Chinese metalworking fluids supplier Amer Lubricant Technology Co. is building a production facility in Dongguan, Guangdong province, where the company is headquartered.
With an investment of about ¥130 million (U.S. $20.2 million), the plant will make not only metalworking fluids, lubes and greases, but also parts such as grinding wheels and crucibles. The facility, which also includes a research and development center and a smart warehouse, is scheduled to start operation in 2022.
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“The facility marks Amer’s transition from a metalworking fluids supplier to a comprehensive solution provider to China’s manufacturing industry,” Amer Chairman Wang Xiaolong told Lube Report. He added that because Amer is a protected local enterprise, the construction will not be affected by the power crunch in China.
The plan for the facility is in line with China’s 14th five-year plan (2021 to 2025), which pushes manufacturing quality improvement and infrastructure modernization, he said.
“Amer will eventually grow into a service provider for manufacturing facilities,” Wang said.
Amer recently launched an e-commerce website, Guanlian, which sells Amer lube products and facility supplies from its partners targeting three functions – metal processing, die casting and injection moulding.
“After clients place orders, we will send our engineers to provide services accordingly,” Wang said. “I believe it will be Amer’s new advantage.”
Amer is actively expanding outside China. The company has a blending facility in Vietnam and many sales and service offices in Vietnam, India and Indonesia.