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Vekoma China
As it continues to build more and more products for customers in Asia, Vekoma Rides Manufacturing’s associated company Huisman has established a major new production facility in China. Customers as far apart as India and Australia are expected to benefit from the massive new factory in Zhangzhou City, Xiamen, which will help cut costs and, significantly, delivery times for new rides in this part of the world.
Vekoma Rides actually established a presence in China in August of 2004 when Huisman opened a plant at Guangzhou in Guangdong province. But that was only a temporary measure, designed to get products to Asian clients quicker with lower transportation costs, and in China at least, save them the massive import duties.
All these benefits and more will be offered on products leaving the new factory, which replaces the operation in Guangzhou. Located directly alongside the Pearl River, the Xiamen plant allows Vekoma Rides to load ride components directly onto the water. This easy access to the ocean will be of particular interest to Huisman, which constructs a variety of marine lifting and pipe-laying equipment. Indeed, it was the association between Huisman and Vekoma, that made it possible to establish a presence on this scale in China, and a smaller but still very significant operation in the Czech Republic. Quite simply, one manufacturing discipline supports the other, and helps shore up the workload during a slack period for either side.
Workshop wonder
Peter van Bilsen, Vekoma Rides’ senior vice-president of marketing and sales, admits that typically only 10 per cent of the factory in Xiamen will be concerned with the manufacture of amusement rides at any one time, but it’s nice to know there’s more if needed. “If an order is needed fast, we can also double the workforce.”
Located in the Fujian province, the new operation covers a total area of 27 sq km and comprises 10 workshops, a giant four floor office block, staff accommodation and sporting facilities, and is way bigger than Vekoma Rides’ existing production facility in the Netherlands.
Trading as Fujian Huisman (medium sized companies in China are required to incorporate the local province into their name), the first phase was due to open last month with 30 office staff and 120 on the shop floor. Training of Chinese engineers has already begun at Schiedam, the Netherlands, and in the Czech Republic and by next year up to 400 staff will be employed on site.
Happy to help
Despite some delays in construction, things have gone relatively smoothly. “Europe is getting not only more and more expensive, but also more bureaucratic,” reckons van Bilsen. “Here they want to help you. For example, the company was formed in just two weeks!”
But the Dutch manufacturer intends to hold on to its roots. “We still want to keep some production in Holland, and will split things up so they cannot be copied,” says van Bilsen. “We are proud to say to local clients that our products are made in China, but with European design and flair.”
Design, engineering and production of trains and other essential components are expected to remain in Europe for the foreseeable future and then the remainder of any ride will be constructed at whichever of the company’s plant is most convenient.
“Before, we did also subcontract to China, but we never had this level of control. Quality standards here will be the same as in Europe, they have to be. BMW, Mercedes, they all manufacture in China, but as the engineering is done in Europe, the product is the same. We expect the Xiamen facility to be able to service customers in China, Taiwan, Japan, South Korea, Australia and even India.”
Getting the orders in will be Robert Woo, Vekoma Rides’ sales manager for China, who started with the company in Guangzhou. “It is difficult to estimate the exact demand for rides locally,” he tells us. “Every big city is doing something, we see huge growth on the horizon, but we are basing our own forecasts on the slow side for now and, to start with, if we do 10 units a year we will be happy.”
Latest products
Track and supports for two Suspended Looping Coasters, two Junior Coasters, a Mine Train and a Motorbike Coaster have already been built at the plant in Guangzhou, and these and any other product from the Vekoma catalogue can now be constructed in Xiamen.
“There is still room here for products like the Boomerang and Corkscrew,” notes van Bilsen, “but park operators and developers in China have done their research and want the latest products. It’s understandable I suppose. Clients in general these days want better rides for less money.”
While the manufacturing base in China is not expected to bring prices of coasters tumbling down, it will help Vekoma Rides control costs and hopefully stay competitive. “Labour here will not stay cheap for ever,” concludes van Bilsen, “but steel costs are good.This move gives us years ahead of other companies.”