation to generation. Now that tradition is threatened like never before. The German association of chambers of commerce and industry, DIHK, sees a reluctance among the younger generation of Mittelstand offspring in wanting to take on the family business. “In a lot of cases, the children are reluctant to step in to their fathers’ shoes, because they have seen what a toll it has taken on them,” said Arist von Schlippe, a psychologist and lecturer in the management of family-run firms at the University of Witten. “They have a different idea of life, they want a different balance. A lot of companies 24 Industry Europe

don’t just require entrepreneurial drive and spirit, but also management competence which many of the young people simply don’t have, or which their fathers believe that they don’t have.” Dietrich Kienast, an expert on the Mittelstand companies, which employ 70 per cent of the workforce and contribute 50 per cent of GDP, said: “Chinese investors can often appear to be the more attractive option. They are reliant on the current workforce and frequently hold on to existing management teams. Plus, they offer top dollar.

“German firms, and particularly family-run ones, are the ideal takeover targets for Chinese investors at the moment.” “Most Mittelstand firms are concentrated in machinery, auto parts, chemicals and electrical equipment – all highly desirable branches for Chinese investors. Chinese direct investment in Germany rose from €46 million to €68 million between 2012 and 2013 with German fork-lift truck manufacturer Kion, semi-conductors specialist Prema, car door latch maker Kiekert, and concrete pump maker Schwing all now Chinese-owned. “The Mittelstand firms’ emphasis on longterm profitability stands in stark contrast to the public corporations of many countries which face quarterly or annual pressure to meet expectations. Chinese investors, in short, know they are buying into good things.”

Export champions At the beginning of 2014, Germany’s surplus was much higher even than China’s, according to the Institute for Economic Research. In absolute terms, between

2003 and 2008, Germany was the world’s leading manufacturing exporter. Since being surpassed by China in 2009, it has raced neck-and-neck with the US for the number two position. And this is all in spite of the fact that Germany absorbed an entire Eastern bloc country 25 years ago and spent around €2 trillion to upgrade and integrate eastern Germany. A study by the leading institute for small and medium-sized business (SME) research found that those SMEs with export presence also generated about 20 per cent of their revenues from exports, and of that percentage, about 45 per cent from non-EU countries. Germany succeeds in global competition because of Mittelstand companies such as Micon in Nienhagen – drilling equipment that helped save trapped Chilean miners in 2010 – Poly-Clip System in Hattersheim, which makes metal clips for the end of sausage meat packaging, and Tetra in Melle which produces fish food. Jefferey Fear, professor of International Business History at the University of Glasgow, said: “These midsize firms form the heart and soul – really the mindset – of the broader German economy. They’re not household names; if you want to find and understand them, you have to resort to Google and Google Maps. And if you want to copy them, then you have to mimic more than just the nuts and bolts of their operations. There is a fundamental way of thinking at play too. “There is no secret to Mittelstand success at the operational level; the virtues are ‘old school’ business virtues. But it is no easy trick attempting to reintroduce those virtues into an economy which has evolved like the UK’s. If Osborne’s hopes come to fruition then Mittelstand might be destined to become an everyday English word like kindergarten; get it wrong and it might be n more like schadenfreude.”


EURO-REPORT

FOCUS ON...

France Ian Sparks reports from Paris on the collapse of the housing market.

A

law passed by France’s socialist government aimed at protecting home buyers and renters has sent the nation’s construction industry into ‘meltdown’, housing experts have claimed. Legislation passed earlier this year sought to make housing more affordable by capping rents in expensive neighbourhoods. To protect home buyers, the law also boosted the number of documents that must be provided by sellers, leading to a decline in home sales and longer transaction times. House-building has now plunged by 19 per cent in the second quarter of 2014 compared to the previous year, and planning permission applications – a gauge of future construction – have fallen by 13 per cent, French Housing Ministry figures have revealed. And while President François Hollande’s government is now trying to tweak the laws, experts say it is too late to undo the damage which is also threatening France’s economic recovery that is already lagging behind the UK and Germany. Dominique Barbet, an economist at BNP Paribas bank, said: “Construction is in total meltdown, and it is difficult to see how the new housing law is not to blame. The fall in the building of new homes has knocked 0.4 points off our gross domestic product growth last year and cut the pace of expansion by a third in the first quarter,” he said. The construction slump is also hitting sales in the building materials and electrical equipment industries, which could lead to job losses in both sectors, company chiefs fear. Pierre-Andre de Chalendar, chief executive officer of building materials manufacturer Saint-Gobain, said: “Current figures are worrying and will be disastrous if nothing is done. Clients of the building sector are sounding the alarm bell. It is as though everything is being done to discourage investment in housing.”

Alain Dinin, chairman of property company Nexity, added: “The French residential real estate market has been in a particularly tough situation. A host of complex regulations have been introduced and, most importantly, buyer sentiment has suffered. All those factors have combined to slow the already historically-low rate of new homes entering the market.”

“Current figures are worrying and will be disastrous if nothing is done. Clients of the building sector are sounding the alarm bell. It is as though everything is being done to discourage investment in housing.” A strong construction industry is seen by analysts as one of the most effective ways of reviving France’s floundering economy that has seen marginal growth in the past two years and is now struggling with a record 3.3 million people out of work. Mr Hollande’s approval rating is also at the lowest level ever for any French president. Ludovic Subran, chief economist at Euler Hermes in Paris, said: “A recovery in construction would help the rebound but it won’t happen without government initiative. Building is a sector where the impact on growth and employment is felt immediately.” Pierre-Rene Lemas, CEO of the state-controlled financial institution Caisse des Depots, said he was now holding talks with public and private investors to raise funds to build tens of thousands of new homes in the Paris region, where the lack of available land and a rising population has boosted housing prices.

He said: “If we invest public money and funds from the Caisse, we must lure private investors. Some talks are starting with a view to conclude by the end of the year.” Housing minister Sylvia Pinel has also cut rules to reduce construction costs in a bid to revive the construction market. Cement giant Lafarge’s CEO Bruno Lafont told Bloomberg Television last week: “What is important for France is to reassure people, to reassure everyone who wants to invest and to restore confidence. We need simpler rules, lower construction costs, and incentives for institutional investors to invest more in housing.”

Flight of the wealthy The steep downturn in new house building comes only a year after a dramatic slump in the luxury property market after president Hollande brought in a 75 per cent income tax on all earning over a million euros, sending French millionaire home-owners fleeing abroad. As a result, the number of homes worth more than a million pounds being put on the market doubled to around 1000 in 2013. Paris estate agent Daniel Feau described the exodus as a ‘general panic’ that sent the construction of luxury homes plummeting and slashed the prices of those coming onto the market. British estate agent Sotherby’s also said its French offices sold three times more properties priced at 1.7 million euros in 2013. And estate agent Knight Frank said the tax plans had benefited Britain by sending French interest in luxury London homes worth more than five million pounds rocketing by 30 per cent in just three months. France’s European Affairs Minister Bernard Cazeneuve insisted at the time that there was no ‘exodus’, adding: “I want to assure everyone that France’s wealthiest citizens are patriots, and we are taking every measure possible to ensure that they, their businesses and n investment remain in France.” Industry Europe 25


FOCUSED ON LIGHTWEIGHT SOLUTIONS As global trends toward CO2 reduction and resource efficiency continue to drive the use of lightweight materials in aviation, there are opportunities for companies of all sizes to make their mark and compete alongside the bigger firms that dominate the market. Switzerland’s Bucher group has drawn on its 60 years’ experience in aluminium and composites, and its reputation as an innovator in lightweight aluminium structures, to become a key supplier to leading airlines and OEMs, including Airbus, Boeing and Airbus Helicopters.

24 Industry Europe


F

ounded in 1953, Bucher Group today consists of three companies – Bucher Leichtbau, based in Faelladen, Switzerland; Bucher Interiors in Sinn, Germany, and Bucher Aerospace Corporation, based in Seattle. The Leichtbau division focuses primarily on its flagship aircraft galleys business and works closely with the German division, with the latter acting as an subsupplier for

Leichtbau, while the US arm specialises in aircraft seating components. Bucher’s galley range features hard anodised aluminium surfaces, precisionmachined doors, pressure or turn locks and other robust equipment components, as standard specifications. However, as dimensions and fittings are never standard, Bucher provides a very bespoke service,

and takes pride in providing solutions for customer-specific requests and requirements. As an example of how flexible the Bucher products are, the company has developed a line of general-purpose storage systems - AL.CARTS - which offer avaitontype features for a wide range of uses outside the aerospace industry. In-cabin furnishings are also a key part of Bucher’s

Industry Europe 25


The Vartan Aviation Group The Vartan Aviation Group as a EN/ AS 9100 holder

Solutions are implemented in accordance with

supports several cabin interior, aircraft system &

engineering documentation from either the Aircraft

composite aerostructure manufacturers at all Airbus

manufacturer or equipment supplier. Warehousing,

and Boeing Final Assembly Lines in Germany, France,

tools and service transportation is also offered by VPS

China and the United States. Besides technical and

Group to suppliers.

electrical rework and modifications, Vartan also represents the equipment suppliers in program review

With the EASA part 145 maintenance approval, the

meetings with Airbus, Boeing and/or Airlines, attending

Vartan Aviation Group is additionally able to accomplish

incoming inspections, evaluating liabilities of non

any cabin interior overhaul. The capability list covers

conformities and ordering replacement parts.

the entire range of cabin furniture.



offering, and its range includes overhead lockers, seat components, seat furnishings, and front row storage solutions.

Opportunities in Air Rescue and Transportation Bucher has also turned its expertise in lightweight materials to a very different field: Air Rescue and Medical Transportation. It now offers a wide range of special equipment that includes a 16g compatible stretcher and solutions for rescue

helicopters and air ambulances as well as modules for medical first aid on scheduled flights. This know-how has also helped the company to develop tactical police equipment, including patient stretcher and loading systems; systems for the supply of air, oxygen, electricity etc, and Bucher now has a strong client list in this field, including ADAC, DRF, Airbus Helicopters, Pilatus. And the product range goes on, with a line of automotive solutions that includes folding tables and in-car storage systems.

Bucher sells its products worldwide and - according to CEO Beat Burlet - is among the leading suppliers in its sector. Although the smallest of those market leaders, in what Burlet admits is a highly competitive area, the company says it has a market share of between around five and 20 per cent, varying according to airplane type. With its own presence in Europe and the USA, Bucher has close proximity to the Airlines and the key OEMs like Airbus and Boeing. The third strategic market for the


• Quality • Performance • Flexibility Im alten Riet 121 FL - 9494 Schaan T: F: E: W:

+423 377 15 80 +423 377 15 81 hofag@hofag.com www.hofag.com

Phone: +41 (0)44 806 10 40 Email: info@ruethemann.com Web: www.ruethemann.com

Engineering and Production Your specialist for custom-made products in Aluminium and Stainless Steel. If you are looking for innovation, excellent quality and high reliability, you’re in the right place. • Design and Engineering • Sheet metal forming, 5-axis milling • Complete production line

DAUtec GmbH Founded in 2003 by Dipl.-Ing. Hans-Jörg Dau, Hamburg-based DAUtec moved from its original hometown of Lübeck in 2006 to be closer to where a high number of customers were based, to make it easier to connect and work alongside them. In 2007, DAUtec became DIN EN 9100 certified, and since 2009 has been collaborating with Lufthansa Technik, and operating the Lufthansa laboratory for external customers on Lufthansa Technik base Hamburg. DAUtec takes a company from the first stages of aerospace development, through production, up to authorization. Its services include involvement in compiling specifications; formulation of test plans; test procedures; supervision of tests in its laboratories in order to aid design engineers, including the execution of acceptance testing; creation of test reports and other documents up to DDP; and certification consulting (LBA/EASA) for civil and military aircraft systems and equipment. DAUtec can develop individual test plans or assist in coordinating entire test programs for any company or aircraft.

Industry Europe 29


company is Asia, where it hopes to benefit from the continuing expansion of the airline industry. Although Bucher has no local physical presence, it has developed and maintains a network of representatives and distributors in the region. “We see particularly good potential for future growth in Asia,” commented Burlet. With airlines increasingly demanding more lightweight products, Bucher is well placed to maintain its leading role in the interiors sector. Around 10 per cent of its engineering workforce is employed in R&D, and while Bucher traditionally works primarily with aluminium – which gives good results in terms of weight -it is also aware of the competition from companies developing very light-weight composites, and is itself working on composites solutions. “One of the reasons we acquired our company in Germany was to get that composites expertise,” said Beat Burlet.

Bucher employs 360 staff, and has seen steady growth of on average ten per cent over the past 10 years. There are no immediate plans for any significant expansion through further acquisitions or new facilities, but the company nevertheless expects growth to continue, and Beat Burlet points particularly to the Air Rescue market, where he sees increasing potential. “We think there’s a big opportunity in this area, particularly in Asia, where there hasn’t previously been the same focus on air resucue operations that we’ve seen in Europe and the USA. I also expect our galleys business to continue to grow. Airbus and Boeing have increased their plane production over the past couple of years, and with the introduction of larger planes, carrying more passengers, we expect demand for our products to rise.” Indeed, with increasing air traffic, and the growing use of advanced lightweight materials (aimed at both cutting costs and

supporting the industry’s commitment to carbon neutral growth) Bucher can expect to maintain or increase its market share over the next few years. And the group is staying ahead of demand by continuing to develop new products, with new emergency medical equipment for Airbus’ EC145-T2 helicopters due to be launched later this year, and a new galley system for Boeing’s 777 scheduled for 2015. n

High Quality and Safety is the focal point of BUCHER’s development. Photo shows a Qualification-Endurance-Test of a Galley door with its components, performed by the independent Qualification-Company DAUtec GmbH.

30 Industry Europe


TRACTORS WITH

A DIFFERENCE Valtra is the leading tractor manufacturer in the Nordic countries and the second most popular brand in South America. Felicity Landon reports on new developments from this Finland-based specialist.

N

ew colours, new models, new features – Valtra continues to make headlines with its product innovations. The company, which develops and manufactures a wide range of tractors for the forestry and agricultural industries, prides itself on building tractors individually, according to the customer’s requirements, and producing equipment that is high-quality and reliable. From its main site in Suolahti, Finland, and its plant in Sao Paulo, Brazil, Valtra supplies tractors to more than 75 countries. The two sites produce different ranges to meet

the specific needs of farmers in Europe and South America, as farming methods, soils and crops vary tremendously between the two regions, but all the tractors are based on the Valtra chassis designed in Finland. Design work takes place at both sites, with the Finnish team providing a high level of support to the Brazilian operation. For more than 20 years, Valtra, part of the AGCO group, has been the only tractor company to offer customers the opportunity to select the colour of their tailor-made tractor – and the selection of colour options is regularly

updated with the introduction of new models. The most popular colour has traditionally been Valtra red, which accounts for almost 40 per cent of all production. Among the newest colour options, black and grey have also grown in popularity.

Biogas technology Last year (2013), Valtra took an important step in the ‘green’ direction with the decision to begin limited serial production of biogas tractors this year – a decision that puts the company out in front, as the first


tractor manufacturer to begin serial production of biogas models. “Valtra has undertaken systematic research and development work into biogas tractor technology in recent years,” says a spokesman. A four-cylinder N series prototype biogas tractor was unveiled in summer 2010, followed by a six-cylinder T Series biogas tractor in autumn 2011. The model chosen for serial production was the 110 hp N101. This dual fuel tractor can run on both transportation grade biogas or natural gas, and diesel. In dual fuel engines, a mixture of biogas and diesel is injected into the cylinders, with 70 to 80 per cent of power produced from the biogas. The tractor can also be driven on diesel alone if biogas is not available. “The biogas solution does not limit the use of the tractor for different tasks, conditions

32 Industry Europe

or implements,” says the spokesman. “The biogas tractor promotes the use of renewable energy in agriculture and forestry, as well as in municipal contracting. When both biogas and biodiesel are used for the fuel, the tractor runs on completely renewable energy. The use of biogas can also generate significant savings in fuel costs. Registering the biogas tractor will require special approval in each market, as common emissions regulations have not yet been agreed for dual fuel vehicles.”

New models Among other major developments, Valtra has introduced two new smaller models in the N Series. The new N93 and N103 models, which replace the N82 and N92 models, feature a brand new nose and three-cylinder engine. “The newer design significantly improves both

visibility from the cab and agility. Working at night and in dark conditions is also improved, thanks to new bi-halogen lights that combine both full and low beams.” Both models are available with Valtra’s traditional HiTech transmission with three main powershift gears. The N103 is also available with a five-step HiTech 5 transmission. As with all Valtra tractors, the N93 and N103 models can be tailored for specific uses. For example, a forest cab and steel fuel tank are available for forestry work, and an SVC cab can be specified for municipal applications. The larger model is also available with cab suspension and the TwinTrac reverse drive system. With the introduction of the two new models, the entire N Series has now been updated. The flagship is the N163, the most powerful


four-cylinder tractor in the world, producing up to 171 hp with boost. The N Series accounts for almost 50 per cent of all Valtra tractors produced at the Suolahti factory. The Valtra T Series has also been updated, in line with the changes made to the N Series. In addition to a new look, the T Series has been given a wide range of updates and new features to further enhance the efficiency and usability of these tractors. The new 6.6 and 7.4 litre AGCO Power engines feature new turbos, a new belt system, a new engine management system and a new type of SCR system that cleanses exhaust emissions more effectively. Special attention has also been paid to fuel efficiency. At the end of 2013 Valtra also updated its S Series with a fourth generation look, increased power and new features. The S Series is powered by an AGCO Power 8.4-litre engine that complies with Stage 4 emissions standard yet produces up to 400 horsepower and 1650 Nm of torque with boost. The engine has twin turbos, one of which has an electronically adjustable wastegate. Thanks to the new turbos, the engine offers superb torque at low rpm. At the same time the temperature of the exhaust gases is reduced, which further improves engine reliability and lowers emissions.

The new S Series combines market-leading transmission and engine technologies that are designed to take on the toughest tasks. The stepless AGCO variable transmission (AVT) is very reliable and is controlled ergonomically from the Valtra ARM driver’s armrest. The driver can select from two driving modes to optimise work productivity and fuel consumption. Valtra’s new S Series can be specified with state-of-the-art farming technology, such as the AutoGuide 3000 steering assist system and AgCommand telemetry. The U-Pilot headland management system and Isobus readiness for implements come as standard.

Introducing the Pink Cat This year Valtra’s Unlimited Studio has created a customised tractor which it has dubbed the ‘Pink Cat’. Options and features of the Pink Cat are designed together with Young Farmers representatives and Valtra Unlimited Studio. The tractor is a four-cylinder N163 Direct with stepless transmission. It boasts 171 horsepower, 700 Nm of torque, a 50 km/h transmission and 160 litre per minute loadsensing hydraulics. Pink Cat will appear at Young Farmers’ events throughout Finland, beginning at the

Okra fair in Oripää on 4 July 2014. The tractor will visit all Finnish provinces before returning to its roots in Central Finland at the KoneAgria fair on 11 October. Pink Cat will be accompanied at these events by a customised trailer featuring a hot tub and terrace. After the tour the tractor will be offered for sale to customers just like any other demo tractor. n


THE BEST OF BOTH WORLDS

When machine tool maker Schiess became part of the Shenyang Machine Tool Group, German engineering excellence was joined to Chinese production capabilities. Peter Mercer reports.

IN

2004 the old-established German machine tool manufacturer Schiess GmbH was acquired by the Shenyang Machine Tool Group (SYMG), the largest machine tool manufacturing company in China. Schiess can look back on a fine tradition of producing very large machine tools since it was founded in 1866. In 1886 the company designed and constructed the first single-column carousel-type machine with 9,000 mm face plate and over the years it focused mainly on the production of portal milling machines, vertical lathes and slideway grinding machines at its Aschersleben plant. In 2011 Schiess extended its product range with

the introduction of the ASCA series of medium sized machine tools. SYMG was founded in the 1930s and today has a global workforce of more than 20,000. It comprises the Chinese machine tool companies Shenyang Machine Tool Co Ltd (SMTCL), Kunming Machine Tool CO Ltd, Yunnan CY Group Co Ltd and now Schiess GmbH (Aschersleben) and Schiess Tech GmbH (Berlin). SYMG is one of the few machine tool manufacturers in the world to offer a complete spectrum of chip-producing machine tools. These include compact barturning machines, milling centres, universal machining centres, large processing units,

conventional turning and milling machines as well as high-speed 5-axis machines for turning and milling operations. Its machines are used in the automotive, mechanical engineering, aviation and aerospace, transport, power generation and electronics industries. Xin Guan, managing Director of Schiess GmbH, explains the strategy behind the acquisition of the German company, “Until fairly recently SYMG had concentrated on developing its home market and even in 2012 it was still making 96 per cent of its total revenues from sales in China. The strategic decision was taken to increase the Group’s export revenues in future years by around 30


per cent and the plan was to use Europe, the world’s most challenging market for machine tools, as the launch pad for later extension into worldwide markets. “SYMG also wanted to expand its capability in large machine tools of the kind widely used in the nuclear and wind power industries as well as in shipbuilding and locomotive construction and Schiess had many years of experience in this field – its tried and tested machines have been in successful use in Europe and world-wide for many decades - and we saw that it had the potential to be a key element in our own globalisation strategy. In the past few years, therefore, SYMG has invested more than €30 million in

new machining technology and in building up the expertise of the workforce at the Schiess site. We believed that if we wanted to expand first into the European market, then Germany, with its strong technology base and its sophisticated market demands, was the obvious country to start in. If SYMG could leverage Schiess’ skills and reputation to be successful in Germany it would be able to succeed anywhere in the world.”

Schiess Tech However, SYMG’s strategy through its acquisition of Schiess was not just to thereby gain access to new markets, first in Europe and the worldwide. It was also to draw on the skills and technology of the German company’s designers and engineers to produce a whole new generation of machine tools that would combine German engineering excellence with Chinese high-volume, low-cost production. In 2012 it therefore established Schiess Tech GmbH in Berlin to be a provider of technology,

competence and products for SYMG. Today more than 50 mechanical and electrical design engineers work in an office on the Potsdamer Platz developing sophisticated machine tools which can be produced in China at highly competitive cost and sold to both the European and the Chinese markets. “Through this win-win approach, SYMG machines are being developed and brought to readiness for series production using Germany’s technologically high levels of engineering expertise and then the economics and scale of the Group’s production capacity in China enables the machines to be manufactured at an economically viable cost,” explains Dr Marcus Otto, Director of Schiess Tech. “The European market places different demands on machine tools from the Chinese market. For example, the users have different experience and training and so the operator model is different. The technological requirements are also different in Europe due to the tendency towards complete machining and, of course, machines have to


meet the highest possible quality demands. So here at Schiess Tech’s Berlin office engineers from ten European countries are working closely with Chinese colleagues to develop equipment for the world market. One of the first results of this collaboration is our new VIVA TURN 4, a horizontal lathe from our new VIVA product range which is designed here in Berlin for the European market and assembled at SMTCL’s facility in Shenyang.”

