For the fiscal year of 2017, Sumitomo (SHI) Demag with headquarters in Schwaig and production sites in Schwaig, Wiehe (Germany) and Ningbo (China) again reports a significant increase of sales and incoming orders. The successful launch of the specialist’s new generation of IntElect all-electric injection moulding machines and the positive business development in the packaging and medical segments contributed substantially to the boost in incoming orders, which rose from EUR 245.9m in 2016 to EUR 297m in 2017, and consolidated the strong upward trend. The company’s cumulated incoming machine orders for the past three years totalled about 40%.
• Incoming orders up: EUR 297.2m
• Sales up: EUR 261.3m
• Market shares in core segments up by about 20%
Alongside this development, Sumitomo (SHI) Demag has finally climbed the summit and is now market leader in the packaging segment, mostly due to thin-wall applications. Gerd Liebig, CEO Sumitomo (SHI) Demag Group, this is an important milestone: “This healthy growth inspires our customers’ confidence that we will remain a reliable partner with a clear investment strategy. In practice, this means that our strategic focus will hone in on the key segments of packaging, medical and automotive as well as on the technical advancement of all-electric machines. Hence, we will enhance this product series by introducing machines with mid-range clamping forces at the beginning of 2019. Despite the general market growth in 2017, we increased our market shares in the automotive and medical engineering segments by 10%, and even by 20% for our core segments of packaging and all-electric machines.”
As the supplier industry has been struggling with dramatic material shortages since October 2017 however, our process runtimes are far from satisfactory. “Our part delivery hang-ups are not helpful, but unfortunately not uncommon in this market,” Liebig explains. “Every day, we give our best in the daily struggle to deliver our machines on time. “Over the coming months, a substantial modernisation programme will be implemented to help with the strained delivery situation. During 2018, one in two injection moulding machines at our Schwaig production site will be modernised or replaced. At the Wiehe site, we are busy preparing for a new pull production with an annual capacity of 1,000 all-electric machines to come on-stream at the end of this year. Sumitomo (SHI) Demag expects both measures to increase production efficiency by 30%.
The new alignment of our after-sales service unit has also been completed. At present, all international service technicians are being integrated into a web-based e-solution, which will speed up troubleshooting on-site. The internet-based software solution myConnect provides customers with central access to the injection moulding machine manufacturer’s digital services such as online support, machine documentation, online order of spare parts and the management of service and maintenance activities.
Sumitomo (SHI) Demag Plastics Machinery GmbH
Sumitomo (SHI) Demag has shaped the development of the plastics industry from its very beginning. As a specialist for injection moulding machines for plastics processing, Sumitomo (SHI) Demag and its Japanese parent company are leading the industry.
The global development and production network of Sumitomo Heavy Industries and Sumitomo (SHI) Demag is comprised of four facilities in Japan, Germany and China with more than 3,000 employees. The product portfolio includes all-electric, hydraulic and hybrid injection moulding machines with clamping forces of between 180 and 20.000 kN. With more than 115,000 installed machines, Sumitomo (SHI) Demag is present in important global markets.
At Sumitomo’s headquarters in Chiba, Japan, the company manufactures machines with clamping forces in the small to medium range. Nearly 95 % of all delivered machines are equipped with an all-electric drive concept. More than 5,000 machines sold per year make Sumitomo Heavy Industries and its plastics machinery division one of the largest manufacturers of injection moulding machines in the world.
Demag’s German facilities in Schwaig and Wiehe produce the Systec Servo range with hybrid drive as well as the El-Exis SP and Systec SP range of high-speed, high-performance machines. The all-electric IntElect range for international customers is also being produced in Germany.
As early as 1998, Sumitomo (SHI) Demag set up its first production site in Ningbo/China. In 2015, the Chinese subsidiary Demag Plastics Machinery (Ningbo) Co., Ltd. installed a new facility with a 13,000 m² floor space. It is earmarked for the production of the Systec C range with clamping forces of between 500 and 10,000 kN for the Asian market.
In addition to injection moulding machines, Sumitomo (SHI) Demag offers customised and standardised systems for the part handling automation, technical and process solutions for special applications, tailored services and service concepts as well as a range of financial options to support investment in injection moulding machines.
With its comprehensive sales and service network of subsidiaries and agencies, Sumitomo (SHI) Demag is present in all major markets.