Delta Tech Packaging Machinery Co., Ltd. is one of the world's largest suppliers of PET stretch blow molding machines and beverage packaging lines. The company is currently working with another Chinese company, Unique Injection Molding Systems. Cooperation, together committed to the American market and most of Europe.
Tech-Long, headquartered in Guangzhou, China, announced this partnership through the 2018 American Plastics and Rubber Exhibition (NPE2018). The company will serve as an injection molding company's preform molding system in North America, South America and Europe (except Russia). Exclusive Agent.
Keith Boss, CEO of Tech-Long Americas, based in Duluth, Georgia, said: “Tech-Long manufactures complete filling lines, each starting from preformed preforms. Therefore, this is a natural fit. At NPE At the exhibition, we showed the public that the size of many injection molding machines is perfectly matched with Tech-Long's blow molding machines.
Like Tech-Long, a global injection molding company is headquartered in Guangzhou.
He stated that Tech-Long has a promising future in the US market. He said: 'Other companies have been investing in China, but Tech-Long has invested in other markets around the world. Our business outside of China has become as large as domestic business. I am very optimistic. Think this situation will continue. '
Tech-Long entered the American market in 2012 and invested $5 million in headquarters in the suburbs of Atlanta in 2015.
He said: 'We joined the US market in 2012. Since then, we have been investing in the United States. Our first production line was sold to Sriracha's manufacturer, California HSBC Foods. Huy Fong Foods). So far it has been six years.
He said: “I’m proud that we sold the first system to customers, and then they went back and bought the second, third or fourth sets, right? My goal is to attract customers, Keep them. '
He said that about six months ago, Tech-Long also began manufacturing blow molds in Duluth.
He said: "With an increase in the number of bases for injection molding machines, it is very significant for us to do some production in the United States."
'We invested more than $1 million in capital equipment for production. We created some job opportunities in Atlanta.' He said that he has hired three employees in the area.
At the NPE show, Tech-Long exhibited two PET stretch blow molding machines, one is an eight-chamber carbonated soft drink bottle blowing machine with an operating speed of “industry-leading”. The new product introduction, one of the latest designs, A two-chamber oval container blower using the company's preferred heating process.
The partnership that Boss called the 'strong alliance' has existed between the two companies for several years. China Tech-Long was once an investor in injection molding companies, but Boss said that an injection molding was bought back from Tech-Long in 2017. These shares. However, the two companies have been working side by side in this way.
He said that the partnership was also partly due to his long-term friendship with Xu Zhijiang, an injection molding boss.
He said: 'We have been working together for a long time.' Including working together at Husky Injection Molding Systems.
He said that Tech-Long executives also believe that an injection molding is occupying market share.
Boss said: 'We have been monitoring the progress of an injection molding. This is critical, so we want to participate. We are very optimistic about their products, and we feel that these products can be sold in our market. I think The market is looking for alternative products. '
Vision of an injection molding
An injection molding company has installed 150 systems in China and installed 50 to 60 systems in Africa, Europe, the Middle East, Asia and the Americas. It is time to enter the US market.
Xu Zhijiang said: 'In the Chinese market, all customers are only looking for low prices. This is a problem. But in the developed market in the United States, customers will look for new technologies and some innovative technologies.'
He said: 'I think the United States should be the main project for my future. In the next few years, we can achieve tremendous growth in the U.S. market.'
First, Tech-Long will distribute an injection-molded PET preforming system and then add more injection-molded products, Boss said.
The two companies stated that the result of this cooperation is to provide the market with a complete packaging line from preforming to packaging infusion and that it will extend the cooperation to the service.
Both Boss and Xu Zhijiang believe that their work experience at Husky Injection Molding has shaped their business strategy and let the two companies together provide a complete solution.
Boss said that Husky's business model of injection molding, in addition to Husky, in fact, only one company really do.
A plastic injection in the US market has just begun, but Boss said that in 2017, sales of an injection molded in the United States increased by 100% over the previous year, and 2 machines were sold.
He said: 'We started small and we can do very well. So, I believe we can be important players in the market.'
He estimated that it will take about five years to really open the North American market.
Boss and Xu Zhijiang also stated that the U.S. market will be a boost for them to enter the Mexican and South American markets, especially Brazil, Peru and Argentina.
To help drive market development, the two companies also announced that Fred Pinczuk, an industry veteran with 22 years of experience, has joined Tech-Long America, a business development manager for injection molding and Tech-Long equipment, and is responsible for marketing, sales and After-sale service.
In an interview at the Shanghai International Plastics and Rubber Exhibition in late April, Boss and Xu Zhijiang also discussed the possible threats posed by the trade war between China and the United States, but said that they did not worry too much about it.
Xu Zhijiang said that he thinks this will not be a long-term problem: 'This is a path that can be advanced. I believe we can successfully enter the US market.'
Boss added: 'We will not give up, so if the threat comes, we must stand the test of the crisis. You know, I believe this is a negotiation. In the end, the problem to be solved will not be as bad as it is now.'
He admitted that there will be competition in the US market, but most of the competition comes from European manufacturers.
He said: 'If the trade war happens, our backup plan is to have a firm market and competitive pricing. If this means adjusting our pricing, we will have to adjust the pricing. Hope this is not a long-term situation. We are not afraid European manufacturers. We can compete with them in terms of innovation and price.