Looking at the long term When it began its move into the European market SYMG was well aware that to be successful it would have to create a sales and service organisation that would ensure that its customers would always have highly-trained contact staff close to them. It therefore invested heavily in training its partners as well as in ensuring that its own specialised staff at Schiess’ sites at Aschersleben and Frankfurt are positioned to fully support these partners. In addition, the central spare parts warehouse in Aschersleben is closely connected to the international freight airport at Leipzig-Halle to ensure that most spare parts can be supplied overnight across Europe. Like many Chinese companies, SYMG takes a long-term view of business opportunities. “The current markets have great potential

for high tech machine tools but, nevertheless, they will stagnate in the long term,” says Guan Xiyou, Chairman of SYMG. “We believe that the markets of the future will be in developing and newly industrialising countries and that their specific circumstances mean that they will need different types of machine tools. So SYMG’s systems in the future will be ‘SMART’ Simple, Maintenance friendly, Affordable, Reliable and Timely to market.” SYMG is also convinced that machine tool manufacturers will have to fulfil ever higher

customer expectations. “A machine tool will increasingly become a mere component in a comprehensive range of services,” says Guan Xiyou. “The customer-supplier relationship will be transformed from just selling a machine to a multi-disciplinary partnership extending over the entire product life cycle. These challenges cannot be met by any individual supplier – global collaboration projects with complementary companies are necessary.” SYMG’s collaboration with Schiess is the first step on this strategically vital road. n

Developped on tecnology SGM the automatic tools and pallets systems are universal and adaptable to the most new and already installed machine tools. SGM systems engineering develops the idea of modularity to accomodate the ever changing costumer’s needs. Available in different models and sizes the SGM systems are the perfect solution to improve the productivity and quality upgrading.

Phone: +39.030.2680220 Fax: +39.030.3580372 Email: info@sgmtools.it www.sgmtools.it


HIGH PRESSURE DIE CASTING The Swedish company Ljunghäll AB specialises in high pressure die casting and supplies car parts to major motor manufacturers like Volvo and Ford. Industry Europe reports on a company that uses its design skills to reduce costs for its customers.

Industry Europe 37


L

junghäll began life in 1917 as a rural blacksmiths that made ironwork and shoed horses. Later the company moved into sand and chill casting. In 1963, it settled in its current location of Södra Vi, a village in the province of Småland. Today Ljunghäll is one of the world’s top manufacturers of car parts using high pressure die casting. The company aims to design parts that are strong, lightweight and competitively priced and that will also cause as little noise or friction as possible. Ljunghäll presents itself as an ‘external engineering partner’. It works closely with clients at the early stage of development to design a new part for a vehicle. If a car company is looking to make improvements, it can come to Ljunghäll and the company’s engineers will create a better component to replace the old design. Ljunghäll’s advanced thin wall die casting parts enable carmakers to achieve savings on weight. At the same time, because its part designs require a smaller amount of raw material to produce, they can also be made at lower cost. When a new product is being developed, Ljunghäll can even station one of its own skilled engineers with the customer’s design team, ensuring that the project is fully aligned to the customer’s needs. Ljunghäll makes aluminium components for heavy vehicles as well as for passenger cars

and the company’s clients include the Swedish truck manufacturer, Scania. Its expertise is also employed in the telecoms industry for important customers such as Ericsson.

Quality and precision Ljunghäll relies on the best production equipment to bring its designs to life. Production is highly automated, thanks to stateof-the-art industrial robots, and standards of quality and precision are high. Ljunghäll maintains a quality management system that is certified to ISO 9001:2009. The company has around 50 high pressure die casting machines together with around 80 CNC (computer numerical control) machines. Ljunghäll also offers a complete range of after-treatment methods such as machining, washing, assembling and leakage testing. For manual assemblage, it has for many years followed the Japanese ‘poka-yoke’ system, designed to prevent errors from occurring in the manufacturing process. This year (2014) the company increased its production capacity still further with a 16 MSEK investment in a new 1650-ton high pressure die casting machine and related equipment. It is a fully automatic production line and has enabled Ljunghäll to increase capacity for parts up to 15kg. Operating as a ‘strategic production partner’ to major players in the automotive

sector, Ljunghäll combines a reliable service with the ability to be flexible. It believes in meeting its customers face-to-face, listening to their concerns and cooperating successfully with them to create a better part. With decades of experience of this type of work, Ljunghäll is often involved in several different early stage development projects at any one time. It prefers to solve problems for its clients rather than just blindly carrying out their instructions. It strives to think ahead and to devise innovative solutions that will exceed customer expectations.

Expansion in Europe Ljunghäll is well aware that its customers are always on the lookout for ways to keep costs low. The superior design skills of Ljunghäll’s engineers certainly help customers to achieve this objective. However, the company has also taken steps to reduce the labour costs of its own manufacturing operations. In 2007, Ljunghäll expanded its production by taking control of Drop Press, a company in the historic Czech town of Čáslav. The acquisition of Drop Press (now renamed Ljunghall s.r.o.) provides Ljunghäll with a valuable base in central Europe from which to serve the flourishing Czech motor industry. The company claims that its Čáslav site can deliver the standards of quality and reliability for which Ljunghäll is traditionally


known, but at a lower cost for its customers. One option Ljunghäll offers is for a new part to be made initially in Sweden with a view to transferring the production to the Czech Republic at a later stage. As a maker of high tech components, Ljunghäll is meeting the needs of the 21st century. The emerging economies are now demanding

a larger share of the world’s energy resources, meaning that oil prices are likely to remain high. Ljunghäll’s lightweight components support the efforts of the motor industry to produce lighter vehicles that consume less fuel. While attuned to the needs of the times, Ljunghäll is still proud of its rural origins as a village smithy. The company also takes

its environmental responsibilities seriously and maintains an environmental management system in accordance with ISO 14001:2009. In addition, Ljunghäll is careful to ensure that its suppliers are aware of their obligations under the European legislation on the Registration, Evaluation and Authorisation of Chemicals (REACH). n

Industry Europe 39


A VERSATILE MATERIAL Carbon black is a material used for a wide range of applications from ink production through to tyre production, including the tyres for Formula 1 racing cars. Columbian Tiszai Kft is the major producer of carbon black in Hungary and is a member of the Birla Carbon Group, the world’s largest supplier of carbon black. Edina Beale reports.

IN

1992 Columbian Chemicals Company (CCC) and Tiszai Vegyi Kombinát (TVK) signed a contract to create a joint venture and establish a company to produce carbon black in Tiszaújváros, Hungary. The newly founded plant, Columbian Tiszai Kft, was set to achieve a 50 KT/year capacity. The first production line began operation in December 1993 and six months later, in May 1994, a second production line was implemented. In 2000 TVK sold its 40 per cent share to CCC. The company worked hard to boost output and in 2000, the production capacity increased to 65 KT/year. This capacity, however, was still not enough to meet the market’s growing demand.

Global Business There are two main product types that are produced from carbon black. The largest market segment for carbon black is the tyre industry, and this is followed by the industrial 40 Industry Europe

rubber industry, the automotive industry as well as the plastic industry. Paint and ink producers also use carbon black as a pigment to manufacture ink for printers and photocopy machines. Managing director of the Hungarian factory, László Dobos explains the need for expansion of operations: „The market for using carbon black is global. Despite the fact that our plant is the only carbon black producer in Hungary the competition is very fierce both against the traditional large European companies as well as the Chinese and Russian imports. Continuous development and learning, and quick response to changes are necessary to maintain competitiveness.” An example of this quick response was in 2006 when a strategic decision was made to enlarge the factory’s capacity. This was achieved in 2008 and enabled Columbian Tiszai to manufacture 113.5 KT carbon black in a year whilst operating a Co-gen (Cogeneration) power station to produce electricity.


Mr Dobos is quite aware of the need for constant review and change: “In order to sustain our development we make continuous investments in all fields of our operations including safety, environmental, energy efficiency or product development. For example we are continuously reducing the specific usage of basic materials by implementing the latest and most modern heat exchangers and therefore reducing the CO2 emission.”

Quality Supplier In 2011 CCC was taken over by the Indian Aditya Birla Group (ABG), and as a result of this change, Birla Carbon, the largest producer of carbon black was established, operating 17 production plants in North and South America, Europe, Africa, and Asia. Today Columbian Tiszai in Hungary is the largest European production plant of the group with a capacity of 130KT/year. The company currently employs 94 staff members and achieves 150-160 million USD annual turnover. Columbian Tiszai currently focuses on meeting the continuously changing demands of the tyre industry and the industrial rubber production segment in the European and African region. The factory has gained a solid reputation supplying prominent names including Continental, Michelin, Pirelli, Bridgestone, Hankook and Brisa. Industry Europe 41


Mr Dobos outlines the company’s export philosophy: “80 per cent of sales are for export markets. Most of our produce is commodity product, so it is not sensible to ship it long distances. The Hungarian plant therefore focuses on the Central European countries surrounding, and targets Germany, Austria and part of Turkey.” Continuing monitoring of market demands and competitors’ activities allows Columbian Tiszai to remain a valuable and competitive member of the global operation. “Our objective is to totally meet changing customer

42 Industry Europe


“130 year tradition, 100% innovation.”

Big bags from the manufacturer to meet your needs.

Hungary - 8460 Devecser Vásárhelyi u. 81. office@flexicont.hu | www.flexicont.hu

Somló-Zsák Ltd 31 years ago, Somló-Zsák Ltd became the first company in Hungary to produce big bags. Over the past few decades Somló-Zsák has developed its technology and now has a very wide product range, from standard bags and conductive bags to special or chemical resistant bags. The company has developed its own technology to ensure these bags are highly dust proof and will not therefore contaminate their surroundings as they pass along the supply chain. Somló-Zsák is an eastern European company that has recently been merged into an international group in order to deal with market challenges. Today it is a highly organised concern that can guarantee the best technological solutions at a reasonable price. Its partners can therefore benefit from high technological standards and its long-term experience and knowledge of the European market.

Eurolux-Trans Kft is located in an industrial park in Felsőzsolca, an excellent site to join the Hungarian motorway system. Our plant is 50km away from the Slovakian and 140km away from the Ukrainian border, and is 38km far from Columbian Tiszai Koromgyártó Kft. Our company has been a sub-contractor for Columbian Tiszai Koromgyártó Kft since 1994. The small distance between the manufacturer and the service provider is ideal to provide flexible and prompt response. Currently we operate 69 trucks that meet the requirements of the strictest environmental standards. The fleet of Eurolux-Trans Kft also include 57 special tip trailers suitable for transporting carbon black, five 90m3 trailers designed to transport Silica, and in order to satisfy traditional customer requests we have ten canvas trailers with side curtains. We gained an extensive experience in transporting carbon black and Silica throughout many decades, and our expertise and commitment is the guarantee to serve our customers to the highest level. Eurolux-Trans Kft. 3561 Felsőzsolca, Ipari u. 5, Hungary tel: +36 46 502 320 e-mail: dispo@eurolux.hu web: www.eurolux.hu

demands whilst taking the best advantage of the production synergy created by the Birla Carbon group in the region.” Moving forward the company is looking for ways to continuously improve production and quality to ensure that it remains a leading provider of black carbon. Mr Dobos highlights the company’s future plans. “Our goal is to maintain sustainable continuous development in both tangible and in human resources. Within the industry our objective is to strengthen our position as Quality Supplier and to produce value for both our owners and for our customers as well as contributing to their future development.” Well thought out investments, the ability to respond quickly to a rapidly developing market place, quality products and a dedicated, professional and well trained work force are some of the elements that will enable the Hungarian manufacturing plant to remain ahead of the field. Combine this with the help and support of a global organization, Columbian Tiszai is in an excellent position to meet n any new challenge. Industry Europe 43


EXCELLENCE REWARDED In every aspect of Daimler AG’s operations, excellence comes as standard. The company’s unrivalled design and manufacturing capabilities are complemented by the dedication of its key suppliers. The vital contribution made by Daimler’s leading suppliers has helped the company to achieve on-going record-breaking results, with more than half a million vehicles sold in the first four months of this year alone. Philip Yorke takes a closer look at Daimler’s remarkable performance and the suppliers behind the scenes who have excelled in their field.

W

hile other major automotive manufacturers struggle to maintain their market share, Daimler has been posting double digit growth for the last ten months with sales increasing in all regions of the world. Today the company is seeing particularly strong growth in Europe, USA and China. The global demand for its top-of-the-range ‘dream cars’ such as the latest S-63 AMG Coupe, is also seeing unprecedented growth. “We are posting double-digit percentage growth in sales for the tenth consecutive month, due in part to the great success of the new C-Class” said Ola Kallenius, Member of the Divisional Board Mercedes-Benz Cars and responsible for marketing and sales. “Our

44 Industry Europe


strong growth in April shows that we continue to be on the right course and are winning new customers for our brand worldwide”. In addition, the company’s flagship range, the S-Class, sold over 8,200 units in April this year which represents a 100 per cent increase on the same month last year. In fact, the Mercedes-Benz S-Class has been the best-selling luxury car in the world for many years. However, it is not only Daimler’s car division which is seeing strong growth. Daimler Trucks also saw its unit sales increase by 7

per cent in the first three months of this year alone, with seven new trucks being launched in the first quarter. This is guaranteed to strengthen yet further the strong position of Daimler’s truck division. Mercedes-Benz Vans were also top performers in the first three months of this year, with overall sales 16 per cent higher than they were this time last year. Sales momentum is also expected to continue with its new Citan panel van as well as the new Vito model. The Daimler Bus division also grew significantly in the first quarter of this year with an

increase in sales of over 11 per cent, thus helping to endorse its leadership position for buses in the 8 tons and over sector.

Outstanding suppliers make their mark Earlier this year in Stuttgart, Germany, Daimler AG recognised its best suppliers for their individual contributions on the occasion of its annual supplier conference. As in previous years Daimler AG honoured twelve outstanding companies who all received awards in various categories. In addition, a special award was presented for exceptional performance in

Industry Europe 45


the area of innovation. Some 450 guests from the supply industry attended the sixth presentation event at the Mercedes-Benz Centre in Stuttgart on February 27th 2014. Working closely with its direct suppliers, Daimler employs its unique supplier cooperation model, the ‘Daimler Supplier Network’. This is based on the core principles of performance and partnership. Daimler measures performance in terms of quality, cost, delivery 46 Industry Europe

reliability and innovative strength. In his opening speech, Dr. Dieter Zetsche, Chairman of the board of management of Daimler AG and head of Mercedes-Benz cars, stressed the importance of the Daimler Supplier Awards. “We celebrate a winning team – the world’s best supplier network and we thank our suppliers for their loyalty and dedication” Among this year’s winners of the 2013 Daimler Supplier Awards were Isringhausen

Gmbh & Co. KG, in the area of truck seats and international expansion activities, LTH Castings, honoured as ‘Best new supplier’ for its powertrain aluminium castings, and Durr AG, for its outstanding achievements in plant engineering and machine construction. The special award for innovation went to Continental AG for its innovative touchpad for the new Mercedes-Benz C-Class models. Prof. Dr Thomas Weber commented



on this award: “The touchpad of the new C-Class is as easy to operate as a smartphone. It also allows hand-written commands to be entered in many languages and provides clear, tactile feedback - a milestone towards truly intuitive use!” A full list of winners can be found on the Daimler AG’s website: www.daimler.com

Shooting stars Taking centre stage at the New York International Auto Show this year was the latest threepointed-star dream car: the new Mercedes48 Industry Europe

Benz S63 AMG Coupe. This luxurious sports car combines supreme power and performance with ground-breaking efficiency. AMG remains in the fast lane throughout the world in the performance car class and has exceeded last year’s sales by more than 50 per cent. Tobias Moers, Chairman of the Board of Management of Mercedes-AMG GmbH said, “The new S63 AMG Coupe is another exciting AMG dream car in the luxury segment. Now the S-Class Coupe also comes with the option of performance-orientated AMG 4Matic all-wheel drive, as we rigor-

ously pursue our all-wheel-drive initiative. Mercedes-AMG is putting the pedal to the floor again in 2014” The new V-Class from Mercedes-Benz is also causing a stir in the growing MPV market. As the youngest and largest member of the passenger car family from Stuttgart, it sets new benchmarks in its segment with its design and host of innovations. The new V-Class combines room for up to eight people with exceptional functionality, comfort, efficiency and safety profiles. Zetsche added, “Functionality is a must for an MPV. Comfort


and style are the icing on the cake. The new V-Class combines both in a way that no other vehicle in this segment can offer”

Daimler Trucks plant celebrates its 50th anniversary Daimler’s state-of-the-art truck manufacturing plant in Tramagal, Portugal, celebrated 50 years of truck production this year. The company was originally founded as a joint venture between the family-owned Portuguese firm: Duarte Ferreira and the former French truck manufacturer Berliet. After Mitsubishi

Fuso became the owners in 1980 and it subsequently became Mitsubishi Motors Portugal, it finally became part of Daimler AG in 2004. Today the Tramagal facility is incorporated into Daimler Truck’s global production network to enable the plant to meet the international quality standards for the Fuso Canter truck and to exploit the advantages of collaboration. Daimler AG’s Tramagal plant is located 150 km northeast of Lisbon and covers over 39,000 square metres. At this modern facility more than 300 employees manufacture Fuso Canter trucks for around thirty

European countries. Sales of Fuso trucks in Europe last year rose to over 4,500 units. In order to prepare the plant for the future, Daimler Trucks has invested more than €27 million in its modernisation and production operations as well as in the further development of its best-selling Fuso Canter truck. Over €5.5 million of the funds allocated to the plant will be spent on the development of the new battery-electric Fuso Canter E-Cell. The Portuguese government is also supporting the development with an investment of three million euros. n

Industry Europe 49


LEADING EMISSION TESTING TECHNOLOGY 50 Industry Europe


Maha Maschinenbau Haldenwang is a global leader in brake and emission testing technology. The company continues to set new standards in accuracy and innovation throughout its portfolio. Industry Europe looks at the company’s innovative products and its continued move towards sustainable production.

M

aha is a brand that is synonymous with quality and innovation in the field of motor vehicle testing and workshop outfitting. Founded in Germany over 40 years ago the privately owned company has seen consistent growth and today operates four major production facilities, three in Germany and one in the USA. The company’s product portfolio consists of motor vehicle test lanes that include side-slip testers, shock absorber and suspension testing equipment, roller brake and headlight alignment testers and surface mounted lifting gear. From Maha’s headquarters in Haldenwang its more than 1000 employees manage and coordinate the movements of more than 45,000 brake testing installations currently operational in auto-dealerships, test stations, workshops and test agencies, to ensure the safety of cars commercial vans, motorcycles and special vehicles around the globe. The company’s services include not only the realisation of complete concepts for vehicle testing programmes but also stand-alone solutions for individual, single workshop outfitting. Maha customers also receive optimal service back-up from its worldwide locations, which are supported in turn by subsidiaries

and partners in more than 150 countries, to provide technical support around the clock. Maha continues to expand its global outreach. For example in autumn last year (2013) the first Maha test lane in Canada was installed and put into operation in Toronto. ‘Canadian Tire’ is the first workshop in Canada to offer customers a professional vehicle inspection with innovative technology from Maha.

High-tech testing technology Today everyone is aware of the dangers posed by vehicle exhaust emissions to health and to the wellbeing of humans and the environment. Vehicle exhaust gases contain some of the most dangerous components of particulate matter and only by employing highly sensitive measurement methods can essential reductions in particle emissions be achieved. As the pioneer of innovative vehicle testing solutions, Maha has developed the most practical, innovative and accurate solutions. The company’s second generation Opacimeter is the logical development of its well-known predecessor. In the field of diesel emission measurement technology Maha relies on its highly accurate laser-scattered light measurement technology, which can identify even the

most microscopic soot particles, which diesel engines with direct-injection systems tend to emit. The company’s MET 6.3 emissions tester is capable of measuring turbidity value and particle concentrations. In 2014 Maha was also the first company in the workshop fitting industry to recognise that measuring technology needs to be very sensitive when testing emissions after-treatment systems for efficiency. This led it to develop a new measuring method for particle concentration in diesel emissions with the scattered laser light method. In order to use this new measuring technology for emissions testing, MAHA participated, under the umbrella of the ASA Association (German Automobile Service Equipment Association), together with other companies and the Physical Technical Federal Institution (PTB) in a research project. This project has now been completed and it showed that scattered light measuring devices are able to determine the turbidity coefficient k of diesel emissions with up to 100 times more accuracy than previous opacimeters. In a further project, MAHA, together with other measurement cell manufacturers, is now working on finding solutions for some remaining open points, for example Industry Europe 51


the calibration of the devices, the contamination control and the impact of condensation. This project is scheduled for completion at the end of the first quarter in 2015. Maha is also committed to sustainable development in all its production processes and all its environmental management systems are soundly based on ISO 14001 certification. This serves to guarantee sustainable environmental compatibility throughout its business activities, products and processes. In addition, it offers an economical tool to achieve sound environmental production throughout the company’s manufacturing processes.

The company continues to set new worldclass standards in other market sectors too, such as in its emission and performance dynamometer division. Maha’s innovative AIP (Automotive Industry Projects) sector dominates the market in the emission testing field and its latest LPS 3000 performance dynamometer has set new global standards in functionality and in the performance testing of vehicle emissions. Maha’s exhaust emission analysers for diesel and petrol engines have gained approvals in all the world’s leading markets as well as in many of the fast-growing, emerging trading nations.

Full service provider

Setting standards in energy management

Maha is a full service provider in every sense of the word and offers its customers everything from professional consultation at the design stage to the production of equipment and full after sales service support. Virtually all Maha products are manufactured in-house at its four modern automated production sites. Projects can range from new concepts and solutions for the implementation of individual test lanes up to nation-wide vehicle test systems with advanced e-communication networks. For example, in autumn last year (2013) one of the largest Volkswagen Centres in Germany was opened in Munich, with testing and lifting technology from Maha installed in the workshops. Maha’s diverse portfolio consists of motor vehicle test lanes of every description, but the company has also moved into the development of an entirely new generation of tyre changing and wheel balancing equipment.

52 Industry Europe

Maha Maschinenbau Haldenwang GmbH is certified in accordance with the new DIN EN 16001:2009 standard – in fact it was one of the very first companies in the industry to introduce a concerted energy management system based on stringent European protocols. As a result, Maha’s unique ‘Greenline’ product line emphasises the involvement of the workshop outfitter for improved environmental protection. By the year 2020 the federal government wants to reduce CO2 emissions in Germany by 40 per cent compared to 1990 levels. This can only be achieved through a more efficient use of energy. A company spokesperson said: “We are continuing down the path already set of pursuing a sustainable environmental policy. Again we are setting important trends in the industry and meeting the demands that leading automobile manufacturers place on their suppliers.” n


Fritz Stiefel GmbH Fritz Stiefel GmbH supplies a full-range of high quality hydraulic and pneumatic systems and services including; hose technology, tube and pipe-bending, machine unit construction and module assembly. Our commitment to quality has marked us out as a premium supplier ever since the company was established in 1962. Customers include vehicle construction and mechanical engineering industries as well as the special-machine manufacturing sector and automotive industry. We supply throughout Europe as well as in the USA, Asia and Brazil via our network of regional offices and partners. Fritz Stiefel GmbH is ISO 9001ff certified and thus complies with the highest quality standards worldwide.

