GERMANY: Fans and motor manufacturer Ziehl-Abegg is to invest €28m in an expansion of production at its Hohenlohe Business Park site, near Kupferzell.
The investment is in response to increasing worldwide demand for EC technology, and includes the construction of an additional factory and the transfer of EC production from its Künzelsau facility.
“We are equipping ourselves for the future,” commented Ziehl-Abegg chairman Peter Fenkl.“By doing this we are strengthening the position of Germany and Hohenlohe in particular as a production location,” Fenkl added.
Initial estimates for the new building, which will almost double the production area to nearly 8,000m², are put at €11m.
Building work is expected to start this summer with relocation of the existing production facilities taking place mid-2017. This will involve the relocation of 140 jobs from Künzelsau to the new building.
“Relocating to a new place of work is of course often not easy for those affected” said Peter Fenkl. “Therefore, the company did not take this decision lightly. However, the existing site is already operating at full capacity and further growth at this facility is not possible.
“It is also clearly evident that this is a growing sector as the targets demanded by the European Union for energy consumption by electric drives in fans will be further tightened by no later than 2020, according to the so-called ErP Directive (energy-related products).”
Ziehl-Abegg has been producing fans in the Hohenlohe Business Park since 2003. In 2008 the site, which is used for the manufacture of centrifugal fans, was expanded to cover an area of around 19,000m². The entire Ziehl-Abegg site in the Business Park extends to 230,000m².