HEITEC founds subsidiary in China


Acquisition of the electronic packaging business of Rittal China

The goal is to expand the existing business and intensively develop the Chinese and all-Asian markets

A new subsidiary of HEITEC AG will be launched in Shanghai, China, with effect from April 2020. With the opening of its own subsidiary, HEITEC intends to take advantage of direct market access and to further expand its presence in China and in Asia as a whole. With its huge domestic market and rapid technological development, China is one of the most important foreign markets for the company.

Previously, the subsidiary REMT of the partner Rittal served the Chinese market with electronics enclosure technology products. However, HEITEC and Rittal now agreed to transfer the entire electronics packaging portfolio to HEITEC. HEITEC had already taken over the Rittal portfolio of electronic packaging systems in Europe in 2013 and successfully developed it further. With the transfer in China, the takeover of the electronics packaging business on an exclusive and worldwide basis is now complete.

However, sales of electronics enclosure technology will not be the only activity that HEITEC will focus on: The aim is to offer comprehensive services as well as system platforms and solutions: In addition to marketing and sales, technical support, product, project and supply chain management, development, production, assembly and system integration, warehousing and logistics as well as administrative functions will therefore move into an area of 1,300m². In the medium term, it is planned to establish the complete service portfolio of HEITEC AG in China, including automation, digitalization and production systems. The newly created direct market access will also open-up more opportunities for HEITEC to source components to optimize its global supply chain.

"By founding our own subsidiary, we will significantly strengthen our local presence and continue to systematically develop the region, both in terms of sales and logistics," says Roland Chochoiek, Executive Vice President Business Unit Electronics at HEITEC, who will also act as Executive Director of the new subsidiary. "If you want to be a partner to your customers for system development, you have to offer customer proximity in every respect".

The HEITEC subsidiary with initially more than 20 employees will operate under the name HEITEC Technology (Shanghai) Co, Ltd. The company is located in the Songjiang district on the easy-to-access G60 corridor, which was chosen by the Chinese government to become the new technology center, roughly comparable to the Highway 101 corridor in California. Yunling (Michael) Wu, who has many years of experience in the industrial electronics market, will run the company as General Manager.