Industry Europe 53


POWERING AHEAD As one of the world’s automotive giants, General Motors needs little introduction. And since being floated on the stock exchange in 2010, the company has gone from strength to strength. Industry Europe looks at its global presence, most recent models and the importance it places on strong supplier relationships.

G

eneral Motors (GM) is a truly global player in the automotive industry. There can hardly be a person out there who is not familiar with at least some of its leading brands: Opel, Vauxhall, Buick, Cadillac and Chevrolet to name just a few. It currently employs over 200,000 people in 396 facilities across six continents. Although the company’s history goes all the way back to 1897, the biggest milestone in recent years came in 2010 when GM completed the world’s largest initial public offering. This has set in train a new period of prosperity and growth, following its filing for bankruptcy in 2009. The ‘New GM’ which emerged from this has identified five key principles to guide its future strategy. These are: Safety and Quality First; Create Lifelong Customers; Innovate; Deliver Long-Term Investment Value; and Make a Positive Difference. 54 Industry Europe

Global presence and investments The new GM is a smaller, leaner company than its predecessor. It has a more focused network of 4500 dealers. It continues to grow globally, with more than 70 per cent of its sales now coming from exports. Its top five markets in terms of sales are now China, the US, Brazil, the UK and Germany. It also has significant equity stakes in major joint ventures in China including SAIC-GM, SAIC-GM-Wuling, FAW-GM and GM Korea. GM’s facilities throughout the world are equipped with the latest technologies to enable it to follow its five core principles. Each of its brands – Chevrolet, Buick, GMC, Cadillac, Baojun, Holden, Isuzu, Jiefang, Opel, Vauxhall and Wuling – has its own manufacturing facilities in strategic locations and it regularly invests in these to ensure they are ahead of the curve when it comes to manufacturing.

For example, in July this year it broke ground on a new complex of buildings at its Opel manufacturing headquarters in Rüsselsheim, Germany. This investment totals almost €245 million and will serve to increase the plant’s output with the addition of new models. Opel already builds four variants of its Insignia model here, plus the Zafira Tourer that begins production in 2015. Two future vehicles that are to be added to the plant’s production portfolio by the end of the decade will be a brand-new model and another variant of the Insignia, the details of which are still to be announced.

New models launched for Opel For a company like GM to remain at the forefront of the global automotive industry, constant innovation is a must. The company is continually launching new models on the market, or upgrades of existing ranges. For


example, at last year’s Geneva Motor Show (2013) it introduced its ADAM Rocks model – a more rugged version of its Opel brand’s newest city car, the ADAM. Like other ADAM models, the ADAM Rocks is equipped with electrical systems such as IntelliLink navigation, ESP, parking assist and internet connectivity devices. The EMC centre ensures there is no interference between different electronic systems by sending frequencies at the car that would typically cause a fault in the systems.

At this year’s Geneva Motor Show the ADAM Rocks was again showcased, alongside the new ADAM S version. Featuring a 110kW/150 hp, 1.4-litre Turbo Ecotec engine, sports-tuned suspension, OPC braking system and distinct ‘Red ‘n’ Roll’ styling, the ADAM S is yet another highlight of Opel’s small car family. Another new model debuted by Opel at Geneva was the Astra OPC Extreme. Powered by a 2.0-litre, direct-injected four-cylinder turbo that makes more than 300 horse-

power, it is one of Opel’s sportiest cars yet. Based on the cup-racing version of the Astra OPC, it is a version of the two-door Astra GTC. It has been slimmed down, dropping 220 pounds from the OGTC’s 3417-pound claimed weight. This was achieved by using aluminium fenders and a carbon-fibre hood, roof, suspension cross braces, front spoiler, engine cover and rear wing. Furthermore, in order to highlight its racing pedigree it has been fitted with a full roll cage and Recaro racing seats with six-point belts.

Industry Europe 55


Another important launch for GM’s Opel at Geneva was its OnStar technology, representing the next level of vehicle connectivity. According to Opel CEO Karl-Thomas Neumann, “OnStar and Opel will make driving in Europe safer and more relaxed from 2015. With OnStar 4G/LTE, Opel drivers will enjoy high-speed mobile connectivity, and with this we take a major step towards realising our vision of connectivity – the Opel Monza Concept that we presented last autumn.” OnStar is the leading brand of connected safety and security solutions, value-added mobility services and advanced information technology.

The Ecotec – an engine revolution As mentioned above, the new ADAM S model is one of the latest GM cars to be fitted with the company’s new modular Ecotec engines (also introduced at Geneva). The new generation of Ecotec small-displacement engines is set to streamline GM’s global powertrain portfolio with a modular architecture that broadens its adaptability to global markets and reduces manufacturing complexity. The new engines were developed for GM’s global vehicle portfolio and will power many of the company’s highest-volume

56 Industry Europe

small cars and compact crossovers – including the next-generation Chevrolet Cruze specifically tailored for China, which launches in 2014 as a 2015 model. By 2017, more than 2.5 million new Ecotec engines are projected to be built annually in at least five manufacturing locations around the globe: Flint, Mich. (U.S.); Shenyang, China; Szentgotthárd, Hungary; Toluca, Mexico; and Changwon, South Korea. The Flint facility alone represents an investment of more than $200 million in technology and tooling to support the engines’ production.

The importance of suppliers The long-term relationships GM has built up with its key suppliers over the years has been crucial to its success. In March this year the company recognised 68 of its best global automotive suppliers during its 22nd annual Supplier of the Year awards ceremony. This is a prestigious honour, as fewer than 1 per cent of GM’s suppliers around the world receive the award. Winners are recognised for delivering innovative technology, superior quality, timely crisis management and competitive, total-enterprise cost solutions. In addition to the Supplier of the Year awards, GM also honoured four suppliers with its Overdrive Award, recognising

those who have gone the extra mile to help it achieve exceptional results. European winners of the Supplier of the Year Award were: Behr-Hella Thermocontrol GmbH; Bühler Motor; EMS-CHEMIE AG; GRIMALDI GROUP; GROB – WERKE GmbH & Co. KG; Höegh Autoliners; L&L Products; MANN+HUMMEL GmbH; Müller – Die lila Logistik AG; Sogefi Engine Systems; SPAL Automotive; and TMS – Turnkey Manufacturing Solutions. MANN+HUMMEL was also a recipient of the Overdrive Award. Grace Lieblein, GM vice-president, Global Purchasing and Supply Chain, explained the importance of showing appreciation for its suppliers’ efforts: “Our suppliers play an important role in helping GM deliver compelling vehicles to our customers. Supplier of the Year winners have outstanding track records for consistently meeting our business needs while also supporting our cultural priorities.”

Innovating for the future Looking ahead, GM will be focused on innovation in several key areas. The first of these is autonomous driving – something the company believes we are closer to achieving than we may believe. It has already made steps in this direction with its Chevrolet EN-V (Electric Networked-


Vehicle). With this, it has combined safety features such as adaptive cruise control and side blind zone warning with advanced communication technology to demonstrate how a fully autonomous driving experience can change the way we think about driving for the future. Another focus will be on the promotion of emission-free driving through the creating of ever-more efficient electric vehicles (EV). With increasing pressure from environmental lobbyists and the limited availability of petroleum, there is a growing customer interest in petrol-electric hybrids and purely electric vehicles. GM is ready to meet increased demand for these technologies. In 2013, for example, it launched a Chevrolet Spark Electric Vehicle. It is currently partnering with its top suppliers and investing in promising technologies, through its GM Ventures business unit, to develop new technologies that can be brought to market quickly. Another way in which automakers can help to reduce our global dependence on

petroleum is through the development of alternative technologies such as hydrogen fuel cells. These have the potential to support family-sized and larger vehicles, providing more passenger or cargo-carrying capabilities. They also offer the ability to travel longer distances at higher speeds,

great fuel economy and full-time zero emission operation. GM’s ‘Project Driveway’ fuel cell vehicle demonstration used a fleet of over 100 fuel cell electric Equinoxes to help customers to accumulate over two million miles. It will continue to work on improving n and developing fuel cell technology.


ADVANCED POWERTRAIN SOLUTIONS The BorgWarner group is a global leader in the development of powertrain solutions. Its Traction Systems division offers a range of electronically controlled front-wheel drive (FWD) and all-wheel drive (AWD) systems for cars. Industry Europe looks at the background of this division and its range of products.

58 Industry Europe


IN

December 2010 the BorgWarner Group acquired the Stockholm-headquartered Traction Systems Division of Haldex Group, enabling it to expand its European customer base and range of allwheel drive solutions. From production facilities in Sweden, Mexico and Hungary, this division supplies its leading drive systems for passenger cars and crossover vehicles. Its customers include Volkswagen, Audi, Skoda, Seat, Lamborghini, Bugatti, Volvo, Land Rover, Saab and GM. The takeover by BorgWarner in 2010 transformed Haldex Traction into Borg Warner Traction Systems and brought significant benefits to the group. The move has boosted BorgWarner’s growth in the global AWD market – Haldex’s speciality – as well as front-wheel drive (FWD) based vehicles. It has added to the group’s base of FWD/ AWD technologies and also allowed it to

tap into Haldex’s well-established European customer base. The BorgWarner Group’s global technology leadership continues apace. It is currently present in 19 countries worldwide with around 19,250 employees across 60 different sites.

A global leader BorgWarner’s Traction Systems produces its world-renowned electronicallycontrolled four-wheel or all-wheel drive systems for cars. These systems are controllable which means they can interact with other systems in the car, making them highly functional and versatile. The division’s traction technology was patented by the Swedish engineer Sigvard Johannsson in 1998. It began by producing intelligent all-wheel drive (AWD) systems. The first generation Haldex Limited Slip

Coupling (LSC) appeared in the VW Golf 4MOTION that year. The first generation Haldex LSC was based on a unique patented differential pump that created a hydraulic flow proportional to the difference in velocity over the coupling. The ‘stiffness’ could be varied and the torque transfer controlled with the help of a linear valve throttle activated by a stepper motor. Subsequent generations of the LSC are stilled based around the original technology but with further developments such as pre-emptive torque capacity (Gen III) or a proportional pressure-reducing valve in place of the proportional throttle (Gen IV).

Advanced AWD systems The company’s standard AWD systems run from the Gen I model to Gen V. They are all electronically controllable all-wheel drive coupling units for cars but with Industry Europe 59


slightly different features as we move through the different generations. The Gen I includes an electronic control unit with vehicle dynamics software. It can be viewed as a hydraulic pump in which the housing and annular piston are connected to one shaft, and a piston actuator is connected to the other. Moving on to the Gen V model, the front and rear axle of the car are connected via the wet multi-plate clutch which now makes it possible to vary the torque distribution between the two axles. The function of this generation system allows for greater functionality, as it is independent of the differential speed between the front and rear axle. This means that full locking torque is available at any given time and speed if it is needed. All of these systems can be customised to meet the needs of BorgWarner’s global automotive clients in terms of driving characteristics and traction. Aside from the standard AWD systems, the eAWD is a new innovative concept for hybridisation and pure electrical drive. It allows for torque vectoring and the improvement of stability and vehicle 60 Industry Europe

dynamics. It is a system whereby AWD and hybridization are carried out in one package to reduce the fuel consumption by up to 20 per cent. The system consists of an electric traction motor that provides both propulsion and regenerative torque to the rear wheels through a planetary gear arrangement on each side. By locating the electric drive on the secondary gear axle, the system provides the benefits of all-wheel drive with minimal changes to the vehicle layout.

A market first In November last year (2013) BorgWarner introduced the world’s first limited slip differential designed for the front transaxle of a front-wheel drive (FWD) vehicle on the 2013 Volkswagen Golf GTI with Performance Pack. Known as front cross differential (FXD) technology, the system greatly enhances vehicle traction, handling and stability without sacrificing engine power. Under certain driving conditions, the FXD technology’s enhanced vehicle performance approaches that of an all-wheel drive (AWD) system but costs less and offers better fuel

economy. The technology uses the same electro-hydraulic actuation technology recently launched on BorgWarner’s fifth generation AWD coupling, and offers automakers a compact and easy-to-install electronic limited slip differential solution with a wide range of calibration options. BorgWarner’s bolt-on FXD technology uses the same vehicle sensor inputs as an AWD system to generate controlled locking torque between the left and right front wheels, directing power to the wheel with the best traction even before wheels slip r spin. In some situations, such as climbing an icy hill, FXD technology also improves acceleration through more effective use of available engine power compared with brake-based traction control systems, which tend to consume engine power. For better cornering performance, the system delivers a torque vectoring effect, shifting more power to the outer wheel to reduce inner wheel slip. To enhance vehicle stability, the system has the ability to shift more power to the inner wheel, which greatly reduces intervention from braken based stability control systems.


RE-DEFINING ENGINE COOLING TitanX is a world leader in the design and manufacture of advanced cooling systems for commercial vehicles and industrial diesel engines. Philip Yorke talked to Stefan Nordström the company’s CEO, about its dynamic expansion strategy and latest high-tech cooling solutions.


T

itanX is headquartered in Gothenburg, Sweden, and is a leading global supplier of diesel engine cooling solutions for trucks, buses, off-highway equipment and industrial diesel engines. The company was formerly owned by the French automotive group ‘Valeo’ and was acquired by the Swedish private equity group, ‘EQT’ in 2008. The company has two plants in Sweden, one plant in the US and another newly started state-of-the-art facility in Brazil. In addition, new high-tech plants are currently being constructed in China and Mexico and these are planned to come on stream by 2015. Today TitanX produces a wide range of highly engineered heat exchangers, which are sold as single components or assembled in modules to meet the individual specifications of its big OEM customers. The company’s diverse product range includes frame-mounted radiators, ‘charge’ air coolers and condensers, as well as engine or transmission-mounted oil coolers. TitanX is unique in that it is the only manufacturer that focuses exclusively on the

commercial vehicle market and depends primarily on the growing global market for heavy trucks. The long-term outlook for this market sector remains positive and is supported by the high average age of current truck fleets, as well as a growing demand for commercial transport in the world’s expanding economies. In 2013 TitanX recorded sales of more than €150 million and currently employs over 800 people worldwide.

Innovation and investment driving sales Since TitanX was acquired by EQT in 2008, during the onset of the global recession, the company has been able to not only weather the economic storm, but has demonstrated consistent growth. When the new CEO, Stefan Nordström, who had gained top executive experience with major global commercial vehicle companies such as Volvo and leading power companies such as ABB, came onboard in August of 2010, TitanX started the work with transforming its three factories into one company. This meant the company centralised all its main business functions such as

Zakład Metalurgiczny „WSK Rzeszów” Ltd. – Company with over 60 years of tradition in foundry branch and machining. Almost 90% of the company’s revenue comes form export as its products are being sold to the most demanding world markets in Europe and North America. Customers of ZM „WSK Rzeszów” Ltd. are world leaders of: • automotive industry (VALEO, TITANX), • power transmission and distribution (ABB, SIEMENS), • railway industry (GENERAL ELECTRIC TRANSPORTATION), • machine industry (BITZER), • tractors and agriculture machines production (SAME DEUTZ-FAHR, ARGO TRACTORS). ZM „WSK Rzeszów” Ltd. has Aluminum Foundry, Iron Foundry, Machine Shop with Die & Pat-tern Department equipped with several dozen of CNC machining centers. Company has its own design office and laboratory. ZM offers wide range of castings and machined components of highest difficulty level and parameters. The company’s quality is proved with ISO 9001 and ISO/TS16949 certificates. ZAKŁAD METALURGICZNY “WSK RZESZÓW” Sp. z o.o. 35-021 RZESZÓW, UL. HETMAŃSKA 120, POLAND

Tel: +48 17 717 2800 E-mail: marketing@zmwskrz.com Web: www.zmwskrz.com

62 Industry Europe

R&D, sales and marketing but also rationalised its operating procedures and centralised its key support functions. This impetus was further enhanced in 2013 with a changed operating model and the appointment of a new Group Executive Committee. Constant innovation is at the heart of TitanX’s remarkable success story and its technological leadership is based upon the company’s passion for efficiency and care of the environment. It is well known that for many years the various ‘fluid loops’ have been designed independently, which has led to cooling systems that were not optimized, thus leading to system inefficiency and increased fuel consumption. With TitanX’s ‘Optimal Cooling’ solutions the company looks at the thermal management of the power-train as a whole, to create components that work together to optimise heat extraction. This advanced technology increases component durability whilst reducing the vehicle’s carbon footprint, the size of heat-exchange components and overall operating costs.


Nordström said, “Our main focus is on the development of advanced cooling systems for heavy and medium-duty trucks as well as for buses and diesel engines designed for the world’s power-producing utilities. Going forward our strategy is to grow globally with our key customer’s such as Daimler, Volvo and Scania and to consistently increase fuel efficiency by developing advanced engine and oil cooling systems to meet the growing demands for cleaner and leaner engines. Harmonisation in terms of environmental standards is taking place even in the emerging economies such as South America where legislation today is equal to ‘Euro 5’, whilst in China they are

already at ‘Euro 4’ stage. In Japan standards’ development is closer to the development of the NA legislation. Nordström added, “Innovation is a key driver for sales as is our ability to provide an unrivalled service for our customers. This has meant investing in new plants, close to our clients’ facilities in the world’s emerging markets. Today, given a normal market development, we anticipate growth of more than 40 per cent over the next three to four years and this will also give us a market share in the Western World (Europe, North and South America) of over 30 per cent. As a result of the world recession, operators have been unable to replace their ageing vehicles after the usual 5-6 years of service, which has resulted in a surge in demand for new vehicles as the world comes out of the longest recession in history. In addition, the development of the Asian truck markets create a demand for more advanced engine and oil cooling technologies. “The next step in emission regulations starting in North America and Europe from around 2020 will for the first time include targets on CO2-reductions which means a clear link to overall reduction of fuel consumption. This in its turn means increased demand for advanced heat exchange solutions as customers are seeking solutions for e.g. Waste Heat Recovery (WHR). Apart from application engineering, we are therefore also developing purpose-built systems and are

driving forward advanced engineering options to develop radical, new heat-exchanger solutions within e.g. the field of WHR.

On-going expansion programme In December 2013 TitanX made the strategic decision to expand its global industrial footprint to include China and Mexico and this decision was backed by a strong order book. The new state-of-the-art manufacturing facilities are scheduled to become fully operational by the second quarter of 2015. China is the world’s largest market and the new factory will provide attractive growth opportunities over the long term for TitanX. In North America the combination of the company’s new factory in Mexico and its existing plant in Jamestown, USA, adds further impetus to its growth potential by enabling TitanX to serve different commercial vehicle OEMs in the most efficient way. The future for TitanX looks positive with our order books looking very strong indeed. For example, we are ‘home-free’ when it comes to the advance orders for our new plants in China, Brazil and Mexico. Furthermore, we are attracting new business opportunities from the indigenous commercial vehicle manufacturers in these growing global markets. Long-term our efforts within Advanced n Engineering also look very promising”. For further details of TitanX’s innovative products and services visit: www.titanx.com Industry Europe 63


A TRADITION OF QUALITY Through a combination of continuous development, well-educated and skilled staff, the latest manufacturing technology, an extensive quality assurance system and a creative development team under a dynamic management, Eibenstock is a global leader in the field of highly specialised solutions for the construction market. Paul Snow speaks to Director of Sales and Marketing Hendrick Kreutel to find out more.

64 Industry Europe


F

ounded in 1919 by Martin Hoennecke in Leipzig, Eibenstock is a German producer with a long tradition in the development and manufacture of highly specialised power tools for the industrial and trade market. The Sachsen-based manufacturer produces innovative and high quality products for the construction site and the industry – with the quality seal “Made In Germany” Eibenstock operates from a plant in Eibenstock, Sachsen – a region with a century-old tradition of engineering. Since 1939 over €20 Million has been invested into this production plant, giving Eibenstock unrivalled production capacities. Over 90 per cent of our components are produced in-house.” Mr Kreutel says. The high percentage of components produced by Eibenstock are a large part of the reason why clients choose the company. Through providing highly specialised tools for niche

market applications, rather than mass production, the company assures its clients high quality machines for the solution of any construction problem. The experience and knowledge of decades of development and construction work is evident in all of Eibenstock’s tools. The practical approach to the construction site and the user is always taken into account – and professionals appreciate the quality and robustness of the products in everyday use. Through these sophisticated solutions the company not only enables otherwise impossible tasks but also saves time and costs for the user.

Wide range With diamond core drilling systems, mixing technology and numerous machines for refurbishment/renovation, Eibenstock offers solutions for a wide range of users. “Our core products belong to our mixing technol-

ogy range – this is our core competence and one that we aim for a position of market leadership with” Mr Kreutel tells me. The current product range includes manual drills, diamond core drills, drill rigs, stirrers, wall chasers, concrete grinders, scouring machines, diamond saws, polishers, calenders, dry-wall sanders, dry-wall screwdrivers, smoothing machines for plaster and insulating boards, special power tools and drive motors. “One of our most exciting new products is the EDB 480” states Mr Kreutel. With its robust ridged sword, the EDB 480 enables precise cutting in even the hardest of applications. The most powerful all-rounder in its class thanks to a rugged 1800W motor, this machine is specially designed for cutting hard vertically perforated brick, aerated concrete, plastic, wood and insulation materials. Two blades working in opposite orientations ensure the elimination of kickback and an

Industry Europe 65


in-built blower function keeps dust away from the user while also protecting the engine and transmission from dirt. All this makes the EDB 480 a fast and flexible tool for the construction market under heavy-duty conditions.

New investments As well as a plant in India, Eibenstock has also just finished a new hall for the production of motors. “Together with our investments in the newest technology (for example CNC milling) we ensure we remain up to date with the latest technological advances” Mr Kreutel explains. Additionally, in 2012 the BadenWürttemberg based Dr. Bender GbmH was aquired; ensuring that Eibenstock will expand and develop future-orientated technology in the high frequency-engine sector. Eibenstock has undergone many investments to engine and gear construction, in house foundry and hardening plant, steel part manufacturing, logsitics, assembly, CAD-workstations and powerful officecommunication systems in the last years. Modern CAD-systems and cross linked

66 Industry Europe

CNC-machining centers enable new ideas to be transformed into innovative products by a creative development staff in the shortest time possible. The company is able to react quickly and flexibly to trends and new developments thanks to a huge vertical range of manufacture; enabling direct influence on product quality.

A global market “One of our main markets geographically is Europe, including Germany”, Mr Kreutel explains. “However we are now active in over 60 countries – we supply to North America, and are expanding our market in India. We also supply to Asia and South America and are excited to see the growth in these regions”. “There is a certain dependence on the construction market for growth. Of course in Europe and North America we have great prospects in the future.” Mr Kreutel tells me. The company has seen an above-average growth over recent years thanks to its innovating and future-orientated philosophy: “We are always looking to develop our brand. We cur-

rently release two products every year and aim to continue this in the future to ensure stable, consistent growth. “Our core competence lies in providing solutions to problems. Whether construction, renovation or reconstruction, we aim to progress our products with each application. We focus on new challenges and how we can implement our machines to provide solutions for our consumers.” Mr Kreutel explains: “Construction workers come into contact with new challenges each day - and through the use of our machines as effective problem solvers we will ensure the healthy, step-by-step growth of n our current business.”


