Trelleborg is further strengthening its presence in China and opened yesterday its fifth wholly-owned production plant in the country.
The plant will manufacture products for infrastructure projects, including the fender system for harbours and dredging hoses. The plant will initially have approximately 100 employees.
The reasons for choosing China is many
-For many years, we have followed a long-term growth strategy, which implies that we invest particularly in markets with favorable growth, where China is clearly one of the leading and most important markets,” says Trelleborg’s President and CEO, Peter Nilsson.
The decision to locate the plant in Qingdao was key. It is one of the main hubs for rubber manufacturing in China, which facilitates recruitment and means that we are close to the delivery chain. The city also has excellent infrastructure with a large international harbor and a well-served airport
This company is not the first to choose China as a market. Labor costs are the main reason to why many choose China. Today there are about 550 Swedish companies in the country with some 800 establishments in total. The number of Swedish companies trading with China is more than 10 000 enterprises.
The rapidly growing domestic market has attracted many foreign companies to establish themselves in China, which for many years been one of the world's largest recipient of FDI. In particular, the manufacturing sector has grown and today it represents approximately half of the economy.
China is now the world's fourth largest economy.
Cecilia Helland