Engel expands its European manufacturing network with a new plant in Serbia
Injection machine maker Engel is opening a new 13,000 m² manufacturing facility in Kikinda, Serbia; around 150 people will be employed in the first three years.
Austrian injection machine manufacturer Engel has announced the opening of a new manufacturing facility in Kikinda, Serbia. In the first phase, machine parts will be processed at the 13,000 m² facility; the company plans to employ around 150 people over the next three years. Peter Jungwirth, commercial director of Engel's Czech Republic unit, will head the plant.
Why Serbia?
Engel CEO Stefan Engleder summarizes the rationale for the investment, compared with sourcing directly from Asia, as "cost efficiency and greater flexibility." The goal is to reduce dependence on supply chains based in East Asia and offer European and American customers shorter lead times and more stable supply. This will also let the main plants in Austria focus on more complex, customer-specific system solutions.
Knowledge transfer
The new team in Serbia will be trained by experienced Engel staff from Austria; the aim is to maintain the same quality standard across the manufacturing network.
What does this mean for a molder?
This news doesn't bring a direct process change, but it's an important signal on the supply-chain side: large machine manufacturers are shifting critical component production from Asia to Europe to shorten lead times. For businesses planning lead times for new machines or spare parts, this kind of capacity news can be useful for order timing.
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