A RAILWAY INDUSTRY FIRST Swedish company Abetong has a global reputation for its production and development of prefabricated concrete products. Industry Europe looks at the reasons behind its success and at how its dedication to innovation allows it to remain at the forefront of this sector.

AS

one of Sweden’s leading manufacturers in the production and development of prefabricated concrete products, Abetong’s annual turnover is around 930 MSEK and it employs over 530 people. It is a member of HeidelbergCement Northern Europe, a global leader in aggregates and a prominent player in the fields of cement, concrete and other downstream activities with nearly 60,000 employees in 2600 locations in over 50 countries.

Abetong is comprised of four strong divisions, with 14 sales units throughout Sweden. The divisions focus on tanks, rail and railroad, additional products and special concrete.

Unique solution for rail Last year (2013) the company launched a unique new product focused on both the environment and the railway industry. A timber replacement sleeper that is made of pre-stressed concrete, the Tuned Concrete


Sleeper, or TCS, took many years of expert development. A company spokesperson explained: “Our Tuned Concrete Sleeper has been uniquely tuned to mimic the properties of a timber sleeper, but it is made of pre-stressed concrete. This gives it the performance of a timber sleeper but without the associated issues. It is perfectly suited to spot sleeper replacement on the type of ageing railway lines that keep some communities connected but are not well-maintained.” The key aspect of the Abetong TCS is the tuning process. The pre-stressed concrete sleeper is tuned using the patent-pending tuning machine to ensure there are no issues with common problems such as an unstable

68 Industry Europe

track or when the train changes speed. Whilst there are almost no new railways lines built using timber sleepers, there are many railways particularly in Sweden and Europe that are still running on these hardto-maintain timber sleepers. Creating a huge maintenance issue that is costly and logistically difficult, the timber sleeper lines are an integral part of many rural communities. “There are often political issues for wanting to keep costs down on rural railway lines, but for the people in these communities the railways are a vital lifeline. Also, these lines are often used as secondary lines for transporting goods and people to the mainlines. So they need to be maintained but at an affordable

price. Until now, there has been no alternative for replacing damaged timber sleepers. But thanks to the TCS we can meet this demand.”

Cost effective The issue with traditional timber sleepers is that the ballast under the sleepers often becomes damaged over time, but it is not strong enough to be replaced with the new type of sleepers used in modern railway construction. So when the ballast needs replacing at huge cost, the suggestion of closing the track is often raised – but now Abetong’s TCS can be employed instead. With a key benefit that the TCS can be used for ‘spot sleeper replacement’, randomly mixed in with good


timber sleepers that do not need replacing, the issues of cost versus communities wanting to keep their active railway are addressed. Our interviewee explained how the demand for the TCS is very likely to dramatically increase in the near future: “There are changes to the European railway industry that will rapidly boost the demand for our Tuned Concrete Sleeper as there is no alternative. This is why we are in the process of obtaining two patents for it – for the features

of the product and for the tuning machine – in order to protect our innovation.” The changes to the European railway industry will soon see a ban on using poisonous creosote in railway sleepers. With all traditional timber sleepers currently coated in creosote, Abetong’s timber replacement sleeper is the only alternative for these applications. The ban has been designed in such a way that permission can be granted to continue with creosoted sleepers if there is

no suitable alternative, so Abetong has been working hard to inform the relevant players in the European railway industry that there is a suitable alternative. The TCS is an effective alternative that is safe and easy to install. In Spring this year (2014) Abetong completed the increase in its production capacity in order to be prepared for the expected upturn in demand. Its priority is to boost the awareness of its ecologically-responsible timber replacement sleeper to railway industries worldwide. n


THE APPLIANCE

Bjerne S. Clausen, President and CEO of Haldor Topsoe

OF SCIENCE Catalysts make chemical reactions much faster. Haldor Topsoe’s catalytic technology is accelerating change all over the modern world. Peter Mercer reports.

IN

1940 Dr Haldor Topsoe, a Danish engineer and research scientist who had worked with Niels Bohr, set up his own company to develop heterogeneous catalysts. From the beginning the idea that drove the company was to build a bridge between academic research in chemistry and the practical needs of industry and, indeed, of the people of the world. Catalysis is a process that accelerates a chemical reaction that would otherwise be uselessly slow. It makes it possible to turn a wide range of resources into products that are useful, indeed often essential, to our lives. Ammonia, for example, is a key ingredient in chemical fertilisers and catalysts are indispensable to its production on a practicable scale. A typical ammonia plant will use catalysts to produce around 2,000 tons a day; without catalysts, it would take about a million days to produce the same amount. Topsoe’s catalysts have played a central role not only in hugely expanding the global production of ammonia for fertilisers but also in driving the ‘green revolution’ in the 1960s, which made possible the tripling of crop production in many developing countries and enabled them to feed their growing populations. “Haldor Topsoe himself was a key player in establishing a modern fertiliser industry in India and Bangladesh, helping these countries to build their own ammonia plants rather than rely on expensive imports,” explains Mads Cordt Gyldenkaerne, Topsoe Communications and Marketing Manager. “It was in recognition of such pioneering work that Dr Topsoe was awarded the Hoover Medial in 1991 for ‘his technical abilities and entrepreneurship, and his involvement with leaders in third world countries, which have significantly contributed to an increase in world food production through technology transfer’.” 70 Industry Europe

Today, of course, ammonia is used not only in fertilisers but to make everything from paper and plastic to vitamins and cosmetics. And catalysis itself is involved in the production of 90 per cent of commercial products. Catalysts are essential in reducing air pollution from industrial plants and road vehicles and in producing more efficient and cleaner fuels and the basic chemicals that are indispensable to modern industry. And in serving all of these needs Topsoe’s strategy remains that of marrying fundamental research to practical implementation, maintaining a synergy between R&D, process design, engineering, production and sales. That is why, for example, it acquired, in 1999, the world’s first specially manufactured electron microscope to perform in-situ catalyst studies – an unprecedented investment for a private business. In 2014 Haldor Topsoe A/S is a DKK 5.3bn privately-held company with production plants in Frederikssund, 40km from Copenhagen, and in Houston, Texas. The Danish plant employs 650 people and its 20 production lines run 24/7. The US plant was built in 1971 and employs 150 people on four production lines. The company develops and manufactures its catalysts through three main business units: Environmental, Refinery and Chemical.

Environmental solutions All over the world, Topsoe catalysts are making a major contribution to reducing air pollution. In fact the company’s first major product, the VK catalyst, which was marketed in 1944 to create sulphuric acid for use in fertilisers, is now playing a key role in solving the problem of industrial sulphur emissions. The VK catalyst portfolio has been expanded for use in a Topsoe process called Wet Gas Sulphuric Acid (WSA) which not only desulphurises toxic

gases but also converts the sulphur waste into sulphuric acid, one of the most widely used bulk chemicals in the world. Topsoe’s WSA technology is today used in steel plants, in the mining industry and in processes where coal is gasified and converted into petrochemical products. Oil refineries too use WSA technology to create commercial quality sulphuric acid from the sulphur that is removed from transportation fuels. In the automotive sector, the focus of Topsoe’s Environmental Business Unit is on treating the engine exhaust from heavy diesel vehicles. Devices using Topsoe’s SCR DeNOx catalysts are installed in the vehicle’s silencer to remove dangerous nitrogen oxides (NOx) as well as particulates and hydrocarbons. In fact, since these devices came on to the market in 2006, more than 250,000 heavy trucks and buses worldwide have been equipped with Topsoe’s SCR catalysts. The SCR DeNOx catalysts were, in fact, originally developed to treat flue gas pollution from power plants and their wide use has helped to ensure that today most of the emissions from Western European and US power plant chimneys are not dangerous nitrogen oxides but water vapour and harmless elemental nitrogen. Topsoe is also the market leader in catalytic NOx removal for gas-fired power plants, which are becoming an increasingly popular alternative to coal fired plants, particularly in the US, where shale gas is transforming the energy market. Natural gas plants create no sulphur pollution but there is still the problem of NOx emissions, as there is with all types of combustion. Peter Thoft Knudsen, Group Vice President of the Environmental Business Unit, says that growth in the emerging economies, coupled with tighter clean air legislation worldwide, will continue to fuel


Industry Europe 71


the growth of this area of Topsoe’s business. “In recent years, many countries with strong growth rates have become increasingly interested in pollution control,” he says. “In fact, more than 50 per cent of the WSA plants that we have sold around the world have gone to China and while Europe is currently our most important automotive market, China has by far the largest potential.” Just how seriously Haldor Topsoe is taking this potential is evident in its on-going construction of an automotive catalyst plant

in Tianjin. Capital investment in the plant will total DKK 900m and high-volume production for the Chinese market will begin in early 2015. The plant will manufacture catalysts for the removal of NOx from diesel engines used in light commercial vehicles, buses and trucks. “Delivering efficient automotive catalysts is only part of our business in China,” says Bjerne S. Clausen, President and CEO of Haldor Topsoe. “We also offer larger, stationary catalytic solutions for cleaning off-gases from a wide range of industrial

sources, including fossil-fuel and biomassfired utility boilers, gas turbines, oil refining and chemical plants. These technologies have proven their worth for years in Europe and North America and hold huge potential in terms of curbing air pollution in China.”

Making cleaner fuels Topsoe’s Refinery Business Unit is focused on helping the worldwide oil refining industry to meet the ever-increasing demand for cleaner fuels. Most of its sales, which account for around a third of the company’s total revenue, are of hydro-processing catalysts involved in the production of diesel fuels, high-quality jet fuel, petrol and other products. The foundation of this business is the supply of catalysts and technology for the production of ultra-low sulphur diesel (ULSD), the fuel that has in recent years replaced conventional diesel throughout most of Europe and North America. Topsoe is the market leader in this technology – more than 40 per cent of all the ULSD produced in the world is processed using its catalysts, helping to make the fuel that goes into an engine as environmentally-friendly as the exhaust gases that come out. And, this year, Topsoe has invested more than DKK 300m in a new production unit at Frederikssund that will focus on the manufacture of catalysts for the production of ultra-low sulphur diesel. However the increasing worldwide demand for cleaner fuels comes at a time


when the global supply of light and easilyrefined crude oil is diminishing; much of the crude that is pumped up today is heavy and contains increasing amounts of sulphur. To meet the need to upgrade this oil Topsoe has developed a catalytic process called hydrocracking, which breaks up the large hydrocarbon molecules of heavy oil into smaller ones, producing oil that can be more easily refined into light products such as diesel fuel. To complement this process Topsoe has also developed a catalyst series called HyBRIM which is used to reduce the sulphur and the nitrogen content of the heavy oil before it is hydrocracked. This pretreatment not only purifies the product but also enhances the effectiveness of the costly hydrocracking catalysts. As in its Environmental business, Topsoe sees very important growth opportunities for its refinery solutions in emerging economies, where governments are increasingly recognising the seriousness of their pollution problems and are willing to adopt the more costly refining technologies that have become commonplace in Europe and North America.

Synthesis gas The core activity of Topsoe’s Chemical Business Unit is the development and production of the catalysts and technologies needed to create four basic products: hydrogen, ammonia, chemicals such as

methanol and formaldehyde and synthesis gas. It is in the last area, the creation of synthesis gas, that much of the CBU’s current development and growth is taking place. Synthesis gas is an intermediate product that can be created from feedstocks such as natural gas, biomass, petcoke and coal and can then be used to make other basic products such as hydrogen, ammonia and methanol. But, crucially, it can also be used to make substitute natural gas (SNG) which can take the place of coal in factories, power

plants and homes. In 2013 a Chinese SNG plant that Topsoe designed went on-stream in the north-west province of Xinjiang. This plant, the largest of its kind in the world, uses Topsoe catalysts and a Topsoe technology called TREMP to transform coal-derived synthesis gas into SNG. For a country like China, with huge coal reserves but also with huge pollution problems in its cities, the advantages of being able to transform coal into a clean fuel that can be easily transported thousands of miles by pipeline are obvious.


Another growth area for the Chemicals Business Unit is the use of synthesis gas for the production of gas to liquid (GTL) fuels. Since in this process the synthesis gas is derived from natural gas, it follows that this industry is emerging in parts of the world where natural gas is plentiful and relatively cheap, such as Qatar, Nigeria, Russia, Uzbekistan and, since the shale gas revolution, the US. As part of a global GTL partnership with the South African energy company Sasol, Topsoe’s Chemical Business Unit provides catalysts and proprietary synthesis gas technologies for the transformation of natural gas into a unique synthesis gas. Sasol then converts the synthesis gas into a sulphur-free fuel called GTL diesel.

New horizons The mission of Topsoe’s New Business Unit is to explore and develop new ideas and new technologies that will drive the company’s future. In fact, Topsoe is looking to the Unit to play a major role in its corporate ’30 in 25’ strategy (that is, to increase revenue to DKK 30bn by 2015). At the moment some 40 projects and ideas are circulating within the company. One early phase project is called Battery Materials and is focused on developing new cathode materials that would enable lithiumion batteries in electric and hybrid vehicles to be recharged up to 80 per cent in ten minutes and give the vehicle a range of 500 km before

recharging – a huge improvement on current performance. Topsoe has no doubt that the cathode market is going to be huge and that it is in a position to become a leading player. In February of this year Topsoe also expanded its technology options in battery materials development by acquiring 18 per cent of UK-based Faradion Ltd, a company that is working on sodium-ion battery technology. Replacing the lithium in batteries with sodium is very promising since sodium is more commonly available, more sustainable and much less expensive. Another new project is centred on a catalytic process, called TIGAS, to create synthetic petrol from just about any carbonbased material. This process in now ready for commercialisation and, in fact, Topsoe and three industrial partners have already executed a large-scale demonstration project near Chicago to produce synthetic petrol from wood chips. And, with the exploitation of massive reserves of shale gas in the US, there is now even greater potential in making synthetic petrol from natural gas. Topsoe believes that as oil prices continue to rise, TIGAS can make a very significant contribution to the realisation of the ’30 in 25’ strategy. Looking even further to the future, Topsoe has set up a subsidiary, Topsoe Fuel Cell A/S, where 100 employees are working on the development of a type of fuel cell called a high-temperature solid oxide fuel

cell (SOFC). R&D is focused on the core of SOFC technology – a series of very thin ceramic cells that make up the ‘stack’ where electricity is produced through the electrochemical reaction across the cell between hydrogen in the fuel and the oxygen in the atmosphere. An interesting feature of SOFC technology is that it integrates well with wind and solar energy, as it can quickly ramp up and down to compensate for the inevitable output fluctuations of wind and solar systems. It is also reversible – electricity, from renewable generators producing excess power, can be combined with water to produce hydrogen fuel, effectively ‘storing’ the excess electricity for use when production is low. As Lars Martiny, CEO of Topsoe Fuel Cell, says, “SOFC technology can build a bridge to a future in which renewable energy is a stable, practical alternative to the energy n infrastructure we have today.”


EXPANDING HORIZONS Poland’s Polwax is already the country’s largest producer of paraffin and paraffin derivatives. Now it has set its sights on the European market for paraffin and waxes for industry. Peter Mercer reports.

P

olwax is Poland’s leading producer of paraffin, candles, waxes and speciality paraffin compositions and one of the largest companies in the industry in Europe. It was established in its current form in 2012 when Krokus Private Equity acquired a majority holding In Lotos Parafiny from Poland’s Lotos Group and, together with the management, set up the new company under the Polwax name. Headquartered in Jaslo, in southeastern Poland, and with a second production plant at Czechowice-Dziedzice, Polwax today produces a wide range of standard and low-oil paraffins, waxes and ceresin, candles and grave lights as well as specially developed

paraffin products for the paper, food, rubber and packaging industries and for agriculture. Polwax’s standard paraffin (with an oil content of up to 1.1 per cent) is a basic raw material for candles and an essential feedstock for the paint, textiles and paper industries. Its low oil paraffin (with an oil content not exceeding 0.5 per cent) is used to produce high-quality candles and for the manufacture of impregnating and protective products used in the chemical industry and in other industries. Like standard paraffin is it also widely used in the paint, paper and textile industries. The company’s waxes and ceresin products are used by many industries, including

the dairy industry, for cheese coatings, the poultry industry, for de-feathering and the food industry, for paper packaging that comes into contact with food products. Industrial applications of Polwax paraffins include wood preservation and kindling production and a new highly specialised product, WOSKOP, has been designed specifically for the rubber industry where it is used in the manufacture of tyres to help to resist the degradation effects of ozone etc. The company’s Agrowax is used in the agricultural industry as an anti-caking agent to prevent lumping of fertiliser granules and its Ceresine and green wax protects seedlings against moisture loss.


Modernising production Polwax’s two production facilities specialise in different product areas. The Jaslo plant is equipped with a complete line for the production of standard paraffin, including the processes of deoiling, refining and deodorising; it also produces high-volume products such as paraffins for grave lights and for emulsions. The Czechowice-Dziedzice plant is focused on production of a wide range of low and midvolume products, including industrial waxes. These, in particular, are finding more and more customers not only in Poland but also in many other European countries. The CzechowiceDziedzice plant also incorporates a facility specifically for the production of anti-caking agents. A key advantage of this plant in driving Polwax’s exports is its strategically convenient location near the A1 (north-south) and A4 (west-east) motorways and the E65 rail line. Investment in the latest production technology is a current priority for Polwax. Its largest recent investment was made in 2013 when a new Sulzer paraffin deoiling plant came into operation at its Jaslo facility. This replaced

76 Industry Europe

production from two old crystallization units. The new crystallizer produces paraffins with significantly better performance. The construction of the new plant took only six months. “The Sulzer deoiling plant has been one of our biggest investments since privatization two years ago. This installation uses the latest technology and provides a huge advance on what we had before”, says Jacek Stelmach, Polwax Vice President. “It enables us to significantly increase the speed and the efficiency of the production process and, at the same time, reduce the discharge of industrial waste. It came into full operation only a few months ago but it is already working at its full scheduled capacity. “We are also undertaking major investments at our Czechowice-Dziedzice plant. A new line for blending low-volume industrial waxes is at an advanced stage of construction and will be completed when a pastillizer from Sweden’s Sandvik is installed. This new line will enable Polwax to significantly expand the sales of its advanced products for industrial applications.”

Strategic plans Currently some 60 per cent of Polwax’s total production is of paraffin for candles and gravelights, mainly for the Polish market. “However our strategic plan is to change the balance of our production by developing more and more specialised paraffin and wax products for the industrial market,” explains Commercial Director Jacek Budzowski. “We are focusing in particular on products for the wood industry, on the rubber industry – that protect tyres against the aging effect of ozone – and on the agricultural industry, with waxes used in the production of fertiliser. A crucial benefit to us from this diversification of our product range is that it makes us much less exposed to seasonal fluctuations in demand.” Increasing the share of production going to export markets is also a crucial element in Polwax’s growth strategy. “Our number one export market is Germany, which currently accounts for about half of our total nondomestic sales, and Hungary and the Netherlands are also important markets for us,” says Mr Budzowski. “Expanding our product range,


particularly for industrial applications, is the key to developing our export trade. We are welladvanced in the development of specialised products for industrial customers and our aim is to be recognised as a major supplier to the industrial market at the European level.” Among the most interesting of these new industrial products is WOSKOP, a wax that is used in tyre production to create a physical barrier between the tyre surface and the atmosphere to prevent drying and cracking. “This is a very promising new development for us but we are not yet in a position to fully exploit it since the demand from the tyre industry is much higher than we can currently meet,” says Director of Development Izabela Robak. “We have also begun production of new Hot Melt waxes which work to control the viscosity of adhesives in many industrial applications, including paper, wood and packaging. Our new investment at Czechowice-Dziedzice now allows us to produce a range of multi-component specialised mixtures that play a critical role in lamination and adhesive processes. Our new ALPACKWAX Hot-Melt product, for example, meets all the requirements for use in laminated packaging for food products. We see very interesting market possibilities in these lowvolume special wax blends.”

“Polwax has also developed a wide range of products for agricultural applications,” adds Ms Robak. “Our special green wax is proving very popular for spraying on seedlings to protect them against loss of moisture. We currently produce around 100 tonnes of this product per month and it is widely used in Italy, for example, for protecting grapes, and in Poland itself, often for protecting roses.”

Realising the dream All of these developments are part of Polwax’s drive since its privatisation to establish itself as a modern, innovative manufacturer of industrial paraffin products in what remains a highly competitive market. “We are always thinking about our future, looking for new ideas that will secure our place in the European paraffin market,” says Polwax President Dominik Tomczyk. “At the corporate level we are also

considering our future options. It is likely that our financial partner, Krokus Private Equity, will look for an exit in a few years’ time and that present us with some alternative scenarios. We might decide to float the company on the Warsaw Stock Exchange or we might look for another financial partner. But, whatever the outcome, the priority remains the same: to continue to grow the company, perhaps by more investment in new facilities and perhaps through strategic acquisitions – I can say that we are already aware of several interesting possibilities in Europe. “All of these things require time and patience but our management team is united in their determination to establish Polwax as a leader in industry-specific paraffin products. That has been our ambition – our dream, if you like - since we were privatised and that is n what we will achieve.”


KEEPING IT GREEN 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. Industry Europe looks at the company’s operations.

78 Industry Europe


F

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.”

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 to 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 can 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 more than 20 years – very few companies in our field can even get close to that.”

Industry Europe 79


Your professional partner in blow moulded packaging for any purpose whatsoever. Our many years’ experience and deep technical insight make us the perfect choice no matter whether you are looking for specialised custom-designed packaging or standard solutions.

www.schela.dk


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

Bollerup Jensen A/S Bollerup Jensen A/S develops and produces detergents and cleaning products as well as technical products such as sodium and potassium water glass. The products are traded on national and international markets. The development and production of the products primarily takes place on the basis of customer inquiries and in this regard, Bollerup Jensen informs the customers about the environmental aspects in relation to the production and application of these products. In light of the technical development, the technical capacity and the economic consequences, Bollerup Jensen A/S will commit to an effort to minimize the environmental impacts from the production on a continual basis. This entails everything from a reduction in water and energy use to a high degree of recycling. Residual products from the production, packaging and storage that cannot be recycled internally at Bollerup-Jensen A/S will be further processed by companies that are authorized to do so.

Industry Europe 81


82 Industry Europe


SUSTAINING GROWTH Tiszakécske in Hungary is home to Andritz Kft, a world-class factory that specializes in producing components for the electrical power industry. In recent years the company has invested, improved, refined and developed its operations and products to maintain and build on its reputation as Edina Beale discovers.

