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Voith Turbo eyes China’s alternation upgradesBy Jiang Jingjing (China Business Weekly)Updated: 2004-11-24 09:04

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Voith Turbo, a baton in the development of ability manual products, pledges to get complex with China’s railway advance projects, abnormally afterwards the company’s success in the nation’s burghal busline business.

Hermut Kormann, admiral and arch controlling administrator of Voith Group, said the ability manual business will be the force that drives the aing in China over the aing few years.

“Voith Turbo can advice China access ability back utilizing power, which can accommodated the country’s burning needs, forth with the fast-growing economy,” he said during his appointment in Beijing beforehand this month.

Birgit Suberg, managing administrator of Voith Turbo Ability Manual (Shanghai) Co Ltd, said the aing has accustomed its acceptability in China as an able in ablaze abuse and underground line.

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The firm, Suberg added, will now focus on the added profitable, long-distance railways.

The German behemothic is eyeing China’s projects to advancement its trains, which will access the accepted railway busline acceleration on all of the nation’s abuse curve from 80 kilometres per hour to 200-350 kilometres per hour.

“We accept brought the world’s most-advanced technology to win orders for ability manual genitalia for 200 accelerated trains, which is the firm’s aboriginal balloon in China’s long-distance alternation business,” Suberg said.

Voith Turbo holds 80 per cent of the European market, in agreement of sales of manual genitalia for accelerated trains in Europe, she added.

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China’s Ministry of Railways afresh alleged for accessible bids involving the assembly of 200 accelerated trains.

French behemothic Alstom, Japan’s Shinkansen, German aing Bombardier and bounded manufacturers Changchun Railway Vehicles Co Ltd and Nanche Sifang Locomotive Co Ltd accept won bids.

Voith Turbo is blockage in aing contacts with those firms, and is assured to accommodate them with the manual technology.

Over the continued term, Voith Turbo hopes to win an adjustment to accumulation manual genitalia for the Beijing-Shanghai accelerated railway project. The activity charcoal at the approval stage.

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The line, which is accepted to amount added than 100 billion yuan (US$12.08 billion), has bent the absorption of several adopted firms — including Alstom, Siemens and Shinkansen.

Suberg said Voith Turbo can accommodate couplers and accessory arbor drives, which can access a train’s acceleration by at atomic 50 per cent, while guaranteeing a safe, adequate journey.

The aing began exporting its articles to China in 1992, back it had a arrangement to accumulation genitalia to Shanghai’s No 1 busline line.

In 2001, Voith Turbo accustomed a branch in Shanghai and, the afterward year, began affairs made-in-China products. The move was aimed at abbreviation the costs of the products, and at affair China’s “localization” requirements.

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Chinese Government’s rules agree the nation’s railways charge accept 70 per cent bounded content.

Voith Turbo’s revenues — 8 actor euros (US$9.6 million) aftermost year were three times greater than they were in 2002, Suberg said.

“We started with projects in developed cities, area there is greater appeal for aerial technology. Now, with the colossal activity of advance trains, we accept absitively to extend to the business,” she said.

Voith Turbo believes co-operation with its Chinese partner, Changchun Railway Vehicles Co Ltd, has helped it strengthen its attendance in China.

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Voith Turbo and its Chinese ally frequently use diagrams to ensure they acquaint effectively, and again ability a accord on an activity plan, she added.

Voith Turbo’s Chinese ally consistently accommodate admired ability about bounded operations, Suberg said.

Voith Group, which is Voith Turbo’s parent, has businesses in cardboard apparatus manufacturing, hydro ability bearing and t production.

The accumulation has 14 subsidiaries in China and employs 833 employees.

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Last year, Voith Accumulation accustomed orders account US$726 actor in China, which accounted for 10 per cent of the group’s common revenues.

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