Nuremberg/Changzhou – Our new LEONI Special Cables (Changzhou) Co. Ltd. (LSCC) facility was officially opened in a formal ceremony held on 28 March 2003. Production of special cables for the rapidly growing Chinese telecommunications market already began at the 8,400 m2 facility back in November 2002. LSCC’s customers include network operators and suppliers of network equipment for second and third generation mobile phone applications. The production facility has a target of EUR 15 million in annual sales.
First and foremost, LEONI Special Cables (Changzhou) manufactures the innovative FlexLine® corrugated coaxial cable for the Chinese market. These coaxial cables were previously manufactured in Friesoythe (Germany) and are designed especially for use in mobile phone networks as a connection between the base station and the antenna. In addition, because of their excellent transmission properties, these cables are used for internal cabling of base stations and antenna systems in the WLL (Wireless Local Loop) segment. Balanced pair, radio-frequency cable for fixed network communication enhances the product range.
Investing in the future
With strong rates of growth and tremendous potential for development China is the world’s largest telecommunications market. This is why LEONI Special Cables’ commitment in Changzhou is an investment in the future. This first step involved spending EUR 10 million on erecting the manufacturing and administration building as well as setting up the production machinery. LSCC currently employees 25 highly qualified people. In line with the forecast of market growth, especially in mobile phone, the plan is to virtually double the number of employees by year-end. When acquiring the land back in July 2001 the company already took account of future development by securing an option on a further 16,000 m2 of space.
Success factors: proximity to the customer and infrastructure
The required proximity of production to the customers, who are based in various regions of China, was a crucial factor behind the decision to set up this new manufacturing facility. Along with network operators like China Unicom, China Mobile and China Telecom, these customers also include mobile system manufacturers such as Nokia, Ericsson, Lucent and Siemens. The favourable geographic location of the Changzhou municipality between the two major cities of Shanghai and Nanjing provides an ideal logistical starting base for having short delivery routes and rapid decision-making. Another advantage of this location is the well-developed infrastructure of the Changzhou region, especially so its state-of-the-art postal and telecommunications system as well as the outstanding air and rail links.
LEONI Group has representation around the globe
Along with its activity in China, LEONI AG has representation in more than 20 other countries with almost 60 facilities and roughly 18,000 employees. Nuremberg is the hub of all the activity: from its head office in this city in central Franconia, LEONI AG controls the whole group with its Wire, Cable and Wiring Systems divisions.
A broad range of products for different sectors
Based on provisional figures, LEONI generated total sales of EUR 1.113 billion in 2002. LEONI Group’s extensive product range comprises copper wires and strands, copper flexibles, automotive cables, copper and fibre optic-based data cables, insulated power cables, control cables and cables for connecting to the power grid, special cables tailor made to customer specifications, conventional and dimensionally stable cable harnesses for motor vehicles, foil cable harnesses as well as electronic systems. Along with the automotive industry, our customer base also includes household appliance manufacturers, the information and telecommunications industry, companies in the machinery and plant engineering sector as well as manufacturers of devices, electromechanical and electronic components. LEONI’s principal customers include DaimlerChrysler, Audi, VW, General Motors, Porsche, Rover Cars, Land Rover, Siemens, Philips, Bosch, Wabco and VDO.
LEONI Special Cables GmbH
LEONI Special Cables, which is based in the north German town of Friesoythe, is one of Europe’s leading manufacturers of cable systems and special cables for the capital goods industry. Its product portfolio includes copper communication cables, cable systems and cable sets for a wide variety of applications. The company has been a subsidiary of LEONI Group since 1999.