A

ndritz Kft became part of the Andritz Group based in Graz, Austria, in 2007. Since the takeover, the Hungarian subsidiary has developed to be a vital member of the globally operating Andritz group. The group is a leading producer of plant equipment, and services for hydropower stations, steel and metalworking industries and the pulp and paper industry; but also engages in a number of other activities including the development of equipment used to produce energy from renewable sources. Since 2011 Andritz Kft has maintained an ongoing program to develop its products and increase its staff levels whilst maintaining its reputation for quality and innovation. In addition the company has made considerable investments in new equipment to support these objectives including a new drilling and milling

machine, valued at 3 million Euro, with dimensions of 24m x 6m, which is unique in Hungary and demonstrates the company’s determination to continue to meet its customers high expectations. A new rolling machine has also been added to the inventory at a cost of 1.5 million Euro. The company has a turnover of 33 million Euro per annum which is an increase on the 30 million Euro turnover in 2011. Where many companies have been losing staff over recent years, Andritz Kft has been taking on new employees to meet the increasing demands of the industries it serves. The increase in staff numbers and new equipment has meant that space was at a premium. The company has addressed this problem by building a new, modern office

block, that provides pleasant office accommodation for 100 staff and shower and locker facilities for an additional 400 workers. Mr Károly Mezei, the managing director of Andritz Kft, has firm views on why the company holds its current position and how they have managed to expand whilst maintaining the highest levels of quality. “We have no rivals in Hungary but the key to maintaining our competence is to make continuous investments to improve our technology and to extend our product profile as well as providing advanced specialist training for our staff.”

New Products This philosophy of highly trained, professional staff, combined with technological know how and investment has led to the development of

Industry Europe 83


new products and improvements to existing product lines. In 2011 the Yankee Dryer Cylinder with welded structures was state of the art, new technology. Three years on and still only the Hungarian Andritz manufacturing plant is capable of producing this specialist equipment. In recent times the company has also developed a number of new and exciting products. The Hungarian factory now offers

a wider range of water generators and their component parts. The company has also delivered a 12-meter dimension housing for generators. Other achievements include developing the field of housing generators and the manufacture of new gas cooled GE generators housings. The company has well established trading partners and exports all of its goods. Machin-

ery and components for the hydroelectric and paper industries still dominate output. Whilst most products are exported to Austria, Finland, Italy, Germany and Switzerland the company is now gaining a worldwide footprint through its products for GE. Building on its recent success the company is seeking to introduce additional specialist equipment including a Vertical Turning


and Milling machine with a 6 meter diameter and a 4 meter height processing ability. Andritz Kft has learnt from previous experience and understands that along with new technology and machinery there is a need to develop the company infrastructure. Constantly reviewing the infrastructure, identifying areas where there is room for improvement and ensuring that the business is in a robust position to meet the stringent requirements of its customers are key components of its success.

Boosting output Mr Károly Mezei is clear about the future. “Our short term objective is to meet the demands of the Andritz Group by supplying our products for them and to achieve 500.000 – 600,000 hour per year productivity. On the long term our goal is to increase this rate to 800,000 hours

per year. However, this can only be achieved by continuous staff training and development.” What is clear is that Andritz Kft has taken the decision to continue to explore new markets and develop new products that meet customers needs and expectations. The company also understands the need to develop professional and highly trained staff to meet the challenges of successfully integrating new equipment and technologies. All this is supported by a flexible approach to the existing infrastructure thus ensuring that all new measures are able to be incorporated, quickly, efficiently and reliably. Andritz Kft has established itself as a leading supplier of quality goods to the world market. The company’s ambitious plans to increase productivity and meet the demands of the Andritz Group clearly demonstrates the commitment of Andritz Kft to continued success. n

Szolnok, Tiszakécske, Törökszantmiklós Grinding, drilling and dressing tools.

Email: info@valido.hu | www.valido.hu

www.tyrolit.com One of the world’s largest producers of grinding, cutting, sawing, drilling and dressing tools as well as a provider of tools and machines. Services and Industries: • metal / precision • construction • stone / ceramics / glass • trade

Iron-Fém Trade Ltd is predominantly engaged in supplying steel plates, however, we are also able to provide stainless steel products and non-ferrous metals at short notice. Our aim is to completely satisfy the needs of our customers and to meet their expectations. Even requests for extra sizes and unusual qualities are no problem. Our plant is situated in Dunakeszi; on a 13000 m2 area we constantly stock nearly 3000 tonnes of products. Drawn and stainless steel products are stored in our covered warehouse facilities. www.ironfem.hu

Plant address: 2120 Dunakeszi, Belterület 8029 hrsz. Headquarters address: 1044 Bp., Nagyszombati u. 5. Postal address: 1550 Bp. Pf.:21 Adrienne Fejes: +36 209 669 614; ironfem@gmail.com Gergely Szabó: +36 209 669 394; gergely.szabo@ironfem.hu Phone: +36 27 351 747 Fax: +36 27 351 812


OUT IN FRONT


Buhler Motor is a pioneer in the design, manufacture and sale of mechatronic drive solutions. Industry Europe looks at its activities.

H

eadquartered in Nuremburg, 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 commutated (EC) brushless motors. Today the company’s expertise also extends beyond the motors themselves to the development and production of actuators via software and electronic controllers and injection moulded plastic parts, allowing the group to be a single source supplier for complete drive systems. “We operate within three key segments,” says a company spokesperson. “These are Automotive, Industrial and Healthcare. My area, the Industrial market, includes Transport and Aviation, as well as Agriculture and Building; all of these segments are global.”

Within these three major divisions, products fall into three sub groups, he continues. These may be defined as catalogue products, variations on those stock service products and customer-specific solutions.

Advances in aircraft technology Buhler Motor has been looking into the area of aircraft seat actuation systems for some time. The announcement of the introduction of its PAXCOM aircraft seat actuation system at last year’s Aircraft Interiors Expo (2013) represented a major step forward for the group. “PAXCOM was developed in collaboration with Dornier Technologie,” says the spokesperson. “It is an integrated movement system for business and first class areas within commercial aircraft and it includes a

motor that moves the seat, the passenger control unit, the interface for the user and the power supply, as well as all the cabling and harnessing that brings it all together. “These PAXCOM systems are our third generation of seat actuation systems but we have always developed them with a single customer in mind before.” PAXCOM is 20 per cent lighter than any other currently operating system and is 15 per cent smaller in size, ultimately representing long-term savings for the airline operator. Additional improvements also include a 30 per cent reduction in noise. All these additional benefits have been developed with cost reductions and no compromise on quality or functionality. “All of this has contributed to the excellent interest,” adds the spokesperson. “We


expect this to become a very significant part of what we can offer and to contribute to our growth as a company as we move forward.”

Investing in production 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. “At the moment we 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 we are ready to do this. In the future, we will continue to make significant investments and to ensure we dedicate resources to this area.”

Global growth 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 US 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 segments and have some exciting new products

in other areas within Industrial as well - in door automation within Building, 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.”


Aumann Aumann is known for innovative winding and automation technology. Over 70 years of experience make us a worldwide leading supplier in these domains. We develop complex manufacturing and assembly lines for the production of energy efficient electric motors, electromagnetic assemblies and mechatronic components for vehicle electrification. Your individual quality and performance goals are combined with progressive impulse and precision for your high level production.


FAST DELIVERY OF PCBS TS PCB, from Gdansk, is Poland’s most recognized manufacturer of printed circuit boards. It owns the biggest and the most sophisticated PCB production unit in the country.

90 Industry Europe


T

his year, TS PCB celebrates the 30th anniversary since it produced its first PCB. However, the TS PCB’s history goes back more than 50 years. “Our beginnings were rather modest. In the early 1960s we were only a group of students who knew each other from our studies in Gdansk,” explains Mr. Andrzej Walachowski, the TS PCB director. “We used to take every opportunity to earn some extra money. We worked in student cafeterias, in cleaning service companies, and at production plants of sparkling water and ties, but we wanted something more. Many of us were fascinated with electronics. Our studies at the Gdansk University of Technology made us believe that our future professional life would be equally exciting as our studies. Strongly believing in success based on the mixture of passion and knowledge, we established the PCB Plant in 1984, as a place where expertise in PCBs would be developed and the best PCBs would be made.”

In 1991 the joint stock company TechnoService was created - the PCB plant being a part of it.Two years later the company’s production facility was modernized and upgraded with the latest technology. In 1994 the new production unit for the electronic assembly was built, which enabled the company to produce whole modules. In 1998 Techno-Service became the first company in Poland to launch a metallization process based directly on graphite, which was a very eco-friendly method.

Wide range of customers Now Techno-Service Joint Stock Company is the mother company for a whole group consisting of eight companies. TS PCB is the one that is focused on the production of printed circuit boards. The company’s name is quite new, since it was introduced this year, exactly 30 years after the company’s first PCB had been produced. Previously the company was known under the Printed Circuit Boards Manufactory name.

TS PCB employs 100 people. According to Mr. Walachowski, its annual sales increase every year. Export share is estimated as more than 40 per cent. Germany, Lithuania, Switzerland, and Denmark are the company’s main foreign markets. Multilayer circuits and ALU metal-core PCBs are the most popular among foreign clients. The TS PCB offer is addressed to the wide scope of printed circuit boards’ users. They come from such various industries as: automotive, aviation, railway transport, telecommunication, consumer and commercial electronics. Army and health services are also important recipients of the company’s products.

Modern technology The company’s modern machine park is the key factor that guarantees the highest quality of the TS PCB products. The plant is located in Gdansk, Poland, where all the production processes take place. “We keep investing in our equipment, which helps us

Industry Europe 91


Printed Circuit Board Technology is a well-known and respected provider of technologies, materials and machinery for PCB production and SMT electronic assembly on the Polish market. PRINTED CIRCUIT BOARD TECHNOLOGY SP. Z O.O. ul. Królewiecka 221a, 82-300 Elblag Phone: 0048 55 236 1503 | Email: pcb@pro.onet.pl | www.pcbtechnology.pl

Printed Circuit Board Technology

KMT MacDermid Polska Sp. z o.o.

Printed Circuit Board Technology range includes products from such world renowned manufacturers as: Lackwerke Peters, Almit,

The Representative of MacDermid Inc. USA

P.S.E, Enthone, Excelltec. We also sell machines for the production and assembly of printed circuit boards, including reflow ovens, pickand place automatic, wave soldering, magazines for plates, pickling devices, photoresistor strippers, numeric drills,

kmtbiuro@macdermid.pl www.macdermid.pl

brushings, etc. RECOMMENDED PRODUCTS: We recommend the Lackwerke Peters latest products for coating: • Protective coatings that provide excellent protection against moisture and corrosion with very high climate resistance, fast drying. They satisfy the highest requirements and quality standards.

KMT MacDermid Since 1997 KMT MacDermid - Polska has been the official representative of MacDermid Inc. USA on the Polish market.

• casting resins for LED lighting/ letters profiles. • transparent mass, characterized by a very good climatic resistance and temperature stability.

We are a supplier of complete range of chemical products attributable to the printed circuit boards manufacture. In this field we have been cooperating with Techno Service SA. for many years.

We also offer organic materials and products for the SMT assembly, by Almit: • solder paste • solder wires • fluxes used in lead-free soldering processes • apparatus for applying paste onto screens and other materials.

Techno Service is the first Polish manufacturer of printed circuit boards, which has direct metallization lines (Black Hole) as well as it is the first plant, which introduced a galvanic line based on Pulse Plating. KMT MacDermid cooperates with several companies in Poland and has customers also in Russia, Belarus and Ukraine. 
In the interest of environment we collect consumed pickling bath from our customers to recycle it.


Rental and service of: • Protective clothing • Workwear • Entrance mats • Hygiene devices www.berendsen.pl

BERENDSEN Textile Service Renting and servicing the workwears and entrance mats are main

Each of them presents innovative technological solutions, such as

activities of BERENDSEN Textile Service. We provide customers

electronic control of garments. We apply our own, unique CL2000

with specialized clothing such as clothing washed in the clean-

production management system, supported by modern computer

room technology as well as basic workwear. We have 5 modern

system that controls the distribution of hundreds of thousands

laundries, which are also logistic and customer service centres.

clothing in each plant.

to increase our potential and technological capabilities. In 2014 alone we are about to invest €1 million in new technologies. We make PCBs using modern machines, most of them of German production. We are equipped with, among others, 13 drillers, 4 millers and 2 scoring machines. Recently we have invested in Acceler8 Tester, by Gardien. It has increased the efficiency of the Testing Section by 40 per cent. We are the only PCB producer in Poland to possess a screen printer – Sprint, by Orbotech. This machine allows us to print directly on the circuit, which eliminates the necessity of

using silkscreen technology. The device also significantly increases the speed of the printing process, as well as enabling numbering of the circuits. It is also worth mentioning our miller LM2 by Schmid. This extremely precise machine guarantees dimensional repeatability, which is crucial during the mounting processes. It is equipped in the CCD Camera Technology, which allows for a perfect drilling adjustment with respect to the inner layers. The next step towards improving the quality of multilayer circuits is a new etching machine - Schmoll type 24. It enables the trouble-free etching process, Industry Europe 93


in laminates even as thin as 0.1mm. It is very important in complex multilayer PCB projects”, explains Mr. Walachowski. In the field of chemicals TS-PCB cooperates closely with MacDermid, the well-known American company, which makes a range of specialty chemicals used in electronics (for etching and to imprint electrical patterns on circuit boards), graphic arts (for image transfers), metal and plastics finishing, and oil and gas exploration. MacDermid markets and produces more than 5,000 proprietary

94 Industry Europe

chemical compounds, used for cleaning, coating, electroplating, etching, mechanical galvanizing, and rust retarding applications.

Time is money However, even the latest technology is not enough to guarantee success in modern business. “We are aware that time is money, therefore our experience allows us to save the time and money of our customers. Our motto is: ‘We value both, time and money’. Therefore, our aim is to deliver products as

soon as our customers need them”, emphasizes Mr. Walachowski. The company has introduced two original products related to efficient customer service. One of them is the TSka prototype offer, where the customer can order even small quantities with no set-up costs. The other one, the 5LT service, means that production of single, double and multilayer PCBs with surface areas between 1-5m² can be carried out within only 5 working days. These two programs effectively save both customers’ time and money. n


After 60 years in business, Trench Austria GmbH has made a name for itself as a global leader in the niche area of high voltage reactor and coil products. Julia Snow spoke to Senior Executive Manager for Marketing and Sales, Klaus Pointner, to find out more about the Austrian and global operations of the group.

POWER PRODUCTS

T

he Trench Group is a world leader in power engineering and the design of specialised high voltage electrical products serving major customers in the utility and industrial markets around the globe. The product portfolio includes instrument transformers, bushings and coil products. Trench products are installed in every corner of the world and have proven their reliability over decades. The company prides itself on its extensive experience, a culture of innovation and a truly global perspective. As a member of the Siemens family the group is well represented throughout the world with four manufactur-

ing plants in North America, six manufacturing plants in Europe, two in Asia and one in South America. A worldwide sales network ensures efficient knowledgeable communications with all customers.

Austrian roots In 1954 Trench Austria GmbH was established by Alois Esslinger, an electrical engineer known beyond the borders of Austria. In 2014 the company therefore can celebrate 60 years of success in the chosen field of development and production of reactors for electrical power systems. While in the 1950s the use of glass fibre reinforced plastic

as part of the insulation of reactors was considered revolutionary, only ten years later Trench Austria gained significant reputation internationally when it started to supply high current and high voltage test reactors for international test laboratories like KEMA in Arnheim, the Netherlands, in the 1960s. Until 1990 the company traded under the name of Spezielektra Esslinger KG. Then the merger with Trench Electric Ltd Toronto/ Canada took place and marked the starting point for the formation of the Trench Group. Today 270 employees in the Trench Austria facility in Leonding near Linz exclusively produce coil products for medium and high


voltage electrical systems, both in dry type as well as oil immersed technology. “For air core – dry type reactors we have four production sites, one in Austria, one in Canada and one in Brazil and Shanghai each,” explains Mr Pointner. “While we currently do not have concrete plans for the expansion of these capacities the group has recently made a serious investment in our plant in Brazil. The site was moved from Contagem/Belo Horizonte to a new location near Sao Paulo and as part of this process the production and testing facilities were modernised and extended.” The Austrian plant is focused on healthy sustainable growth at the current location.

Technology leaders Trench Austria offers a broad product range and solutions covering various applications and voltage levels in order to meet its cus-

tomers’ expectations. The portfolio includes Air Core Reactors, Line Traps, Arc Suppression Coils, Earth Fault Compensation Controllers and Earth Fault Detection Devices, variable oil insulated Shunt Reactors, Dry Type Iron Core Reactors and Capacitor/Filter Protection Relays. “In Austria we have an even distribution of sales across air core – dry type reactors and oil immersed reactors,” says Mr Pointner. “This is a very favourable situation to be in, because the trends in both markets often move against each other, so that we have a higher demand for one just when the other one is dropping off and this evens out the fluctuations for us.” The most important product groups for Trench Austria are the HVDC air core – dry type reactors up to ultrahigh voltage levels and the earth fault protection systems, because the company holds a technol-


ogy leading position in both. There is much emphasis on research and product development activities, he adds: “Here in Linz we have a properly staffed Research and Development department – there is a regular exchange with the development partnership the group has going in Toronto, Canada. Our team here mainly works on material research, and on the reduction of noise emissions. Also, there are still more advances to be made in electronics, in particular in connection with the earth fault protection systems. ”

Solutions for energy networks “We work for all the big names in the utility supply field, with particularly high levels of activity at the moment in Germany and Scandinavia,” Mr Pointner says. “In terms of OEMs we have close working relationships with ABB, Alstom and of course other Siemens group members.” Trench Austria also works in a number of very strong development partnerships with suppliers, for example with a nearby manufacturer of wire cables in Linz, who is also active on a global basis. “In resins we work with Momentive and Huntsmen to name some of them, and when it comes to structures we have for example the PPC in Frauenthal/Austria (Seves Group) as well as the Reinhausen Power Composites (RPC) in Regensburg

Sales boost due to green energy Trench Austria is already active on a worldwide scale, with an export share of >95 per cent. The share of Austrian business is minimal: instead the company reports major growth of sales in Germany due to the ‘Energiewende’ – the government’s policy shift away from nuclear energy: “This creates considerable demand for HVDC that connects the offshore wind farms with the mainland and probably DC overlay networks to bring the renewable power to the load centres. But the boom in HVDC is not limited to Europe; we see this increase in demand worldwide, including the n BRIC countries and the Americas.”


COMMITTED TO INNOVATION After more than eighty years of activity the Angelantoni group ranks among the leading companies in the testing sector and has a unique offer with regard to renewable energy, particularly solar. Industry Europe speaks to Mr Margherita and Mr Scarponi - respectively General Manager and COO of its ATT divisionMr Cagiola -General Manager of ASE- and Ms Manni - R&D Engineer for the Cold Energy project (ACT division). Barbara Rossi reports.

A

ngelantoni was established in 1932 by 28 year-old Giuseppe Angelantoni as a refrigeration business. Over the years the business has grown and diversified and in 2012 a new organisational structure was created. Today Angelantoni Industrie is a group with three sub-holdings and one subsidiary. The three sub-holdings are Angelantoni Test Technologies (ATT), Angelantoni Life Science (ALS) and Angelantoni CleanTech (ACT), while the subsidiary is Archimede Solar Energy (ASE). While having Italian roots and being headquartered in the Perugia area of central Italy, the group has a truly international mindset, with eight production plants in Italy, Germany, France, India and China. Angelantoni

is characterised by a high level of innovation in the testing (ATT), biomedical (ALS), and clean technologies (ACT) sectors, as well as in the solar sector (ACT and ASE). ATT really stands out for its wide and comprehensive range of testing solutions, which are offered through its three brands: ACS (environmental test chambers), BIA (automotive and aerospace test benches) and TIRA (electrodynamic vibration test systems, material testing equipment, balancing machines and mechanical engineering). Research and collaboration with universities and research institutes feature highly and have resulted in various patents and extremely innovative products. ALS a is leader in the manufacture of biomedical equipment and medical devices

for healthcare and pharmaceutical sectors, as well for life science research Institutes. Besides a complete range of cold storage, laminar flow and infection control equipment, ALS offers to major hospitals and industries in the world a new generation of solutions which include software and robotic automation operating at extremely low temperature, setting a new standard in patient safety and traceability of biological samples in life science processes. It invests 10 per cent of its revenue in R&D, which has led to several international patents for unique products in Bloodbanking and Biobanking fields, like Hemosafe® and Smartfreezer®, the only available fully automated system to store and retrieve individual biological samples at cryogenic temperature (Liquid


Nitrogen vapor phase), preventing human mistakes in the identification and positioning of vials and offering the maximum level of traceability and sample protection.

Angelantoni CleanTech and Cold Energy ACT controls six companies operating in the renewable energy and energy efficiency sector (with a special focus on solar power) and, just like the rest of the group, these have a strong focus on R&D, having produced numerous registered patents over the years, offering innovation and collaborating with universities and research institutes. ACT has recently developed the Cold Energy project, based on an idea of Mr Maurizio Ascani, technical coordinator for the project. Agnese Manni, who follows the project alongside Mr Ascani, says, “Trying to explain this extremely complex project in simple terms, I would say that we have applied an automotive sector type turbo compressor (with cooling fluid) to a refrigeration system, so as to achieve energy savings of between 10-20 per cent (by recycling heat, transforming it and reusing the power to supply the refrigeration process). We have proven savings of 15 per cent, but we are extremely confident that with further optimisation we can reach 20 per cent. We have finance from the ministry of

the environment and at a very recent presentation there was a huge amount of interest in the project and its possible developments due to the economic and environmental benefits that it can offer to refrigeration systems. It can be applied to low temperature systems, such as those used in the chemical, food and pharmaceutical industries, but also in future it could be adapted and extended to medium temperature systems and the air conditioning sector. We have been greatly helped by having at our disposal the ATT know-how and facilities. We are working in partnership with Se.Te.L and Roma 3 University to further optimise Cold Energy, which started two years ago.

Archimede Solar Energy ASE is the world’s only manufacturer of commercially available receivers stable up to 550°C, for thermodynamic plants based on linear parabolic technology using molten salt as the heat transfer fluid. ASE manufactures its products at a recently developed plant based in Massa Martana (Perugia). Here there is also a demo plant using Molten Salt, which became operational in 2013. “We are now focused on the production of both receivers, for Molten Salt and Oil technology too. The receivers for DSG ( direct steam

generation) is under testing now. We started producing our receivers (through an ENEA licence) in 2008, using molten salts as the heat transfer fluid instead of diathermic oil. There is high demand for these products from the Gulf States (especially Saudi Arabia – where there is a plan for developing 26 GW of solar power technology by 2032), South Africa, India and China, as well as from Italy of course. Currently we are able to produce 75,000 receivers per year (equal to approximately 250MW) with the potential of doubling the production capacity, minor investment are required. The interest of Saudi Arabia is proven by the fact that a Saudi company – Fal Holding- is one of the partners with a share in Archimede, alongside the Angelantoni group and Japanese Chiyoda Corporation” Mr Cagiola explains. “This technology offers a number of advantages. First of all, thermodynamic solar technology is able to produce electric energy on demand, as the energy produced can be stored and then released at a later time (such as during the night). Furthermore, the use of molten salt in place of diathermic oil has a series of additional benefits, namely durability in time, no need for disposal, not being flammable and toxic. It allows a reduction of the initial system building


Specialists in Ultra High Vacuum: Furnaces, Brazings, Feedthroughs, Special systems V.L.T is a company offering products of high-technological content, which operates in the “High Vacuum and Ultra High Vacuum” sector and is specialised in High-Vacuum Brazing (welding) and the construction of U.H.V Furnaces. The company has been operating since 1986. BUSINESS SECTOR: Vacuum and related technologies. PRODUCTION: SYSTEMS; High Vacuum Furnaces, CVI/CVD Chemical Reactors, Special Systems. (For the construction of furnaces and reactors, VLT is equipped with a sophisticated calculation program determining the system dimensions).

