Press release
Festo reinforces its foundation in China for future growth
Date: 2012/10/29
With the extended and upgraded plant and a newly established Regional Service Centre
in Jinan, Festo secures its supply of products and services for the Chinese Market over
the coming years. The expanded Asia Pacific Technical Centre and Greater China
Solution Engineering Centre together provide products and solutions tailored to the
specific needs of fast-growing customers in Asia. By introducing key account
management, 5 sales zones in Greater China are focusing on industry segments to
provide better customer experience.
Reference:
CC/PTC12/01/CN
CC-REGP/LLIU
For recent years, China market has been growing at a record pace. Festo is investing heavily
in China in order to benefit from the country’s growth and capture market share in China and
the rest of Asia. Festo supports its international customers and the Chinese economy with
manufacturing, automation and skills training solutions – made by Festo through expanding
its capability and capacity of sales, production, material flow and research and development.
Festo has been enjoying double-digit growth rates in China for many years. “China already
boasts the world’s largest domestic market, highest industrial output and biggest automotive
market – and as a result will also be the world’s largest market for automation technology in
the coming years. China’s manufacturing industry is increasingly applying international
quality standards. The clear trend among the country’s domestic manufacturers is away from
manual labour and towards automated production processes. This offers tremendous growth
opportunities, which we are already enjoying and will expand further in the coming years. ”
stressed Dr. Eberhard Veit, Chairman of Management Board. And he added: “Customers in
Asia expect the same service and excellent delivery as we are known for in Europe.”
Festo (China) Ltd
No. 1156, Yu Qiao Road,
Jinqiao Export Processing Zone,
Pudong, Shanghai 201 206,
PRC
With the spirit of “in the region for the region”, Festo has reinforced its foundation for future
growth in China.
Tel:
+86-21-6081 5100
FAX:
+86-21-5854 0300
Jinan Global Production Center (GPC Jinan)
Festo Production Co. Ltd. was founded in 2007 as a result of Festo’s acquisition of Jinan
Huaneng Pneumatic Company. In 2011 Festo started a 20-million-Euro project for extension
and upgrading of the plant, increasing production area from 20,000 sqm to 46,000 sqm,
as well as plans for further expansion of local assembly, logistics and support. In addition,
Festo has heavily invested in upgrading the production facilities. In 2012, GPC Jinan
successfully integrated into Global Production Center network as the 11 th manufacturing
basis in Festo worldwide, demonstrating the plant is operating at a high quality and
management standard of manufacturing, material flow and service, meeting stringent Festo
requirements.
Regional Service Centre, China (RSC China)
The above-mentioned 20-million-Euro investment also includes the founding of RSC
China, which started operation in March 2012. It is the 4th regional service center of Festo,
and the largest outside of Germany. At present, RSC China covers supply for all cities of
China mainland, and will gradually cover Korea, Japan and etc.
“Our Chinese customers expect top quality ‘made by Festo’, with guaranteed supplies and
next-day delivery at prices in keeping with local market conditions. At the same time, energy
efficiency, environmental protection and occupational safety are becoming increasingly
important. The factory extension in Jinan will secure our regional supplies to the Chinese
market for the years ahead,” concludes Dr. Hong Zhou, Head of Global Production Centre
Jinan.
Asia Pacific Technical Centre and Solution Engineering Centre
For recent years, Festo has been enjoying and keeping stable business growth in China
mainland, Taiwan, Korea and ASEAN countries. In order to meet the requirements of
customers from the fast growing markets and to provide customized products and services
perfectly tailored to the customers’ specific applications, Festo founded Greater China
Solution Engineering Center, and invested RMB 30 million in expanding Asia Pacific
Technical Center (APTC) in 2012, strengthening research and development capability in
customized products and solutions. APTC will see an effective scale-up in product and
system development, and reduce the lead time of product innovation. The expanded
APTC will start operation in early 2013.
With the localized customized products, project engineers and engineering support
specialists, Festo has established an even closer relationship with the customers, timely
delivering excellent services to more than 25,000 customers in the region.
Education partner Festo Didactic: skilled staff for companies in China
Since started business in China in 1985, Festo Didactic has delivered a variety of engineering
support to more than 500 education partners, universities, vocational institutes and industrial
training centres – with everything from basic courses to turn-key equipment for mechatronic
learning centres.
In 1990, Festo and BaoSteel Group cooperated with each other in founding the training
centre for staff of the latter. This created a new cooperation method between a multi-national
company in pneumatics and a state-owned-enterprise. At present, Festo has founded training
centres in partnership with many large- and medium-sized enterprises, meeting the specific
requirements of the customers to train their talents. In the meantime, Festo Didactic offers
around 40 public training classes each year, suitable for staff training for small-sized
enterprises.
