Investment in the Future

23.12.2016

Investment in the Future

Whether in Germany, China, Turkey, the U.S.A., Australia or South Africa: FUCHS invests in subsidiaries worldwide. Numerous new plants or expansions are under construction – an important step towards ensuring international competitiveness.

Top technology for China – the new plant in Wujiang

At the beginning of 2017, the project will be rolled out, by the end of 2018, it shall be put into operation: the new plant of FUCHS LUBRICANTS (CHINA) in Wujiang, a city district of Suzhou in the Province of Jiangsu, not far from Shanghai. A new plant with eight filling lines, two warehouses and a total of 50 tanks will be built on a surface area of 80,000 square meters. In view of the rapidly growing China business, lacking capacities at the Shanghai site and no opportunities for expansion due to the changes in the city planning of Shanghai, the investment became mandatory. In addition, some of the FUCHS key accounts are based in the Jiangsu region. State-of-the art technology, environmental protection measures and optimized processes will ensure that the new plant will rank among the most advanced lubricant production sites in China. It will further improve the image and increase the competitive edge of FUCHS in China.

Ongoing preparations for the construction of the new factory in Wujiang.

The best grease factory in South Africa – launch in June 2017

Higher capacities and the necessity of improving quality control were requirements the existing plant of FUCHS SOUTHERN AFRICA could no longer meet. This triggered the decision in 2015 to build a new grease factory, which is scheduled to start production activities in June 2017. Renovated existing buildings on a footprint of 622 square meters in the factory in Isando, Johannesburg are going to be used for the production of lithium, lithium-complex and aluminum-complex greases. Several visits of the project team in Germany provided valuable in-depth know-how. Staff training will also be conducted in Germany. With the sophisticated, top-of-the-line technology, the new plant in South Africa will be ready to meet the increasingly challenging customer demands. The team in South Africa looks forward to accomplishing top-ratings in terms of efficiency and quality.

By mid 2017, the new grease factory in South Africa will launch its production activities.

The new factory in Harvey will supply globally operating OEMs with grease.

Global customers in focus – grease factory in Harvey

In a global agreement, the FUCHS Group made a strong commitment towards supplying OEM customers with identical grease grades on three continents. Within the framework of the so-called 3C agreement FUCHS will standardize the manufacturing processes for OEM greases through the use of identical production facilities and similar raw materials as well as identical quality control procedures. The grease factory in Kiel will be responsible for the respective deliveries in Europe, whereas the plant in Yingkou in China will supply the Asian market and the new grease factory of FUCHS LUBRICANTS in Harvey, which will be kicked off in February 2017, will take over distribution in North America. The new plant encompasses a footprint of 3,600 square meters with production capacities for 29 different grease grades. The grease factory in Harvey will contribute to strengthening the standing of FUCHS as global supplier to the automotive OEM sector and ultimately boost the business with large-scale prospects.

In proximity to the customer – new building in Australia

It is only a few months away until the new plant of FUCHS LUBRICANTS (AUSTRALASIA) is going to be put into operation in April 2017. Due to a lack of production capacities, the Australian FUCHS subsidiary decided to close down the existing production in Newcastle and construct larger facilities in the suburb of Beresfield. About 95 percent of the subsidiary’s products are manufactured in Melbourne and Newcastle. The new state-of-the-art plant, located in customer proximity, was planned with the support of the FUCHS global engineering team and will ensure meeting the special demands of the Australian market for fast and efficient grease supply. There are another 15 sales representations in Australia and New Zealand. “The commitment to this factory and local production underlines the continuation of FUCHS’ global investment plan – including the region Australasia,” says Wayne Hoiles, CEO of FUCHS LUBRICANTS (AUSTRALASIA).

A dream come true – new production facilities in Aliaga, Turkey

Construction has already started. At the beginning of 2018, the new Opet FUCHS plant will ramp up its production. On a surface area of 55,000 square meters, a new factory will be erected for the production of a wide range of automotive and industrial lubricants but also for specialties, such as anti-freeze agents. The plant, located 50 kilometers north of Izmir, will be directly supplied via a pipeline by the Tupras Izmir Aliaga Refinery, currently the only refinery in Turkey, which delivers group I base oil. The new production facilities are equipped with top-of-the-line technology and will be the country’s most sophisticated lubricant production plant. The high degree of automation, high-tech piping and efficient processes ensure better product quality and increasing productivity. The new premises offer plenty of potential for future expansion. The former Opet FUCHS factory in Cigli, built 25 years ago, will be closed down and part of the machinery will be migrated to the new production plant.

A brand new plant will make its start in Australia.

Turkey production will be reorganized with a completely new factory.

FUCHS LUBRITECH expansion in Kaiserslautern

Strong growth, rising staff numbers and the acquisition of CASSIDA are only some of the reasons why space for production, laboratory, warehouse and administration facilities at FUCHS LUBRITECH in Kaiserslautern is exhausted. Several building plans, for example a warehouse expansion including a second fully automated high-bay storage for about 10,000 pallets, shall provide a remedy. The production expansion encompasses two new hall modules both 1,000 square meters in size. Approximately 70 new offices, the corresponding circulation areas and meeting rooms will be added with the extension of the two-story administration building. The head building, connecting the new high-bay warehouse and the new production halls with the existing building, will house the quality control laboratory, technical areas, staff rooms and the fork lift loading station. The space vacated by the migration in the existing lab will be used for the expansion of R&D labs.
The migration to new buildings is scheduled for December of 2017. “With this future-oriented expansion, FUCHS LUBRITECH sets a new milestone for continuous growth,” emphasizes CEO Markus Heck and Plant Manager Matthias Pemsel.

The continuous growth of FUCHS LUBRITECH requires an expansion of the existing facilities.

The expansion of the test bay in Mannheim provides numerous new testing possibilities.

The Mannheim site – new test bay dimensions

The new building on the premises of former Plant 1 at FUCHS corporate headquarters in Mannheim provides the space for 15 new test bays. The first three test bays have already been erected – a shock absorber test bay and a hydraulic test rig were migrated from the adjacent building, and a dual mass flywheel test bay was acquired. The new building expanding the “old” test bay building with space for 35 new test bays has a usable area of 1,200 square meters with a separate technical level and offices on the second floor. The test bay for transmissions featuring a power of 3 x 500 kW and requiring a steel foundation of 40 cm thickness is scheduled to be delivered by the end of 2017 and will take up 200 square meters alone. The rear part of the building will be used for a spraying test station where the performance of corrosion prevention agents and cavity sealants or underbody coatings for OEM vehicles or body-in-whites can be tested. “Our diversified technical knowledge provides the group-wide hub for know-how transfer“, knows Dr. Christian Seyfert, Test Bay Manager. “It puts us into the position of a service provider for the entire FUCHS Group.”

FUCHS acquires lubricant specialist – the new subsidiary Ultrachem

Ultrachem, headquartered in Delaware, U.S.A., is the youngest member in the FUCHS family. For more than 40 years, the company has been distributing synthetic specialty lubricants for OEMs building compressors and industrial maintenance. Industrial oil specialties form the core product segment at FUCHS. The company is already one of the market leaders in Europe. Ultrachem shall now serve as the launching ramp for expanding this business in the United States. The company has 25 employees and grosses sales revenues of €15 million in the fiscal year 2015 / 2016, almost exclusively generated in North America.

FUCHS worldwide

With more than 30 production plants FUCHS is setting standards worldwide.