Via Carlo Faina, 30 - Marsciano (Pg) • Production of moulds Tel.: 075.874.29.60 and equipment Fax.: 075.874.48.57 • Moulding and laser E-mail: info@usasrl.it processing 2D/3D Web: www.usasrl.it

• Tube laser • Mechanical manufacturing

STANDARD COMPONENTS; Electrical Feedthroughs, Ceramic Insulators, Oblos, Multipin Electrical Feedthroughs, Thermocouples etc. (produced with vacuum braze-welding technology). SPECIAL COMPONENTS; customised according to customers’ requirements (produced with vacuum braze-welding technology).

ROMANA AUTOMAZIONI WAS CREATED TO OPERATE IN THE INDUSTRIAL AUTOMATION WITH PARTICULAR ATTENTION ON THE SYSTEM INTEGRATION SOLUTIONS.

The company’s website www.vlt-srl.it is quite explanatory and provides an introductory overview of its work.

ALWAYS SEARCHING FOR INNOVATIVE SOLUTIONS, ROMANA AUTOMAZIONI CONTINUES ITS STEADY GROWTH ENSURING A PROACTIVE APPROACH WITH EXCELLENT RESULTS ON THE MARKET.

Via Variante di Cancelliera, 2 00040 Ariccia (RM) ITALY Phone: +39 06 9349711 Fax: +39 06 93497144 E-mail: info@romana.it

www.romana.it

ITS SPECIALIZATION IN “ASSEMBLY TECHNIQUES” ALLOW ROMANA AUTOMAZIONI TO STUDY, DEVELOP AND MANUFACTURE MODULAR SISTEMS WITH THE NEW “BOXLINE” GENERATION OF ALLUMINIUM PROFILES. THE HIGH FLEXIBILITY OF SUCH SYSTEMS AND SOLID EXPERTISE IN THIS FIELD ENABLED ROMANA AUTOMAZIONI TO ESTABLISH A SYNERGY WITH THE ANGELANTONI GROUP BY STUDYNG AND DEVELOPING TOGETHER SIGNIFICANTLY IMPROVED SYSTEMS AND STRUCTURES ROMANA AUTOMAZIONI PROVIDES HIGH FLEXIBILITY SOLUTIONS USING ITS KNOW-HOW IN COMPLIANCE WITH THE MARKET REQUIREMENTS.


costs. Archimede is continuously involved in research, aimed at improving product performance and developing new products fulfilling new market needs. A future ASE’starget is to extend it’s activity in order to develop and construct small commercial plants.”

ATT (Angelantoni Test Technologies) In 2013 the group’s turnover was €115 million, €70 million of which was generated by ATT and its subsidiaries. As well as manufacturing in Italy, France (BIA) and Germany (TIRA), ATT has set up two joint-ventures, in India and China respectively, countries in which it has been present for a number of years. “We are the single player with the broadest and most comprehensive product range in testing. Environmental test chambers generate 50 per cent of our turnover, with the rest equally split between test benches and shakers. Overall we rank at number six in the testing sector globally, but if we just consider environmental chambers we are in third place. We offer testing solutions for a number of sectors, mainly automotive and aerospace, as well as electronic (across a variety of industries). Our flagship products are our solutions for the aerospace sector, able to simulate the environment necessary to test satellite components, for instance. Our joint-venture in China (ATT Zundar) is of particular interest, because our partner (Zundar) has brought us

its expertise in automotive, while we contribute with our aerospace specialism” Mauro Margherita and Giacomo Scarponi explain. “Over the last few years we have experienced a remarkable growth trend, as companies have been investing in R&D during the economic downturn, thus requiring testing solutions. This is also one of the strengths of a diversified group such as Angelantoni, as different divisions compensate each other with regard to market trend variations. We have a high level of market penetration in Italy, especially for environmental test chambers. Other important geographical markets for our division are Germany, France, Japan, China, Russia and India, but we are present on many more markets. Because of our strong presence, the Italian market does not leave us with a huge scope for expansion, but we are expecting growth (although not as dramatic as the one of the last few years) in countries where we are already established, namely Russia and China, as well as Germany – a real focus market for us. We intend to extend our presence in Germany to all of our ATT products (currently our offer there is solely TIRA-based). Starting from the second half of 2015 we could start considering a possible US acquisition to enter a potentially very interesting market, which so far has been out of our reach, mainly due to currency exchange rate issues”.

In terms of segments the ATT division is further expanding in automotive, thanks to the expertise gained through the Chinese joint-venture. Importantly, in 2012 the Fondo Italiano di Investimento acquired a share in ATT (which is still controlled by the Angelantoni group). In terms of its turnover the ATT target is to reach €110 million by 2018 and interestingly a recent development has been that of the application of its technologies to a pilot nuclear fusion plant in France (Cadarache). The development of components for nuclear fusion power plants is a sector in which ATT is going to grow, thanks to its managerial and technical know-how. Suppliers are regarded as partners who play a fundamental role in the group’s success. The Angelantoni group has a solid supplier portfolio, which will be further expanded because in order to keep production capacity in line with growth demand it will have to outsource some non-critical processes to its suppliers. Mr Margherita and Mr Scarponi conclude by saying, “We are proud to be a manufacturing company. We strongly believe that our integrated production chain is a real added value and for this reason we will continue with targeted investments so as to make our operational organisation even more global and integrated. We really believe that this is n the way to win the market challenge.”


EVER SMARTER Industry Europe speaks to CPL Concordia again and learns of very interesting news from Mr Zocchi (Sales Director – Products, services and information technologies for natural gas) in terms of smart metering, wood gas cogeneration and a new US based joint-venture. Barbara Rossi reports.

102 Industry Europe


T

he CPL Concordia group, which last spoke to Industry Europe just over two years ago, was established in 1899 as a work production cooperative. In fact, the acronym which is part of its name bears exactly this meaning (which in Italian is ‘Cooperativa di Produzione Lavoro’). Over the many years of its existence its activities drastically evolved and expanded (initially it was focused on land reclamation, excavation, canal digging, embankment construction and laying out of roads), but it has remained true to its mission of generating real, safe work, which gives dignity to those who carry it out, while offering a reliable, consistent and professional service. Today CPL Concordia is involved in a wide range of activities, covering a variety of sectors including gas, power, photovoltaic, cogeneration, biogas and biomass, water and oil & gas services. Its offer of services includes natural gas distribution, devices and services; public lighting and facility management; energy cogeneration (heat and power) and tri-generation (heat, power and cooling); photovoltaic and biogas; gas

and district heating technological network construction and maintenance; water services and smart metering. The group is headquartered in the Modena area of northern Italy (the exact location is Concordia sulla Secchia, hence the other part of its name). It also has a number of operational sites located all over Italy, as well as in some foreign countries, where it carries out activities more closely linked to their geographical area, such as heating management, construction and technological network maintenance . The CPL Concordia cooperative group employs 1278 people and has 806 members. In 2012 it achieved a consolidated turnover of €411 million. It publishes an annual ‘social account’, 40 per cent of the electric power that it uses comes from renewable sources and has carried out 91 initiatives in favour of the community. It mainly operates in Italy, but is also active in Romania, Poland, Tunisia, Algeria, India and now the US. It has a representative office in Germany, through which it will further its development on Northern European markets.

Synfon, the US and smart meters. “A recent development has been that of Synfon, a high-efficiency and integrated plant for cogeneration from wood gas, which integrates the gas plant Spanner RE2. This system is designed and assembled by CPL Concordia and is able to produce, in a continuous process of synthesis, gas from the pyrolysis of wood biomass; it uses the gas to power a CHP plant for the production of electricity and heat. The CPL system has been optimised and tested to achieve the highest levels of energy efficiency, through a sophisticated calibration procedure and computerised management of the entire process. The strength of this product lies unquestionably in the housing that contains the system (CHP/gasifier/ dryer), which makes Synfon a “plug and play” product that, apart from being easy to install and handle, is totally unique in the market” Mr Zocchi explains. “Thanks to this system small mountain communities will be able to produce power and heat using waste wood”.

Industry Europe 103


Another interesting piece of news is the establishment of Manhattan based CPL Concordia US, with the merger of two major acquisitions. The new company, which employs 21 people, is jointly owned with US partner ‘G Three Partners’. “We already have contracts for the electrical services and metering of 40 tall buildings, the most important being the very famous Empire State Building. Forecasts for the U.S. market indicate a turnover of over $50 million over the next five years. CPL Concordia USA is now the sole shareholder of the New York Electric Maintenance & Data Corp. – an enterprise, formerly owned by G Three Partners, that specialises in system engineering and maintenance – and fully controls CPL Energy Management Service Group Inc., which was created following the acquisition of assets from Archangel Energy Group Inc. CPL EMS Group will handle metering, engineering and technical services, monitoring and fuel billing. This operation fits within the group’s framework of development and is of particular interest because the US market demand for alternative energy and associated services is growing at an extremely fast rate. Fur104 Industry Europe


thermore, finding industrial partners for our international activities, who can recognise the high level of technology and expertise that we can offer and which can be combined with their activities, is extremely important in conquering new markets.” Lastly, but equally importantly, Mr Zocchi talks about smart metering. This is an activity which is not new to CPL Concordia, but which the group has developed significantly in the last two years. “We are now offering a new residential natural gas smart meter with remote communication and management system, called EG4. It sets a new standard in natural gas metering and it has been especially developed to comply with the Italian Regulator Authority Standard 155/2008. It represents a perfect match between a traditional diaphragm mechanical meter and advanced electronic

high performance metering. Furthermore, this meter offers a range of additional features. While this product has been developed for the Italian market, in response to the previously mentioned standard, which follows the EU directive on energy efficiency and which will come into force next year, we also know that similar requirements will be gradually implemented in the UK, starting from 2015, and soon in France as well.” All of these innovations are part of the development strategy of the group, which involves growth within Europe and other markets. The goal set out by the recently approved industrial plan for 2012-2015 is that of continuing with the growth experienced in the last five years. One of its main goals is expansion in both established and n new foreign markets.

Bertani S.p.A distributes and sells leading brands of sanitary fittings, heating and air conditioning systems, energy saving and renewable energy systems, bathroom furniture, brassware, showers, Jacuzzis, wellness systems, sliding doors and systems, tiles and flooring both in Italy and abroad. The company was set up in 1916; over the years it has grown, acquiring new sites and widening the range of products and services on offer. Currently it has a turnover of over 50 million Euros, thanks to its 10 operational sites, 7,500sqm of showroom space, about 160 employees and over 200 distributed brands. Since its foundation Bertani S.p.A has been a family-run company.

Via Torricella, 40 42122 Reggio Emilia Tel: 0522 355511 Fax: 0522 556880 E-mail: informa@bertani.it Web: www.bertani.it

Among the companies belonging to the Bertani Group, there are Bertani London Ltd –which manages the London outlet – and Dubai-based Bertani Middle East Llc, which distributes the company’s products in the Gulf States.

Industry Europe 105


GLOBAL WARMING HAJDU Hajdúsági Ipari Zrt is a major manufacturer of hot water tanks and water heaters, with a long and distinguished history of meeting customers’ demands. Most recently the company has focused on producing more energy efficient product lines that are compatible with renewable energy sources whilst increasing its global footprint. Edina Beale reports.

Q

uality and reliability have always been key components of HAJDU products – one of Hungary’s most recognised brands. The company listens carefully to its customers and monitors market trends and changes. The most significant change in the past ten years has been the demand for cleaner, more energy efficient devices and the use of renewable energy – challenges that the company has met head-on. István Novotni, managing director of HAJDU Hajdúsági Ipari Zrt, explains how the company has maintained its position, despite difficult times. “In the past few years we have been able to maintain our market leading position in Hungary for our traditional products. The recession in Europe has actually helped to strengthen strong brands and we have experienced a continuous increase in the field of renewable energy products, thanks to the service we provide for our customers. From technical assess-

106 Industry Europe

ment to design, planning and implementation we provide a full service including repair and maintenance.”

Designing the future The current and future direction of Hajdu’s product development is strongly affected by recent EU legislation to meet environmental requirements when designing and manufacturing hot water tanks and water heaters. The European Union’s Ecodesign Directive established a framework to set mandatory ecological requirements for energy-using products sold in the member states. This is to encourage manufacturers to become more environmentally friendly and the energy stickers on products like fridges and washing machines are to better inform customers about energy usage. In the category of heater tanks with small volumetric capacity, Hajdu intends to improve its insulation. In the case of the

middle-sized products, the company has introduced a SMART self-learning control. Finally, for large volumetric capacity tanks, it plans to manufacture heat pump boilers in order to step up to a higher level. As a response to market demand, Hajdu has extended its product portfolio with a range of heat producing equipment that utilises renewable energy for heating. Mr Novotni explains: “We involved a Swiss developer to design and manufacture a 10kW heating air-water heat pump. The production and exporting of this product has already begun. With help from a Hungarian boiler design engineer we developed our Hajdu HVK fuel boiler family. These models range between 20, 30 and 40kW and are suitable for burning wood and coal; if a special burner is installed they are able to use wood pellets and oil. Our objective is to extend the range of this product up to 100kW.”


Industry Europe 107


www.euro-unior.hu

Phone: +36 68/413-722 Fax: +36 68/412-575 Email: unior@euro-unior.hu

EURO-UNIOR.

Specialised at boiler production - since 1957. • Boiler production. • Supplier of metal structures and pressure tanks.

Let’s work on innovation together!

108 Industry Europe


Puffer tanks are important components of many heating systems and Hajdu has been continuously working on extending its product range in this category. The PT Series developed in 2012 has received the Hungarian Quality Product prize. As a result of this continuous focus on development, this year Hajdu will start manufacturing its 1500l and 2000l metric volume models.

International presence At present, approximately half of Hajdu’s turnover is a result of its export activities. Besides OEM production, the percentage of Hajdu branded products has been steadily increasing in terms of export sales. Hajdu is present in the French, German, English, Belgian and Russian markets, but export sales are also significant in North Africa and Thailand. Thanks to the development of the eastern European markets, export sales have also been increasing here.

It is extremely important for the company to maintain its existing foreign markets and to move into new markets. In order to strengthen its export activities, Hajdu intends to adjust its product line to meet the requirements of the EU national markets. For this reason, the company has employed professionals locally in France and Germany to carry out its business activities. In addition to the traditional western European markets, Romanian, Polish and Slovenian partners have been identified. A subsidiary was established in Russia, and this has resulted in increased sales in the region in the past two years. To fully satisfy its customers’ needs, Hajdu has developed its own national repair service network in France and Germany.

Sustaining business Over the past few years Hajdu has invested in the total refurbishment of its product lines and continued to improve its infrastructure.

The construction of its new Innovation Centre located at its main site, the Hajdu Industrial Park, was completed this year. This multifunctional, innovative exhibition and service centre provides an opportunity for Hajdu to learn and test modern energy systems and to organise events in relation to this subject. Hajdu expects some major changes in its core markets in the near future. As a result, it intends to reassess its product portfolio and make any necessary adjustments to meet new demands and renew its customer base. Its ultimate goal is to manage an environmentally friendly operation from its main production site in Téglás, whatever the market conditions. Hajdu is building on its excellent reputation for quality and reliability by introducing sustainability and efficiency into its products and this should inevitably lead to even greater success n in the years to come.

Industry Europe 109


SUSTAINABLE SOLUTIONS The Hamon Group is a global leader in engineering, contracting and project management for cooling systems, heat exchangers and pollution control. Industry Europe looks at the impressive growth of this international group and its pioneering contribution to waste heat recovery and cooling systems for some of the world’s largest power-plant projects.

110 Industry Europe


T

he Hamon Group is based in Mont-StGuibert, Belgium and is a global leader in the field of engineering, contracting, design and project management. The company’s diverse activities include the design and manufacture of critical components, as well as the installation and after-sales servicing of cooling systems, process heat exchangers, air pollution controls and industrial chimneys employed in power generation projects. This market sector includes oil and gas installations, as well as other heavy industries such as metallurgy, glass and chemicals. The Hamon Group is committed to the sustainable development of its processes and manufacturing activities, as well as to providing its customers with innovative systems and cutting-edge technology at the most competitive prices. The Hamon Group

is divided into five distinct business units: Cooling systems, Heat Exchangers, Air Pollution Control and Industrial Chimneys.

Growth through acquisition In 2011, the Hamon Group completed its acquisition of Deltak, a global leader in the design and construction of waste and heat recovery solutions, as well as heat recovery steam generators for the power and process industries. Since it was founded in 1972, Deltak has developed a blue-chip portfolio of clients that rely on its innovative solutions to meet their energy needs. This acquisition created significant added value for the Hamon group, which is already recognised as a world-leading supplier of cooling systems. Synergies between the two companies are being fully exploited

as the Deltak customer base is the same as that of the Hamon Group. Furthermore, the acquisition has allowed the group to become more active in the combined gasfired generation, cycle-power industry, which is expected to see substantial growth in the years to come.

Advanced, power-saving cooling towers Back in the early 1980s many of the world’s large power plants were equipped with tall natural draft cooling towers (NDCTs). At that time they were wrongly associated with nuclear power plants and very few were constructed in the west because of the lack of large power plant projects and obvious visual impact constraints. However, this trend is now reversing due to the significant power saving that modern NDCTs Industry Europe 111


With the P4 and M4ACC gear units, fully customized to the specific needs of the cooling tower industry, Hansen Industrial Transmissions (HIT) offers truly functional solutions for wet cooling towers and air cooled condensers. The overall design of these gear units fully complies with the Cooling Tower Institute specifications. For the wet cooling tower drives, HIT now offers a range of 11 bevel helical Hansen P4 gear unit sizes up to 108 kNm, which allows a more accurate selection. They are all well protected for operation in a very humid environment. The increased distance between the propeller and the high speed input shaft reduces vibrations. A motor can be connected to the outside of the cooling tower using an all-metal disc coupling at the high-speed shaft. Based upon the P4 technology, a dedicated design for the Hansen M4ACC gear units with 6 helical unit sizes from 24 to 66 kNm has been developed. Applying the same high quality standards, this gear unit range offers a cost efficient solution with optimised gear geometry for lower noise levels. The monobloc concept ensures higher stiffness of the housing. As a standard, these units come with a lantern housing that allows for connection of a motor on the top of the gear unit. This model is used mainly in air-cooled steam condensation plants which are ideal in dry environments where water resources are scarce. The cooling fan’s motor is located in the air stream of the air-cooled refrigerant condenser.


can generate. In addition to the benefits of power saving, NDCTs offer silent operation as there are no cooling fans employed, and offer greatly reduced maintenance costs. Furthermore, they are compact and provide greater operational longevity, often much longer than plant life expectancy. Hamon has designed and built hundreds of NDCTs worldwide and has unparalleled expertise in the field. This includes specialised installation projects in hazardous and seismic risk areas as well as in locations exposed to severe weather conditions. Hamon is also committed to offering the most cost-effective solutions for the entire lifetime of field erected cooling towers and has a wide range of heat transfer media

suitable for any industrial water and seawater installations, as well as those requiring low pH solutions.

Success in the US In August last year (2013) Hamon Research-Cottrel US, a US subsidiary of the Hamon Group, received full notice to proceed with the engineering, procurement and installation of a Regenerative Activated Coke Technology (ReACT™) system for a US coal-fired power plant. This Air Pollution Control project is the largest project ever booked by Hamon in the USA. HRC holds the license for the ReACT™ technology from Japan Power, the main Japanese power producer. ReACT™ is an

integrated multi-pollutant control technology that removes SO2, NOx and mercury from coal-fired plant flue gases to achieve greatly reduced emission levels. The advantages of this process, developed and already used in Japan, are its very high efficiency, its cost competitiveness and its very low water consumption compared to wet scrubbers.
 The project is expected to be completed and in-service by 31 December 2016.
HRC provides innovative clean air technologies to a wide array of industries including power generation. This break-through new order – the first utility-scale project based on the ReACT™ technology outside Japan – confirms again that Hamon is among the major n world players in air pollution control.

Industry Europe 113


RE-INVENTING THE

WIND TURBINE

Mervento is a global leader in the design and manufacture of multi-megawatt wind turbines for onshore and offshore applications. Philip Yorke talked to Jarmo Saaranen the company’s CEO, about its unique direct-drive technology and ambitious plans for the future.

114 Industry Europe


M

ervento was founded in 2008 as a division of the leading Finnish engineering office, Enmac, which has been involved in the development of directdrive wind turbines since 2004. Mervento’s advanced wind turbine technology was developed for cold climate locations with IEC class II wind conditions and designed to operate in temperatures ranging from –30C up to +40C. At Mervento, the entire turbine power train is tested in the company’s partner’s assembly plant and transported as one complete module. Mervento has also developed a unique turbine erection system, which makes it easy to move the power unit from site-tosite and enables in the near future the lifting of the nacelle, including the hub, to elevated hub heights of up to 200 metres. Mervento’s high-gain rotor blades can be lifted bladeby-blade with a special winching system,

which makes it possible to erect the wind turbines without the need to employ large cranes, which is a major cost consideration.

Innovative, cutting-edge technology Mervento’s advanced wind turbine designs boast more than twenty new innovations never seen before in the wind turbine industry. With its 3.6-118 turbine, Mervento has delivered the world’s best power curve to date in the power class 3-4MW. This has been achieved by the introduction of very large diameter rotors at sites with IEC class II wind conditions. All components used in the power train are super-efficient and the fact that the turbine is ‘gearbox-free’ has a profound and positive affect on the powercurve trajectory itself. Furthermore, the optimised blade design and the cyclic pitch function, designed for optimised tip-speed ratio has resulted in Mervento being able

to supply the industry’s most silent-running wind turbine motor. Saaranen said, “Almost every aspect of our hyper-efficient wind turbines has been developed in-house. Our main goal has always been to produce high-energy efficiency with excellent reliability and to drive down the cost of energy production. We believe that our wind turbines are the first ever to be developed from the outset to operate in the coldest climatic conditions, such as those experienced in the Nordic countries of Finland, Sweden, Norway and Iceland. “One of our strengths is our ability to licence out the whole wind turbine unit or just a part of it. Our integrated structures and solutions make our turbines the most efficient and innovative on the market today, with our systems being totally different from those of our competitors. Another important

Industry Europe 115


point is that in the Nordic regions there is a lot of forest terrain, which in turn creates very turbulent wind conditions. All our turbines have been designed to operate efficiently and reliably in these harsh and diverse wind conditions. “We are very active in the class II wind turbine sector, which is a much bigger market than Class I and our units are designed for both offshore and onshore applications.

