Gelsenkirchen, December 16, 2011 - After intensive preparations, the Masterflex Group is now starting its expansion into Asia. Currently, the Asian lead company Masterflex Asia Pte Ltd is founded in the city state of Singapore. In addition, a further subsidiary near Shanghai / China is being launched. While in Singapore, in addition to the management of all Asian business, the focus is on expanding trade sales in the region, production is also planned in China from 2012.
With this move eastward, Masterflex, the internationally active specialist for hoses made of high-tech plastics, is pushing ahead with its growth strategy. "In Asia, and especially in China, we see very great potential for our hose and connection systems in the medium and long term," says Dr. Andreas Bastin, CEO of the Group. "In addition to our wide range of products for industrial applications, for example in mechanical and plant engineering, our solutions for the medical and food industries, as well as our technological expertise for applications in the aviation and automotive industries, are increasingly in demand on the Asian markets."
Following its successful expansion in Brazil and Russia in 2010, this step will enable Masterflex to serve all four BRIC countries in the future. Bastin: "With a predicted annual growth rate of 8%, the BRIC countries have significantly higher growth potential than Europe and North America. We don't want to and can't ignore that."
The move to Asia was preceded by intensive preparations for market research. Bastin: "We analyzed market data and competitors for over a year, held intensive talks with existing or potential customers from Asia, conducted on-site research, visited trade fairs and spoke with German SMEs already based there - also to avoid initial mistakes as far as possible. And now action is being taken."
Some Masterflex customers from Europe and North America are producing locally. In addition, there are a large number of potential new customers: Companies from the West as well as Chinese manufacturers who want to export from there and thus have great interest in high-quality connecting elements.
The Asian business will be managed from Singapore. The manager responsible for this in the future has lived in Asia for more than 16 years and has successful experience in building up business activities in the Asian region, especially in China.
After the start in Singapore, Masterflex will commission its first production lines in China in 2012. "This will not only optimize our new Chinese location, but also reduce our logistics costs as well as our currency and general business risks," Bastin describes the approach. "The hoses produced here in the future according to Masterflex standards will cover the needs of the Asian market. This will enable customers to obtain many of our high-quality products without continental transport routes."
In the medium term, the complete product range of the Masterflex Group will be offered locally. In addition, expansion into neighboring countries is planned. Bastin: "Made in Germany has a really good sound here. You have to take advantage of that. And in view of the uncertainty about further economic development in Europe as well as in the USA, everything speaks in favor of a further foothold in this growing economic area of the world."