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7 Jul 2006 

ESAB opens its first welding consumable factory in China

ESAB strengthens its commitment to China’s heavy industry

ESAB Welding and Cutting Products (Shanghai) Co Ltd today announced the opening of its first welding consumable factory in China. As an innovative leader and leading global manufacturer of welding and cutting equipment and consumables, ESAB aims to strengthen its position in Asia, and sees China as a key market.

Zhangjiagang Welding Consumable Factory

The new welding consumable factory in Zhangjiagang draws upon ESAB’s existing strengths in Europe and the Americas. The welding wire will be produced with the latest technology from Europe, using the latest technology production equipment and lean manufacturing systems.

Of the annual anticipated output of more than 40,000 tones, a significant proportion will be for the China domestic market. ESAB plans to sell products from the new factory with a sales team that will help the customers increase their welding quality and productivity.

In addition to the new factory, ESAB has established a trading company to sell both the local product and other products sourced from ESAB’s global network in China, including welding equipment and other consumables. ESAB also established a new cutting machine factory in Jiading, Shanghai, last October with automated cutting systems that are sold to domestic and international customers.

Jon Templeman, Chief Executive, ESAB Global, said: “As the Chinese welding market develops, the demand for higher quality and standards will increase, creating an increased market for high technology welding products. This trend will lead to customers seeking more assistance from their suppliers and a greater use of mechanized welding and automation. This creates excellent opportunities for ESAB in China. We regard Asia as a very important market for ESAB, and China is definitely the key market.”

China’s Heavy Industry Provides Big Opportunities

China is the single largest market for welding consumables in the world with about 20% of welding consumables. The market is growing substantially and will continue to do so for a number of years. ESAB aims to participate in this growth with excellent products and a strong distribution network. ESAB’s leading new products OK AristorodTM and Marathon PacTM manufactured in the Zhangjiagang factory represent the quality and reliable performance of ESAB’s full range of products.

New OK AristoRod™ with ASC technology is created to take your MAG welding operations and systems to new levels of performance and all round efficiency in both robotic and mechanized welding.

ESAB focuses on improving productivity not only with advanced consumables but also by saving costly downtime. ESAB Marathon PacTM bulk wire system can solve the two biggest causes - wire spool change and feed problems - to reach our goal: endless feedability.

This reform is anticipated across Heavy Industrial, Shipping, Pipeline, Energy and Construction segments of the domestic steel market. China is demanding higher standards in manufacturing and ESAB offers solutions to meet these new demands.

Key Market Focus in China

ESAB is drawing on existing strengths in Europe and the Americas to focus on key market segments in China: automotive and transport equipment, construction machinery, power generation and ship building. ESAB will expand its China presence by manufacturing welding wire and using the trading company to sell to the Chinese market.

ESAB will be in China for the long-term. The new consumable welding factory in Zhangjiagang marks a milestone in ESAB’s history and strengthens ESAB’s commitment to supporting the domestic manufacturing and construction industry through world class welding technology.

Robert Wiseman, ESAB Managing Director, China said: “ESAB is one of the few truly global brands in the welding industry and our goal is to build strong brand recognition in China. Local and international buyers of Chinese produced products should know that the welding process used is not only from an internationally respected company, but is also cost competitive through local manufacture.”

Global solutions for local customers - everywhere

ESAB’s total worldwide sales are approaching USD 1.5 billion annually. Throughout the world, ESAB has 26 manufacturing locations and established sales offices in more than 50 countries which distribute products and services to more than 80 countries. ESAB aims to participate in the growing Chinese manufacturing and construction market by establishing both local manufacturing and a supply chain from its other global manufacturing locations.

About: ESAB Group

As a logical step forward, following his invention of the covered welding electrode back in 1904, Oscar Kjellberg founded ESAB. Since then, the company has constantly improved on existing methods and materials. At the same time, ESAB has developed new methods to meet the challenge presented by technological progress.

Today the company produces consumables and equipment for virtually every welding and cutting process and application.

100 years of continuous research, development and manufacture have made ESAB the world leader in welding and cutting as well as an international supplier for products and unmatchable know how and services.

ESAB's subsidiaries and distributors worldwide are ready to handle your requirements - large and small alike.