116 Industry Europe

In contrast to the freezing conditions in the Nordic countries, we also cater for the needs of energy companies that operate in the very hottest regions of the world where you have a lot of abrasive wind and sand and big temperature changes between night and day running operations.” Saarenen added “We have now had our products in testing for two years and more than 60 of our wind turbines are now in Letter

of Intent phase. Having proved the superior efficiency and reliability of our advanced wind turbine products, we are now entering a new growth phase. Therefore we are currently seeking our ‘next-phase financing’ funding from large corporations in related industries and we are also interested in offering licences to companies that operate outside of our own main market areas. We believe that the inherent strengths in our proven designs and


low operating and maintenance costs offer a most attractive basis for future investment in Mervento technology”.

Combining high efficiency with low O&M costs Mervento’s unique direct drive system and medium voltage permanent magnet generator, in combination with its full-power converter, significantly reduces reliability issues. Eliminating the need for a gearbox is a major leap forward in minimising dayto-day operation and maintenance costs. Furthermore, Mervento’s permanent magnet generator has no slip rings and its cooling system is not prone to failure as there are no water-cooling components involved. Another advanced feature of Mervento’s new generation of wind turbines is the fact that it is the first wind turbine with a hydraulic yaw-system where the actuating system

and brake systems are fully integrated. Mervento’s advanced technology also separates the feathering from the collective pitch, with feathering being operated by three individual cylinders and piston accumulators located in the hub. The collective pitch is also operated by three cylinders situated in the main shaft of the wind turbine. The fully fire-proof rotor brake system located in the hub is also hydraulically operated and specially tailored for the Mervento 3.6-118 turbine. At Mervento all maintenance processes have been planned and integrated into the unit during the design phase, resulting in fast, easy access and servicing, both in the large nacelle and in the ground level turbine station. The company’s integrated turbine controller, CMS condition monitoring system and CBM based maintenance programme is an all-in-one system. Mervento has also developed its own advanced SCADA sys-

tem, which is able to communicate with the grid operator’s system 24/7. All these cutting-edge innovations come as standard features in the company’s n advanced wind turbines. For further details of Mervento’s innovative wind turbines, investment opportunities and customer services visit: www.mervento.com

Industry Europe 117


FOOD FIT FOR KINGS In Hungary, poultry processing Merian Foods Kft has always been a leader in product development: more than three decades ago they were the first to offer tinned goose liver and poultry frankfurters in vacuumed packaging for consumers. Due to their high quality branded products, the company has successfully achieved a premium market position in the domestic market and is now exploring the possibilities of greater export sales. Edina Beale investigates.

T

he poultry processing industry in Orosháza, Hungary began more than 100 years ago. Following in the footsteps of its predecessors, Merian Foods Kft began its operations in November 2009 when it purchased the local poultry processing factory. Merian was the first among the Hungarian poultry processing companies to introduce branded products. Their Rex Ciborum brand – meaning ‘king’s food, the king of food’ in Latin - is a trademark for goose and duck liver products and these are known as luxury products in both the domestic and international markets. The ORSI product range includes a wide variety of products such as frankfurters, pate, cold cuts, ham products and tinned products, available in many different flavours, sizes and packaging. 118 Industry Europe

Merian puts great emphasis on quality and developing new products. Ensuring that existing products are to a consistently high standard and meet the expectations of their customers is a major consideration. However, development of new products plays an important part in the company’s success with a number of new products being launched every year. In addition to the traditionally smoked and processed premium frankfurters, the ORSI Grillsli product range is a new category but the Rex Ciborum product range is also continuously being extended. The latest innovations, such as the fatted goose liver in five different flavours stored in buckled jars, or the flavoured goose and duck liver terrine stored in screw topped and buckled jars have received a warm welcome from consumers.

Maintaining market share Marketing and export sales manager, Mr Endre Kovács explains the company’s strategy to stay competitive. “Our partners in Hungary include international hard discount stores, and international and domestic chains that operate hypermarkets. As multinational companies close cooperation with these customers is essential to maintain and increase our market share. We are continuously aiming to acquire new markets, to meet requirements both in quantity and in quality, and to maintain and extend our firm customer base. “We support the sales of our products by continuous discount offers in many varieties of forms including leaflets, newspaper ads, tasting and discounts based on quantity. Of course, during 2013 we experienced a


Industry Europe 119


reduction of consumer demand and this affected the quantity of goods we sold. But we were determined to maintain our stable market position by providing quality goods, and we believe that apart from small changes there was no significant reduction. Apart from our branded products, we produce private label products for our partners too. Our product development is mainly based on the requirements of our trading partners; however, we sometimes experiment with developing our own new recipes.” Currently the annual production of processed products stands at 6000 tonnes, and Merian products can be found in most European countries despite the fact that at present only 4 per cent of the production is exported. Merian is determined to increase

120 Industry Europe

exports to a much higher percentage and work is underway to improve export sales. Mr Kovács says: “The company introduced its premium products into Russia two years ago and the interest in them has been gradually increasing in this new market. There is also great potential in the Far East, predominantly in Japan and in Hong Kong. An exciting development is the promising feedback we have received about our intention to launch our products in the Arabic countries including the United Arab Emirates and Qatar.” In recent times the company has improved the technology and efficiency of its production resources and these investments were financed from within the company. Currently Merian is conduct-

ing development projects to improve the efficiency of its cooling technology and also to reduce noise levels. In addition to this, the company conducts continuous maintenance and makes small and large investments in order to meet the stringent health and safety regulations and to strictly adhere to the environmental requirements.

Future prospects Mr Kovács outlines the company’s future objectives: “Our future opportunities are decisively determined by our position as a supplier and as a trading company and by the environmental factors. The key to increasing our market share is to maintain our traditional markets whilst acquiring new market segments, to develop international sales and to maintain the


flexibility and efficiency of our plant. Based on market demand, we aim to create and operate an optimal production structure whilst totally satisfying the needs of our consumer.” Merian Foods Kft has taken a steady approach in these difficult times. Managing to improve production facilities without the need for loans, maintaining their domestic market by introducing new products and exploring the possibilities of greater export sales have enabled the company to preserve their position as a premium supplier to their customers. Ambitious plans to infiltrate new markets in the Middle and Far East are already in an advanced state with the initial results showing promise. Merian Foods Kft looks ready to expand its already n significant operations.

Orosháza-Gyopárosfürdő

Spa complexity with thermal spa, park and adventure pools. Situated in a twenty hectare park by the lake Orosháza-Gyopáros, this wellness and thermal complexity is welcoming its guests with thermal and adventure pools, kids adventure pools, sauna sessions organized in its sauna land, special massages, night time bathing and long opening hours all year round. For further information about the available services of this family friendly spa, accommodations, gastronomic festivals and programs please visit our website: www.gyoparosfurdo-oroshaza.hu

Think of an adventure... you will surely find it here!

Industry Europe 121


GLOBAL PARTNER IN AIR HANDLING SOLUTIONS VTS Group from Gdansk, Poland, is the European leader in HVAC technology. The company is the no. 1 provider of Air Handling Units for commercial applications, focused on offering innovative products at competitive prices with a quick turn-around. This year it is celebrating its 25th anniversary. Dariusz Balcerzyk reports.

“V

TS Group is a global corporation, a trusted brand and a leading supplier of air conditioning units and heating appliances. We combine the pleasure of creativity with perfection, quality and simplicity to create a new dimension of products in the HVAC sector. This goes beyond any ordinary solutions because our work is our passion,” says Ms. Hanna SiekZagorska, VTS Group CEO. 122 Industry Europe

VTS Group was founded in 1989 in Poland. In 1996 it began its expansion to the European countries, and in 2001 to the Asian markets such as China, the United Arab Emirates and India. Last year (2013) saw the company move into South America and this year (2014) into North America. VTS Group is the first European HVACR company of this size to enter the American market. “Our entry to the American market

was preceded by analyses and careful preparations. This resulted in the founding of a company in Atlanta, which turned out to be an excellent location to establish our Logistics Centre to meet the needs of the entire country. Our offer, based on the solutions of the VENTUS product line, has satisfied market expectations and brought new standards of quality. Additionally, VTS offers very short delivery times, unparalleled in the


United States,” says Hanna Siek-Zagórska, president of the VTS Group. Currently, VTS Group is a leading provider of AHUs, operating out of 92 locations in 40 countries on 5 continents, with more than 500 employees. It has production-logistics centres in Warsaw (Poland), Dubai (the United Arab Emirates), Atlanta (USA), Mumbai (India), Shanghai (China) and Moscow (Russia). Total annual output is estimated at 100,000 products. The company employs more than 350 sales representatives and franchise companies in countries such as Hungary, the Czech Republic, Estonia, Latvia and Lithuania, and has signed dealership agreements in places such as Armenia, Azerbaijan, Uzbekistan and

Georgia. By the end of 2014 it is planning to expand into Mongolia and Turkmenistan. “For the VTS Group, being 25 years on the market is not only a source of pride but also a commitment. The main core of the company’s strategy is the product itself, since we owe our strong position to our products. We have always attached great importance to achieving the best possible technical parameters, using the latest technologies. This, combined with an attractive price, allowed us to develop from a local company into the international business. We can safely say that within last 25 years the VTS has earned a position that allows us to compete with global players,” adds Ms. Siek-Zagorska.

Air handling specialists An air handling unit is a device designed for various types of buildings whose main functions cover air supply, air exhausts, air filtration, thermal treatment (both heating and cooling) and heat recovery. The additional functions of air handling units include humidifying and/or dehumidifying, air mixing and air circulation control. The VTS Group offers streamlined, flexible and innovative AHUs with a wide range of applications. Its three major product categories are: Air Handling Units, including its VENTUS range (in AHU casing with the highest IP rating, or VTS unit casing) which utilises ground-breaking technology to eliminate

Industry Europe 123


Klingenburg International Firma Klingenburg International jest wiodącym producentem, dostawcą i ekspertem w dziedzinie urządzeń do odzysku energii cieplnej w układach wentylacji bytowej i z szerokiej gamy procesów przemysłowych oraz dezynfekcji układów klimatyzacyjno-wentylacyjnych znanym na ogólnoświatowym rynku. Produkowane urządzenia charakteryzują się najwyższą jakością oraz zaawansowaniem technologicznym. W Klingenburg każdego dnia skupiamy się na rozwoju. W naszym ośrodku badawczo-wdrożeniowym staramy się przetwarzać nasze doświadczenie na innowacyjne technologie, które mogą przysłużyć się społeczeństwu i środowisku oraz dać naszym Klientom wymierne korzyści, nie tylko finansowe. Klingenburg UV TECHNOLOGY to innowacyjna linia urządzeń do dezynfekcji za pomocą promieniowania ultrafioletowego UV-C. Odpowiednie wykonanie naszych urządzeń pozwala na bezpieczne i skuteczne ich stosowanie do dezynfekcji powietrza, powierzchni, produktów, opakowań, maszyn czy linii produkcyjnych. Spoglądając globalnie na problematykę zanieczyszczeń mikrobiologicznych, w ramach linii Klingenburg UVC TECHNOLOGY stworzyliśmy dla Państwa trzy grupy produktów. Daje to możliwość bezpiecznego stosowania promieniowania UVC do dezynfekcji zaczynając od domu jednorodzinnego, poprzez linie produkcyjne w przemyśle spożywczym, na skomplikowanej instalacji morskiej platformy wiertniczej kończąc.



thermal bridges, a cause of condensation on standard units; Air Curtains, including its DEFENDER range (the air curtain is a device which creates a protection barrier at the entrance to the building. It protects against the cold air when heat is in use and against dust, fumes, wind and insects in summer); and Water Heaters, including its VOLCANO range. The VOLCANO heaters form an integral part of a modern heating system. Used in buildings of medium and large capacity, they eliminate the problem of under heating and the negative influence of atmospheric conditions.

Recently, the company introduced a new VOLCANO mini water heater, the cover of which was made using new EPP technology, so far used mainly in the automotive industry where security and endurance are important. Thanks to its unique characteristics, VOLCANO mini will revolutionise the market segment of small local investments where the power demand is in the range of 3–20 kW.

Quality above all else “The high quality of our VTS units is the result of the strict and up to date standards developed by the VTS Group and independent international leading expert laboratories. The company ensures repeatable, high

quality products, regardless of the country to which they are delivered. Our business model provides easy and immediate modification of the specification, allowing clients to adjust product orders virtually until the delivery date (until the product leaves the production plant). On-line information available to sales consultants regarding the entire flow of units, orders and sales, provides clients with up-to-date detailed information on their order status,” explains Ms. Siek-Zagorska. Owing to its strong focus on mainstream products, VTS’s stock comprises around 1400 components which are always ready to be delivered. This strategy results in a short lead time – 75 per cent of deliveries are realised within one week from order and this allows for further cost optimisation. Components are sourced from over 40 suppliers: these include well known global equipment producers as well as VTS associated suppliers. Once the selected components are ready, they are dispatched to one of the VTS assembly hubs or to a final client for unit assembly. Depending on the final order, the client can choose to have the unit assembled in the company hub or on-site by n an authorised team. http://vtsgroup.com/

126 Industry Europe


GLOBAL SHIPPING SERVICES The JJ Ugland Companies are global providers of shipping, ship management, offshore and industry services. Industry Europe looks at its activities and some of its latest news.

T

he JJ Ugland Companies make up one of Scandinavia’s most respected and successful shipping groups that is located in the historic town of Grimstad on Norway’s south-eastern coastline. The Ugland companies have a remarkable history dating back to the 17th century when the Ugland family were involved in forestry, farming and shipbuilding. Norway’s famous local shipbuilder, Halvor Olsen Ugland built the classic sailing ship ‘Fortuna’ in 1772 and this was the beginning of a long family tradition in shipping. The companies’ key business areas are ship-owning, ship-management, offshore operations and offshore construction. The shipping arm of The JJ Ugland Companies consist of AS Uglands Rederi, Ugland Shipping AS, Ugland Bulk Transport AS and Ugland Marine Services AS. These companies constitute a professionally managed and fully integrated ship

management consortium where all service facilities are provided in-house via Ugland Marine Services. The main JJ Ugland companies are located in Grimstad, and it is from there that Ugland Bulk Transport operates a pool of ‘Handymax’ bulk carriers. It is worth noting that recently Ugland Bulk Transport AS was rated as one of Norway’s best companies. Also based in Grimstad is AS Nymo, the group’s full-service engineering, procurement and construction company within the oil & gas industry, with a main yard in Grimstad and additional fabrication facilities in the neighbouring town of Arendal.

Continuous investment programme The JJ Ugland Companies form a diverse shipping group that continues to expand both its bulk carrier fleet and its range of marine services. The bulk shipping fleet operates on long-term charters worldwide.

In line with the ongoing company strategy to renew its bulk carrier fleet it recently sold the oldest vessel in its bulker fleet, the LIVANITA. In late 2014 and early 2015 the bulker fleet will be further renewed with the delivery of two supramax newbulidings. Furthermore, in June this year (2014) Ugland Shipping AS signed a contract with Imabari Shipbuilding Co. Ltd in Japan for the construction of two 63,000 dwt bulk carriers for delivery in 2017. A company spokesperson said, “When it comes to bulk carriers we are one of the biggest in Norway. We are continuing to renew and expand our bulk carrier and tanker fleets. However, what is most important is timing when it comes to making such large investments. Furthermore, we are an old fashioned company in the sense that we are a fully integrated shipping group that provides technical management and full crewing and are committed to maintaining

Industry Europe 127


our high standards of safety and reliability. We are proud of our heritage, our philosophy, and the fact that 100 per cent of the companies’ shares remain privately owned by the original founding family.”

Customised solutions The JJ Ugland Companies believes that operational flexibility is a core part of its culture in providing customised solutions for its customers. This philosophy applies to both bulk carriers and shuttle tankers. Ugland’s bulk carriers are modern Handymax dry cargo vessels that range in size from 45,000 tonnes to 58,000 tonnes deadweight. Each vessel is fitted with additional self-loading and unloading equipment including grabs, and the majority of these vessels are designed for the transportation of logs and lumber. The JJ Ugland Companies’ forward planning expertise and operational flexibility provides its customers with a wide variety of options under both short-term and long-term period charters. This flexibility ensures that a customer’s transportation requirements can be optimised in the most efficient and cost-effective manner. All of Ugland’s fleet operations are controlled by Ugland Marine Services, in close cooperation with local port representatives in order to meet the special requirements of its clients and to maximise operational efficiency. 128 Industry Europe


Furthermore, its tanker division operates modern crude oil tankers equipped with dynamic positioning systems, variable pitch propellers, as well as side thrusters in order to offer the most advanced manoeuvring capabilities. The group’s modern fleet of shuttle tankers have played an important role in the transportation of oil from installations in the North Sea, the East Coast of Canada and offshore Brazil and have been operating regular and efficient tanker operations in the North Sea since 1986. The spokesperson added, “We will continue to develop the business segments in which we operate today and will also continue to invest in our bulk carrier and shuttle tanker fleets. However we are now looking at new shipping segments in which to apply our expertise as well as new geographical areas in which to operate. We are currently operating from oil

fields with very sophisticated tankers and all these very expensive vessels are on long-term charter to the major oil companies. “There is also strong competition in the shipping market, but we have good longterm relationships with our customers. Our commitment to safety and the environment is another reason why we are seen by many as the ‘shipping group of choice’.”

Expanding off-shore activities In 1978 Ugland Construction was established and today operates a fleet of flat-top and semi-submersible barges in sizes ranging from 10,000 to 16,000 tonnes, some of which are equipped for the installation of offshore windmills. The company also provides its customers with the facility of a self-propelled 600-tonne, heavy lift crane vessel called the ‘Uglen’. This highly specialised Ugland division

focuses on marine transportation and in-shore lifting operations for oil and gas companies, as well as providing services for off-shore contractors, fabrication yards, shipping and engineering companies. This growing sector offers further value-added services, such as the fabrication and installation of grillage and sea-fastening structures. When it comes to health, safety and environmental protection, The JJ Ugland Companies group is pro-active. It lists its top health and safety priorities in the following order: (1) safety to life and health, (2) safety to the environment, (3) safety to vessels and cargo. The group is committed to the continuous improvement of its safety performance and has maintained an excellent track record with no serious accidents or negative environmental events occurring throughout its n long and successful history.


INTERNATIONAL SPRING SUPPLIER

Sweden’s Lesjöfors is a market leading spring manufacturer which produces not only a wide range of standard springs but can also tailor-make other designs to meet customers’ unique requirements. Problem solving is its key offer.

L

esjöfors has been making springs since 1852 although the company itself goes back even further – to 1675, in fact. Today it is an international supplier of a full range of standard and bespoke springs, as well as wire and strip components, with manufacturing operations in Sweden, Finland, Denmark, Germany, the UK, Latvia, and China. Since 1989 the company has been part of Beijer Alma, a Swedish-headquartered international group that focuses on component production and industrial supplies. Lesjöfors’ operations are organised in three business areas – Industrial Springs (standard springs and customised products made from wire), Flat Strip Components (springs and other components made from flat materials) and Chassis Springs (aftermarket for springs for passenger cars and light commercial vehicles). The largest customer

segments are Industrial Springs, where it has about 40 per cent of the Nordic market, and Chassis Springs, which account for some 45 per cent of the same market. Lesjöfors Automotive produces an extensive range of springs for the European car and light commercial vehicle market; in addition to replacement coil springs, it also stocks market-leading ranges of gas, leaf and sport springs for supply to parts wholesalers and distributors across Europe and worldwide. Overall, Lesjöfors’ products are delivered to some 60 markets across the world.

The right solution Lesjöfors believes that its main competitive advantages are its wide product range, its consistently high quality standards and its excellent customer service, as well, of course, as its unequalled experience and its

overall technical competence. The company’s spring range has a unique breadth and its products are well known for their durability, adaptability and variation ability. Lesjöfors springs are used in just about every industry sector, from automotive, aerospace and telecoms to power generation, offshore and paper and pulp. Whether the requirement is for a standard spring or for a specially-made component, Lesjöfors can help its customers to always find the optimum solution. The company’s operations are focused on manufacturing, stocking and distribution. It holds stocks of more than 10,000 standard items for direct delivery; all the standard spring items are available as 3D CAD models. Each of Lesjöfors’ 14 manufacturing facilities specialises on specific products ranges and markets. The spring material is selected to suit the application and the demands that


Industry Europe 131


will be made on the spring. Cold drawn wire is generally used for uncomplicated springs and normal temperatures while copper alloys are used for contact springs, Stainless steel is used for difficult environments and even tungsten alloys are used for certain medical components. The material is formed to the correct geometry by special machinery, usually be bending when cold. But stamping and hot forming are also used for appropriate products. Lesjöfors uses the most modern machinery and processes, including numerical control and automation.

Investing in technology Throughout the past year (2013) Lesjöfors has been making significant investments in new technology. For example, it purchased a new, modern hardening and tempering system for the manufacture of hot coiled springs at a cost of some 10 million SEK. Further investments of around 25 million SEK were made in the best available technology for chassis springs to meet increasing demand. In Slovakia, the company’s machine park has been expanded with new presses and spring coiling machines to meet the growing

demand for its many German customers. Investments here amounted to around 15 million SEK. “We are constantly updating our machine park in our company to ensure the best possible quality in competitive terms. It is a very important part of Lesjöfors success strategy,” said CEO Kjell-Arne Lindebäck.

International growth In 2012 Lesjöfors took a major step in strengthening its position in the key German markets with the acquisition of spring manufacturer Stumpp+Schule GmbH.


Stumpp+Schule is based in Beuren, near Stuttgart, and also has a manufacturing subsidiary in Slovakia. Germany is by far the largest spring market in Europe and, with this acquisition, over the past two years Lesjöfors has been able to grow into one of the largest suppliers of springs in the country. Lesjöfors has been manufacturing springs in China since 2002 and continues to invest heavily in this region. It currently has around 250 employees in this market, who are operating 16 pressing processes and several machines for spring production. The main

objective here is to assist European customers with spring production according to their specific needs in China. Looking ahead, in terms of further global expansion Lesjöfors has its sights set on additional acquisitions in North and South America to add to its portfolio here. Mr Lindebäck puts this down to “the strong need expressed by various existing customers.” As ever, the company’s intention is to grow in line with customer demand to offer the highest possible service wherever its n clients are in the world.

OMD S.p.A. Performance, functionality and reliability are the key features of OMD machines. Its new range of electronic spring end grinding machines includes: • The enhancement of the special spindles for improved performance. • The possibility of independently changing the rotation speed of the grinding wheels to optimise the work cycle. • A new centrifugal cooling system to cool the surface of the grinding wheels, increasing the cutting capacity and lifetime of the abrasive product. • The operation of the spindle movements, loading plate and grinding wheel dressing system is controlled by servomotors. • An integrated spring length control system for controlling the final length of all springs produced. • An automatic centralised lubrication system. • Remote connection for direct online assistance from the manufacturer. • Graphic program interface which allows for ease of operation and cost analysis.


