CT: What is the current status of production at the facility?
EP: Manitowoc Crane Group has acquired it and production has yet to start. We are currently refurbishing it to make it ready for crane manufacture. To date we have hired 40 employees and plan to increase that to 90 by the end of the year. MCG owns the building and the land. The site covers 49,000 sq m.
CT: What did it used to make?
EP: The site was built by engineering company CKD Group of the Czech Republic in 1984 which used it to manufacture road haulage trailers. It was subsequently acquired by Valcovna Profilov in 1998 which had its own industrial plans for the plant, although these were never put into place. It was purchased 100% from Valcovna Profilov.
CT: Why this place? Why set up in eastern Europe rather than expanding Potain’s existing facilities in Portugal?
EP: The facility is close to the growing markets of Eastern Europe and Russia. It will increase manufacturing capacity in the EMEA region and is in line with one of MCG’s central philosophies that customers should be served on as local level as possible. It certainly does NOT spell doom for the Porto facilities. [In fact, the company has begun a programme to expand Potain’s Porto, Portugal facility as well].
CT: Did MCG choose this facility partly because of lower labour costs? If so, why not buy/build a factory in Russia itself?
EP: Costs were one of many considerations that made this acquisition a favorable one for MCG. But when examining potential manufacturing sites we also look at factors such as transportation infrastructure, skill levels among local people, labour laws etc. After careful consideration we chose this site as it offers greater savings and convenience for our customers and also allows us to extend our manufacturing presence.
CT: Who is heading up the project?
EP: Denis Francois, senior vice president of operations for MCG in EMEA was closely involved in the site selection and other MCG senior management were obviously involved in discussions. I am heading up the project from here.
CT: What are your initial priorities in this new project?
EP: Complete refurbishment of the production lines. This will be a carefully crafted process to ensure accepted levels of Manitowoc quality are built into the manufacturing process. This is in addition to ensuring that the factory conforms to all local legislation.
CT: When will production start?
EP: We cannot be precise, but it should be around November/December time. To start with, Potain crane models MDT 178, MDT 218, MD 208 and MD 265 will be built here.
CT: I understand that the factory will assemble Potain K-range masts using chords welded in Moulins, France. Why the K-range? Is this the range of tower cranes that is most popular in Russia/CIS?
EP: The K masts are already popular in Russia and that popularity is growing. They are easier to assemble and disassemble than other types of masts and offer longer life cycles. Factors such as these are of growing importance in this market.
CT: How will the prices of these cranes compare to those produced in factories in western Europe?
EP: There will be definite savings for customers in the region by virtue of the lower transportation costs compared to what they are currently faced with. But the cranes will be CE-marked.
CT: When will the factory move into assembly of Grove ATs and Manitowoc crawler cranes?
EP: We can’t be specific about this aspect at this stage unfortunately, other than to say it is still the intention and something we will continue to discuss.
Formerly united with the Czech Republic under Communism, Slovakia became part of the European Union in 2004, and currently sits at its eastern edge. It borders the Ukraine to the east (and the vast market of Russia is just beyond), Hungary to the south,Where is Slovakia?
