Building up of Production and Investment in Berger China
As a major part of German Ringmetall group, Berger is the worldwide leading manufacturer of closures for drums. Besides the German production base in Berg further plants are located in 6 countries of Europe respectively Turkey. With around 400 employees Ringmetall group generates a turnover of more than 100 million €.
The big International drum manufacturers have been producing in China since quite a long time. In order to supply these key customers as well as the growing Chinese drum manufacturers locally, Berger decided to establish a production in China. In 2012 the new plant was finally built up in Changshu together with FE.
During the establishment of the production and the foundation of the Berger Closures Changshu Co. Ltd. FE has taken the responsibility for the following tasks:
- selection of the location and site as well as drafting, final negotiation and signing of the rental agreement with industrial zone in Changshu
- drafting the factory layout in close accordance with Berger as well as co-ordination of the factory set up
- selecting suitable suppliers for machinery and components as well as supporting the import of the German production lines
- drafting the business plan (together with Berger) and the Articles of Association as well as applying for and obtaining the business licence
- recruitment of all employees as well as construction and signing of employment contracts
FE invested in a 10% equity share of Berger Closures Changshu Co. Ltd. (sold in 2017) and took over a number of local tasks, such as:
- accounting, financial controlling and monthly reporting
- on-site management provided by the General Manager of FE Shanghai Co. Ltd.
- recruitment of new employees and replacement for leaving staff
- ongoing search for new market potentials in sales and procurement
- strategic advice in terms of a market oriented development of the company
- preparation, organisation and participation in board meetings
Since the operational start of the production in spring 2013 Berger has been supplying customers in China with closures made by Berger.