Electronics Production | October 20, 2006
Swedish EMS using Eastern Europe<br>as a key to competitiveness
Hammlet Elektronikproduktion, an EMS provider based in Northern Sweden, has found that the ability to offer low cost manufacturing in Eastern Europe is a key to success on the Swedish market.
Hammlet Elektronikproduktion AB suffered alot in May when the company's largest customer Profoto chosed to transfer its manufacturing to the Stockholm based EMS provider OrbitOne. Profoto represented 70% of Hammlet's revenues and since then the Northern Swedish EMS provider has reduced its workforce by more than 43%. In the region of Jämtland there has been an alliance formed to enhance the region's competitiveness and from the 39 participating companies you find four EMS providers collaborating on sales activities. These are Solectron, GELAB, Hammlet and BKS. Despite that the companies all are EMS providers the alliance seems to complement eachother. "Even if GELAB has 90 employees we at Hammlet with 16 employees has the ability to offer a low cost alternative in Riga", Hammlet's CEO Mats Löwgren told evertiq. Hammlet is cooperating with Alton and SGJ International, two EMS providers in Riga, Latvia. "In talks with certain customers we are out of chance if we can't present a low cost alternative as well", Mats Löwgren told evertiq. Many companies in Sweden are looking at Eastern Europe to obtain competitiveness on the Swedish market. The nearness to the European market many often makes Eastern Europe a more attractive alternative than the Asian manufacturing alternatives. Below you find a list of some Swedish EMS providers with low cost alternatives in Eastern Europe. EDC Kaunas, Lithuania PartnerTech Gdynia and Sieradz, Poland NOTE Gdansk, Poland; Taurage, Lithuania; Pärnu, Estonia LEAB Tallinn, Estonia Mikromakarna Cooperating with a Russian EMS in Murmansk Wintech Tallinn, Estonia FABEC Tallinn, Estonia Rimaster Czaplinek and Gorzow, Poland Teknoprod Gdansk, Poland Norwegian EMS provider Kitron also has a manufacturing unit in Kaunas, Lithuania.