Electronics Production | July 13, 2007

Kimball's Nanjing facility up and running

Kimball Electronics Group, a subsidiary of Kimball International, Inc. has announced customer approval to start production at its manufacturing facility in Nanjing, China. Kimball Electronics Group (KEG) is a global contract electronics manufacturing services (EMS) company that specializes in durable electronics for the automotive, medical, industrial controls, and public safety industries.
Initial production of variable speed motor controls for an industrial customer serving the HVAC and commercial refrigeration markets begins delivery of an estimated 360,000 units per year to be completed at a rate of approximately 7,000 units per week over the next 3 years in completion of this contract.

“With this start of production, we have firmly reinforced our global footprint of capabilities," stated Roger Chang, Vice President, Asian Operations. “Not only does our Nanjing facility offer competitive advantages to our customers around the globe, but it holds potential to benefit China's own huge domestic market with future growth."

The Nanjing facility is a state-of-the-art electronics manufacturing facility, which complements Kimball Electronics' existing global footprint of operations building products to support the industrial, medical and automotive markets. Construction of the 132,400 sq. ft. (12,300 sq. meters) facility began in October 2005, with completion in August 2006. Operational testing and pre-production work for customer approvals has been ongoing. The Nanjing facility will provide printed circuit board assembly, system subassembly, and final product assembly to KEG customers. In addition to manufacturing, the Nanjing site will also provide engineering services along with supply chain support for all KEG facilities worldwide.

According to Chris Thyen, Director of Business Development, Industrial and Public Safety Industry Solutions, Kimball Electronics Group, the facility is online to serve an initial group of half a dozen customers. Said Thyen, “Our Nanjing operation is the latest addition to our package of value. Offering the most current technology coupled with a very strong and experienced operations team is instrumental to growing success in our Industrial, Public Safety, Medical, and Automotive vertical market strategies."

“This award represents a strong customer endorsement of our state-of-the-art manufacturing facility in Nanjing, and represents the culmination of intensive audits by key OEMs in the HVAC market," stated Don Charron, President of Kimball Electronics Group. “With Nanjing's achievement of ISO-9000 certification, we have created a high-quality, dual-plant supply capability for our end customers, enabling expanded support of the growing Far East markets."

Kimball made the decision to develop the China operation to strengthen its global responsiveness to customers and to add manufacturing capabilities for the automotive and industrial equipment industries. Nanjing, a city of over 6.4 million people, is located near the Yangtze River at the intersection of the Coastal and Riverside economic belts, and is the capital of the eastern Chinese province of Jiangsu. The location of this operation takes advantage of a highly qualified workforce, well established logistics for export products, and close proximity to the industries served.


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