RM Group Ningbo Co. Ltd. expands their Factory in Ningbo. By Ole Jørgensen, MD, RM Group A/S

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The factory, which is located in Nordic Industrial Park in Ningbo south of  Shanghai, currently has 48 employees and this number is expected to rise to 150 within the next two years.

The factory was established in Nordic Industrial Park in 2004 and until 2007 the total factory area was 2,000 m2. At the end of 2007, the factory moved to new premises and they now have 4,000 m2 at their disposal – with an option of an additional 2,000 m2. Since the upstart in China, RM Group Ningbo has had quite a number of Danish customers from the metal industry, wind energy and cement sectors.

Ole Jørgensen, MD of RM Group, explains, ”We have been working hard to focus our efforts and we will continue to focus on customers with a clear strategy for outsourcing production. We manufacture a growing number of finished products and we expect that these products to an increasing extent will be sold on the Chinese home market too.”

In addition to manufacturing for customers, the factory also manufactures their own products mainly related to hot forging and mounting for RM Group’s other companies and own production. Own production which includes machining is expected to rise from around 25 per cent to about 50 per cent within the next two to four years. This will not be to the detriment of the production in Denmark but will be supplementary.

Ole Jørgensen adds, “In order to ensure continued growth and transfer of technologies and of the business model, we need to have more Danish employees in Ningbo in the years to come. At the beginning of this year we are therefore employing a CEO and managers for three newly created positions as Production manager, Logistics Manager and Project Manager.

We are also expecting growth in Denmark – for it is not EITHER OR. There are currently 135 employees in Denmark and we expect that number to grow.

Ole Jørgensen, MD, RM Group A/S 

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