ENERGY-EFFICIENT STEEL SOLUTIONS Ruukki is a market leader in the design and manufacture of energy-efficient steel construction products for a broad range of industrial applications. Industry Europe takes a closer look at a company that continues to expand, setting new standards in quality and efficiency and outperforming the market.

I

nitially known as Rautaruukki, the company was founded in Finland in 1960 by the Finnish government in association with a number of leading Finnish industrials. The reason behind this cooperative venture was to ensure the availability of raw materials for the Finnish shipbuilding industry as well as for other steel-dependent industries. With its early commitment to quality and innovation, Ruukki was the first company in the western countries to produce steel using the

cost-efficient ‘continuous casting’ method. The success that the company enjoyed as a result of this innovation was exceptional and by the end of the 1970s it was employing more than 7000 people. By the 1990s, following major investments in new plant and technology, the company expanded into the construction business and at the same time acquired a leading Finnish steel roof manufacturer: Rannila. In 2004 the company’s steel business began to focus on the manufacture of special

steel products to meet the demands of the world’s most challenging construction and engineering projects. In October 2012 another milestone was reached with the creation of ‘Fortaco’ in association with ‘CapMan’ managed funds, which has become Europe’s leading manufacturing partner for the engineering industry. Today Ruukki provides its customers with energyefficient steel solutions for better living, working and moving. The company is operational in


over 30 countries worldwide and has a workforce of over 12,000 people, of which more than 5000 are employed outside Finland.

New challenges Ruukki’s vission is to become the leading global provider of energy-efficient steel solutions in order to build a better living environment for all, together with its customers. The company has a worldwide network of dealers and distributors in the Nordic countries, Russia and elsewhere in Europe, as well as in the emerging markets, of India and South America. Today Ruukki is responding to the increasing demand for greater energy efficiency and this is driving its commitment to produce more innovative, energy-efficient steel solutions. The overall objective is to cut energy costs throughout the life-cycle of an end-user prod-

uct or solution. The company offers a broad portfolio of engineering products, including building solutions, infrastructure solutions, steel products, mineral products and stainless steel and aluminium products. In the building components sector, Ruukki’s energy-efficient steels are at work in steel frame structures, steel pile foundations, façade claddings, load-bearing sheets and prefabricated roof elements. Ruuki’s commitment to innovation is also contributing to major road and bridge infrastructure projects throughout the world. Its coils, sheets and plates include hot and cold-rolled steels, colour coated steels and metal coated steels. Precision tubes, pipes and hollow steel sections are also created by Ruukki to optimise energy efficiency and are the result of the company’s ongoing investments in its manufacturing processes and its firm commitment to R&D.

Leading the field in environmental management As one of the world’s largest companies in its field, Ruukki takes its responsibilities concerning the environment very seriously. A company spokesman said, “Improving energy efficiency is one of the most costeffective ways to combat climate change. We aim to provide our customers with environmentally effective solutions and to continuously improve the level of environmental protection and energy efficiency of our operations. “As a fully recyclable material, steel forms a good base for energy efficient construction solutions. Our recyclable, wear resistant, and high-strength special steel products improve the material efficiency of lifting, handling and transportation equipment and reduce energy consumption.”

Industry Europe 135


Energy efficiency is systematically promoted at all Ruukki’s production sites as part of its ISO 14001 environmental management programme. Each and every person at Ruukki is responsible for their own environmental performance. In-house training provides employees with the means to manage the environmental impacts of their jobs. The company also encourages its subcontractors to take environmental issues into account during their own business operations. In addition,

Ruuki constantly evaluates the impacts of its ‘logistical’ supply chain. By optimising transport routes and schedules, unnecessary transportation can be avoided, thereby minimising energy consumption.

Major Swedish contract wins With Ruukki’s reputation as a global leader in its field, it continues to win a steady stream of high-profile contracts. This year (2014) there has been a particularly high volume of orders from the Swedish market. For example, in

June it signed contracts with NCC Construction Sverige AB for steel frame, roof structure and façade deliveries for a central warehouse for EEL, ELON Elkedjan Logistic, a chain of electrical appliance stores; and for a maintenance depot for Storstockholms Lokaltrafik’s metro maintenance vehicles. In the same month it was awarded a significant steel structure contract for Varner-Gruppen’s new logistics centre. Under the terms of the contract, Ruukki is to deliver a steel frame and envelope solution worth around €9 million. The new building will have a surface area of almost 50,000 square metres. Petri Nieminen, SVP, Ruukki Building Systems, Nordic and CEE, said of the contract: “This is the largest of a number of significant building contracts we have recently been awarded in Sweden. Ruukki’s delivery, which includes structures, together with design and n installation, is a competitive entirety.”


GLOBAL LEADERS IN TUBE FORMING Voestalpine Rotec GmbH & Co KG specialises in the production, further processing and sale of precision steel tubes. Industry Europe looks at its operations.


H

eadquartered in Krieglach, Austria, the Voestalpine Rotec Group altogether comprises seven companies and three sales locations in Europe and the US. Voestalpine Rotec is part of Voestalpine, a steelmaking, processing, and technology group that operates worldwide and manufactures, processes and develops high-quality steel products. As a part of the group, Rotec’s customers can benefit from its extensive know-how and global outreach. In his time at Voestalpine Rotec GmbH & Co KG, Dr Rolf Weiel, director of research and development at the group, has seen it leap from an annual turnover of €6 million to one of almost €32 million. Now, he says, the operation, which specialises in tube forming and machining technologies, has ambitions of reaching €50 million by 2020.

138 Industry Europe

“We have seen an average growth of 14 per cent every year and, although it will be a challenge, I believe we can reach our target by that time,” he says. “We always follow the options of both organic growth and acquisition – and will definitely be looking for acquisitions that fit our portfolio. However, in the past we have been much more successful with organic growth and we see good opportunities for that in the future. “This may be achieved by strong growth in our main business field, but we also plan to implement further services for our customers.”

partners to the automotive and domesticappliance industries in Europe and to the oil and gas industries worldwide. Voestalpine Rotec itself specialises in the production, further processing and sales of precision steel tubes. It has a focus on the automotive industry and on segments of mechanical engineering and hydraulic or pneumatic applications. The group supports its customers in the development of product and production solutions with cutting-edge technologies, an expertise in materials and perfected logistic concepts.

High precision operation

Industry leading technologies

With 500 production and sales companies in more than 50 countries on five continents, the mother group is one of the leading

“Our main specialties are temperature supported metal forming, such as hot spinning, round forging or hot radial press


forming,” explains Dr Weiel. “We have transfer line based processes for the highest productivity and robot equipped cells for high level process integration. “We concentrate on the development of highly efficient and productive integrated tube forming and machining processes in house and have our own design and engineering of complex production lines for high volume production.” For the automotive sector, which accounts for 70 per cent of production, the group produces airbag cylinders and combustion chambers. It also manufactures components for air suspension systems, including aluminium pressure vessels, spin formed pistons and bellow support housings, silencer and seat frame tubes. In non automotive, it supplies housings for electro motors, such as blind shutter drives, as well as stainless steel pressure vessels, construction struts for electrical power plants and high pressure gas transport bottles for special applications, for example, avalanche airbag systems.

Proud of its technologies, Voestalpine Rotec is also at the forefront when it comes to developing new products. Working closely with its customers, it is able to design, build and deliver equipment from under one roof.

International growth In total, Voestalpine Rotec already has eight companies – seven of these are in Europe and one is in the US. There are two manufacturing sites in Germany; at Annealed, there is production, as well as management, administration and research and development, while at Sülzfeld, the company has an airbag pressure vessel facility. While central Europe, Poland and the US will remain key markets for the group, Dr Weiel is in no doubt Voestalpine Rotec will be expanding in China where the parent company already has 22 product sites, one of which was opened in May this year. By 2020 it is expected that the group will be establishing a further 15 new plants in this country and no doubt this will enable Rotec to reach new customers in this market in the n coming years.


140 Industry Europe


SERVING THE PHARMA INDUSTRY Siegfried is a global leader in the process development of specialised products and customised contract manufacturing services for the pharmaceutical industry. Industry Europe looks at the company’s unique out-licensed portfolio.

S

iegfried was founded in 1873 by pharmacist Samuel Benoni Siegfried, who began by supplying medical products to pharmacies. From the outset it was a success and by 1904 it was converted to a joint-stock company and was subsequently listed on the Swiss Stock Exchange in 1973. In the late 1980s the company transformed itself into a leading CMO player. Today it is a truly global organisation with a unique range of contract production capabilities and services that cover chemistry, continuous flow technology and formulation technologies, as well as micronisation and spray drying technologies. In addition, Siegfried offers a range

of fully integrated services along the entire supply chain, as well as services relating to regulatory affairs, intellectual property, project management, packaging and logistics. It is a preferred partner to more than 60 per cent of the world’s pharmaceutical companies, manufacturers both large and small rely on Siegfried’s long-standing pharmaceutical and chemical heritage as well as its in-depth knowledge of drug production and licensing. Furthermore, as a global company serving pharmaceutical manufacturers worldwide, Siegfried has continued to invest in new manufacturing capabilities. In recent years investment has been focused

on additional technologies in the US and at its Zofingen manufacturing facilities, as well as and in the expansion of its drug product manufacturing facility in Malta. In addition, it has been establishing a manufacturing presence in Asia, enabling it to gain a competitive edge in its CMO business. In 2012 it acquired the US company Alliance Medical Products Inc. in order to enter the market for sterile filling products.

Increased potency products In the fast changing world of pharmaceuticals, the demand for drugs with higher potency levels and pharmacological activity shows


no sign of abating. Since 2004 Siegfried has continually invested in advanced ‘containment technology’ to offset the potential occupational health hazards and possible threats to the environment of these ‘super-drugs’. However, the company’s significant investment in special containment measures ensures safe operation through all phases of development and manufacture. Siegfried offers its customers the capability for early stage development, scale-up and commercial manufacture of highpotency drug substances and drug products. A company spokesperson said. “We are a true contract development and manufacturing company offering a broad range of chemistry and formulation options. We focus on being an integrated supplier and concentrate on developing and optimising chemical processes as well as difficult-to-make formulations for our customers. Our portfolio of APIs (Active Pharmaceutical Ingredients) is extensive and we have developed new prod-

ucts in the opiates and nicotine areas and are able to develop and market these mainly in USA and Europe but also in the emerging countries. Our capability for the development of new opiates in North America is particularly important for us because government legislation there means that opiates cannot be imported. “We are very much an innovative, integrated contract supplier that offers bridging technologies using cross-functional teams. The increasing trend towards producing molecules that offer higher potency levels and pharmacological activity is another area that we have been investing in for many years and today we operate state-of-theart, segregated, high containment facilities and production areas that we consider to be ‘best-in-class’. We are also able to offer continuous cross-flow technology that is not restricted to batches. This in turn reduces analytical costs.”

Optimising the value chain Unlike many of its competitors, Siegfried is able to support and project manage the whole pharmaceutical value chain process from start to finish. The company’s goal is to build up a sustainable and stable relationship with its business partners by offering a range of supply chain solutions that are customised to suit a customer’s specific requirements. As an integrated partner, Siegfried offers its clients synergy, expertise and added value through reduced supply chain complexity and simplified communication. In addition, clients benefit from a reduced vendor interface as well as a combined and coordinated analytical and manufacturing approach that achieves the optimum required formulation performance. Siegfried also provides complete life-cycle management services from development through to commercial and generic realisation. Siegfried is not in the distribution business; its focus is clearly on contract devel-


opment and manufacturing in addition to offering its own portfolio of products. From its sites in Zofingen, Pennsville and Malta it can provide everything along the entire value chain including formulation development and small-scale sample manufacture. It operates a ‘key client strategy’ and is not only serving the big pharma companies, but also the medium-sized companies and those with only one or two products in their portfolio.

Innovative technology In exclusive partnerships with its pharmaceutical customers, Siegfried develops and optimises processes for the manufacture of new active ingredients and final drug dosage forms. The shared goal of these joint activities is to increase value for its customers through innovative drug development and the protection of a customer’s intellectual property rights. Regarding Siegfried’s own portfolio of products, which are developed and manufactured for different customers, the company continually strives for innovative approaches and the expansion

of its own IP portfolio. This strengthens its competitive position and thereby enhances its customer’s own competitive edge. Siegfried also creates value through its dedicated approach to project manage-

ment by guaranteeing that its customers can rely on ‘on-time’ delivery of all deliverables, known as ‘on-time-in-full’ logistics. This service is combined with simplified n outsourcing processes.


A WINNING DESIGN

PHILOSOPHY

On the eve of its 50th birthday, Slovenian company Adria Mobil enjoys a reputation as a trend-setting European caravan brand. Mrs Sonja Gole, the company’s CEO, reflects on the corporate philosophy that underlies its achievements. Vanja Švačko reports.

144 Industry Europe


S

ince the beginning, when Adria Mobil presented its first caravan at the Stockholm fair in 1965, it was inevitable that the company’s future would be exportfocused. With its extensive portfolio of recreational vehicles, Adria Mobil is present in almost all European countries. It has recently recorded strong growth in Germany and France and is the market leader in Scandinavia. Today it is also successfully trading in Asia and Australia, accessing new markets in China and Russia, and is constantly on the lookout for new business opportunities.

Testimony of competence As part of the Adria Mobil Group, Adria Mobil d.o.o. designs and manufactures recreational vehicles under the brands Adria and Sun Living. The entire portfolio is divided into three types of products. The Motorhome range (integrated, crossover, semi-integrated and specialist vehicles) is designed for various equipment levels and is targeted towards different price points (economy, premium and superior). The Car-

avan range, with its new i-design (intelligent design) philosophy boasts contemporary exteriors made with the best materials and interiors that provide outstanding comfort. The last part of the portfolio, a camper van conversion called Twin, comes in different sizes, from 4.99m up to 6.36m, and also offers some outstanding features. Adria Mobil has received numerous awards for its business performance across all its product categories. Mrs Gole tells us, “Recent recognitions include European Innovation Awards for our luxury caravan,the Astella Glam Edition, and an innovative design award for the new Altea, a family oriented range of caravans with a premium interior offered at an attractive price. The new Altea also recently won Caravan of the Year in the Netherlands and the new Adora, with its innovative new sky-roof and panoramic window, won a similar award in the competitive UK market.” Adria’s motorhomes have also won a prestigious German Konig Kunde Award from Reisemobil International four years

in a row. Another very important achievement was a fleet of Matrix and Sonic motorhomes, sent as support vehicles to the racing team that won the 2014 Dakar. This was a clear testament to the company’s competence, as well as to the endurance and quality of its vehicles.

Investing in integration In order to expand its global presence, Adria Mobil has been making significant investments in its operations. The group currently consists of nine separate companies that tackle different areas such as caravan furniture production, product distribution or tourist services. Over the past decade the development, production and marketing of motorhomes, caravans and vans have been centralised in Novo mesto. The company has invested over €30 million equipping its plant with advanced technologies and equipment. The other two plants are located nearby and are specialised in the production of mobile homes and furniture for recreational vehicles.

Industry Europe 145


Considering the fact that the caravanning market in Europe was badly hit by the financial crisis, Adria Mobil can be pleased with its annual production of over 8500 vehicles and 2013 turnover of €200 million. “Achieving a more than 6 per cent market share gives us a positive feeling about our brand name, which has mainly evolved through constant investments in product development, innovations and high quality products manufactured on our state-ofthe-art production lines. Strong distribution partnerships have enabled us to capitalise on our investments. Furthermore, the quality of our products was also demonstrated by our success on the European market, where Adria is continuously ranked among best performing brands on the market,” states Mrs Gole.

146 Industry Europe

In bringing its production to a whole new level, the company is investing around €5 million every year in vehicle layout design. Examples of the latest innovations are smart kitchens, ergo (ergonomic) bathrooms and new multi-media walls with integrated multimedia solutions including features such as tablet-docking stations.

Fruitful partnership Adria Mobil works closely with some of the biggest companies in the industry, including Fiat and Renault. Mrs Gole adds, “With our 2015 camper vans and motorhomes we have achieved perfect integration with the new base vehicles from Fiat and Renault. The new Fiat Ducato has new exterior styling, a new cabin and many new driving enhancements and our motorhomes can

integrate seamlessly with this. From the design aesthetics, to the optimisation of internal space between Fiat’s new cabin and the motorhome living space, through to the chassis and driving improvements there are simply no better, more integrated motorhome and camper van designs available. With the new Renault Master, the 2015 Matrix Supreme also manages to integrate perfectly with the new Renault styling, cabin and engines.” Adria Mobil plans to grow organically in all of its business segments. After the world premiere of the new 2015 vehicle range at the Düsseldorf Caravan Salon in August this year, Adria Mobil is set to embark on the n next stage in its journey. Visit: www.adria-mobil.com


EXPANDED PORTFOLIO Due to the recent integration of two TEKA subsidiaries in Hungary, TEKA Magyarország Zrt has become one of the most important subsidiaries of the international TEKA group in Central Europe. The Hungarian firm, which has been operating as the European production and distribution centre of TEKA Sanitary Systems Division, has recently extended its activities and product portfolio by offering an extensive range of high quality kitchen appliances and accessories. Edina Beale reports.

P

rior to January 2013, TEKA Magyarország Zrt had been operating as MOFEM Zrt in Mosonmagyaróvár, north-west Hungary. The Hungarian firm was established over 100 years ago and has always produced metal bathroom fittings for domestic and industrial use. In 1994 the company was acquired by the prominent kitchen and bathroom equipment specialist TEKA group which has operations in more than 25 countries worldwide. The new subsidiary soon proved to be a reliable investment; with its ideal Central European location, the plant became the European production and distribution centre of the TEKA Sanitary Systems Division in 2009. TEKA

had already established a Hungarian sales centre to distribute kitchen appliances. Last year a strategic decision was made to fuse the two companies together and as a result, TEKA Magyarország Zrt has taken over the distribution of kitchen appliances adding 700 new products to its new portfolio.

Well designed branded products The new products, which include gas and electric ovens, ceramic, induction and gas hobs, extractor hoods, fridges, dishwashers, coffee machines, micro ovens, stainless steel and granite sinks, and kitchen taps are sold using two major brands: TEKA and the premium category Küppersbusch. Industry Europe 147


In the bathroom category, TEKA distributes a wide variety of TEKA branded products whilst maintaining the strong and well recognized MOFEM brand to produce its core products – bathroom taps and industrial valves including ball valves, bottle valves and thermostatic radiator valves. Continuous product development is a key component of TEKA’s success. The company is continuously examining market trends in order to identify the direction of product development based on current customer needs. Mr János Luka, managing director explains: “The aesthetic value of the tap products are important part when looking at market trends. In previous years the smaller units were popular, now the simplicity of the product is more important than the size. From a the technical point of view, thermostatic showers and electronic

148 Industry Europe

taps are now more in demand than mixer taps with two valves. In order to implement the thermostat or the electronics in a tap system the shape and look of the system has to be changed; this as well as national guidelines and manufacturing rules has a major affect on the direction of our product development.” Among the bathroom appliances, the Hungarian firm has launched several new products and extended the MOFEM brand with new items. Trend Plus and Junior EVO are new in the single hole mixer family ranges, whilst the MOFEM Multi Box system is a pre-prepared piping system built in behind the wall with a surface that connects to the thermostatic or electric tap ranges. The M-Tronic family range is a good solution for public places including hospitals, airports, shopping centres and schools where there is no need for users to

touch the taps as the electric tap system allows them to open and close the water flow with a help of a sensor.

Top technology In recent times the company has invested 6-700 000 Euro in the grinding and polishing production process by purchasing new machinery which enabled the factory to automate many processes. “This allows us to raise our product quality even further whilst improving our production efficiency,” explains Mr Luka. “The robotic technology guarantees constant quality, it’s no longer dependent on the human factor. The implementation and operation process of this investment was extremely complicated which again proved our professional ability to succeed in these types of challenges too.”


The company is planning to redevelop its cutting unit and install new machinery to modernize its technology. In the past the factory was used to dealing with large volume orders; nowadays, however, Mr Luka says: “there is more demand for variety so we need to adjust our facilities to be able to quickly adjust our production to manufacture a variety of products.”

Total integration TEKA as an international group puts its foreign subsidiaries in charge of selling and distributing products in their particular markets, so TEKA Magyarország sells the kitchens appliances only in Hungary, but exports its bathroom products to many different markets

mainly in Central and Eastern Europe. Sales figures in foreign markets have increased in the past two years, 32 per cent of turnover is derived from exports. Thanks to the product extension and the increased export activities the company’s turnover has increased by 20 per cent since the previous year, in 2013 the company reached 8.6 billion HUF. In order to sustain growth, clear objectives have been set for the company: “Our aim at the moment is that our salespeople do not differentiate between the kitchen and bathroom segment,” says Mr Luka. “We have to follow a direction where these two segments and the whole company are integrated. My aim is to provide our salespeople with training to develop their

product knowledge in all categories of our portfolio. All our sales people have to have the knowledge of all our products, and our organization structure has to adjust to the n extension of our product portfolio.”

Industry Europe 149


ADVERTISERSINDEX

A ABB Switzerland Adria Mobil Armit Italiana Aumann GmbH

H 117 146 100 89

Hansen Industrial Transmissions NV Henkel Magyarország Kft Hermes Import-Export Hofag Engineering

B

I

Bekro Chemie GmbH 77 Berendsen Textile Service 93 Bertani SpA 105 BHTC 57 Bollerup Jensen Sæbefabrik 80 BWB Holding 29

Iron-Fém Trade Ltd

C CAAC Pioneer Logistics Craftsman Automation Pvt Ltd

5 46

Jövő Épitők TDM

121

K Kalotti 33 Kinkelder 139 Klingenburg International Sp. z o.o. 124 KMT MacDermid Polska Sp. z o.o. 92

Dansk Elastomer AS 69 DAUtec 27 De Rigo Refrigeration 100

LPW Reinigungssysteme GmbH

39

133 129

108 53

G Gnosjö Automatsvarvning AB Göttle GmbH & Co KG

P PCB Technology sp. zoo Polipack Ltd

92 108

RTC Srl Rubinetterie Ritmonio Srl Rüthermann Technics AG

100 108 29

S 60 92

U

Schela Plast AS Schenker & Co AG SCI Pharmatech. Inc.

100

V Valido BT 85 Vartan Product Support GmbH 26 VCS 100 VLT Srl 100

W 125 108

Z Zakład Metalurgiczny 62 ZMDI 5

R Fernando Pellicer Fritz Stiefel GmbH

Taravis 121 Technolam GmbH 93 T. Rad 47 Tyrolit 85

WEG Electric Motors Wug Heater Equipment Factory

O OMD SpA ORTS GmbH Maschinenfabrik

F

T

USA Srl

L

Ecoline 105 Erhard Römer GmbH 66 ESL Shipping 136 Eurolux-Trans Kft 43 Euro-Unior Fűtéstechnika Kft 108

85

J

D

E

112 108 149 29

Somló-Zsák Ltd 43 Sepiolsa 77 S.G.M. tools Srl 36

80 97 143