“With our Didactic activities, we can help our European, international and also Asian
customers train their staff in Asia,” explained Dr. Eberhard Veit.
Corporate Educational Responsibility: practical-oriented engineers with multicultural
background
“Corporate Educational Responsibility” is the unique way that Festo practises its duties as a
corporate citizen.
Festo is working closely with Tongji University, Zhejiang University, Shanghai Jiaotong
University, Huazhong University of Science and Technology, Chongqing University in the
field of industrial automation, where Festo’s strength lies, including setting up scholarship,
sponsoring education and development of talents, as well as investing in the infrastructure of
the partnership universities, helping them to improve capabilities in major courses, research
and preliminary application research.
In 2004, Festo and Sino-Germany University of Applied Science affiliated to Tongji
University (CDHAW) jointly launched “Sino-Germany University Program”, designed to
introduce into China Germany’s successful third education system (“Fachhochschule” or
“University of Applied Science”), which focuses more on science application, with the aim
to foster practical-oriented engineers with multicultural background. When finishing three
years study in CDHAW, students will work on their senior year in the partnership university
in Germany. They will be granted with degrees from both universities. A total of 450 students
have gradated, of which 80% had dual degrees. The graduates are highly appraised among
industrial companies in both China and Germany.
Corporate Educational Responsibility: promote dual system for vocational training for
skilled technician
90% of companies in China have experienced considerable problems recruiting skilled
employees. Festo is exporting Germany’s successful “dual” vocational and tertiary education
system, educating skilled technician in accordance with the specific needs. As a globally
leading industry vocational education and training organization, Festo sees a great market
demand in China.
In collaboration with German Chamber of Commerce Abroad (AHK), Jinan Vocational
College and three European companies, Festo launched the program for dual system of
vocational education in China in July 2011. After more than one-year preparation, Festo
Training Center Jinan, located in the compound of Festo Pneumatics Co., Ltd will be
founded on October 30, 2012. It is the first full-scale training centre Festo has established
outside of Germany. This includes a fully equipped fitter room, traditional mechanical and
CNC workshop, a control technique room - consisting of pneumatic, hydraulic and electric
control techniques - as well as a mechatronics system training room furnished with
Festo Didactic equipment, together with computer skill, SAP and metrology training rooms.
In 2011, the first group of 50 apprentices finished their first year study on basic theory of
industrial machinery, and now is working on the second year study which combines the
theory and practical operation. They will complete the third year dedicated to on-job
trainings at workshops. After three-year study, the apprentices can expect to take on highly
qualified jobs at Festo or the partner companies.
Stronger foundation, higher building
For years, Festo’s business in China has been growing at a speed above the market growth
rate. “In China, Festo is serving a great number of large international accounts from industry
segments that cover all of our core businesses. Around 50% turnover of Festo China comes
from automotive, tire/rubber and food and beverage industries. We provide solutions
perfectly tailored to the specific requirement of customers. Therefore, Festo has expanded the
support and service engineer teams in branch offices,” Mr JJ Chen said, General Manager of
Festo Greater China, “Demand for Festo products and services, as well as our Didactic
offerings, is booming. Energy-efficient solutions for green manufacturing and Metropolitan
Solutions in the field of water/waste water have never been more popular. Through
strategic investment and lay-out in recent years, Festo has strengthened its foundation in
terms of infrastructure and talents resources for future growth in China and to better serve
Chinese market.”
About Festo Group
Festo is a worldwide leader in the field of automation technology and the global market leader for technical training and
continuing vocational education. It is an independent family company, established in 1925, with headquarter in Esslingen,
Germany. The company provides pneumatic and electric drive technology for over 300,000 customers in 200
industries world-wide both for factory and process automation. Festo Didactic offers equipment for technical learning
centres, as well as training courses to over 40,000 customers worldwide. The Festo Group achieved sales revenues of over €
2.1 billion in its fiscal year 2011, with 15,500 employees represented world-wide in 250 locations.
Festo started its business in China since 1985. Currently Festo has 42 sales and service centres in China. Festo Asia Pacific
Technical Centre and Solution Engineering Centre in Shanghai provides customers in the region with products and solutions
tailored to their applications. The global production centres in Jinan and Shanghai, together with Regional Service CentreChina in Jinan ensure supply and service to China market. Festo has approx. 1,800 employees in China today. Festo serves
industries like automotive, tyre/rubber, food and beverage, electronic and light assemblies, flat panel and solar, biotechphama and water/waste water plants with pneumatic and electric technologies and total solutions.
More information, please contact:
Ms Lisa Liu
Corporate Communication Manager, Asia-Pacific
Tel: +86-21-6081 5482
FAX: +86-21-6081 5556
Mobile: +86 139 1620 3974
E-mail: lisa_liu@cn.festo.com
Festo Group Website: www.Festo.com/zh
Festo China Website: www.Festo.com.cn