German lube maker Fuchs Petrolub SE broke ground recently on a U.S. $6.2 million warehouse at the headquarters of its United Kingdom subsidiary - a project aimed at boosting flexibility and increasing production at the facility.
Fuchs did not disclose dimensions of the warehouse, which is located at its blending plant in Staffordshire, England, but did say it will have a bay roof design and be tall enough to hold a stack of 4,000 pallets. The company plans to use it to store raw materials, allowing an existing building to be turned into a warehouse for specialist packaging.
Due to be completed by 2020, the warehouse is the latest step in a $12.5 million investment program for Fuchs U.K. operations. Other phases included installation of manufacturing machinery and a new multi-line pallet loading robot arm.
This [expansion] enables the company to grow and become more agile and efficient, a company spokesperson said. The new raw materials warehouse at the U.K. headquarters is part of our global growth initiative.
Mark Gray, head of operations at Fuchs UK, said the warehouse includes sophisticated automation that will future-proof the business and create cost-saving benefits.
Lube Report inquired whether the warehouse is part of the companys plans to shield itself from impacts of the U.K.s looming departure from the European Union. The building is not related to any Brexit issues, the spokesperson said.
Construction began in August, and the framework structure and the roof have now been completed, while the external cladding is now well underway.
The fully automated warehouse is due for completion by June 2020 and will significantly increase the amount of raw materials the business can store on site, according to the company.Its construction will also allow an existing building to become a specialist packaging warehouse.