Nexans opens a new special cables plant in Shanghai, China
Shanghai, April 6, 2005 - Nexans, the worldwide leader in the cable industry, has held a grand opening ceremony, in presence of Gérard Hauser, CEO of the Group, to mark the official start of production at its 22 million Euros special cable plant in Shanghai, China. The event follows the successful completion of nine months of plant construction and equipment testing and was attended by approximately 150 participants including Nexans' business partners and customers from shipyards, rolling stock makers, nuclear power plants and government officials. The new plant, named Nexans (Shanghai) Wires and Cables Co., Ltd., covers a land area of about 50,000m2 in Waigaoqiao Free Trade Zone Shanghai and employs about 80 people. Nexans has imported all the equipment from Europe to ensure the same product quality as its European operations.
With the aim of increasing Nexans' competitiveness against both local and international players, the new plant has been designed in two phases. The first phase is to produce shipboard cables, rolling stock cables, cables for nuclear power plants and security building cables. The expected annual turnover is about 15 million Euros by 2009. The products are mainly thermoplastic and XLPE insulated special cables, which are easy to install and safe to use, thanks to light weight and small dimensions, as well as low smoke, zero-halogen, fire-resistant and fire-retardant performance specifications. In the second phase, the capability to manufacture rubber-insulated cable will be added. This is to address future possible "Transrapid" projects in China as well as mining and other applications needed in local industrial applications.
As one of the world's leading cable manufacturers, Nexans entered into the Chinese market during the 1980's. Through business expansion, it has continuously strengthened and developed product localization in China. Nexans has set up three industrial ventures since 1994, as well as a logistic center to support its sales effort in the region. The new plant can be regarded as the largest 100 percent Nexans subsidiary in China today and represents a significant step by Nexans in its commitment to implement localized production in the country.
At the opening, Michel Lemaire, Nexans' Executive Vice President North America and Asia Area: "Thanks to the support from our colleagues, management and business partners, the new plant is operating successfully and quickly. This facility is a production center in China for special industrial cables and has been established in response to fast growing local market demands as well as our customers' increasing pressure to provide localized products and services. We are confident that we have made the right choice in establishing this new plant in Shanghai, as it enables us to supply our customers with advanced, quality products, as well as providing them with after sales services and a short delivery period".
Nexans is the worldwide leader in the cable industry. The Group brings an extensive range of advanced copper and optical fiber cable solutions to the infrastructure, industry and building markets. Nexans cables and cabling systems can be found in every area of people's lives, from telecommunications and energy networks, to aeronautics, aerospace, automobile, railways, building, petrochemical, medical applications, etc. With an industrial presence in 29 countries and commercial activities in 65 countries, Nexans employs 20,000 people and had sales in 2004 of euros 4.9 billion. Nexans is listed on the Paris stock exchange. More information on www.nexans.com