Local production
For leading economic nations like Germany, the economic ties
that it has formed with China are inseparable. According to
the German Engineering Federation (VDMA), German mechan-
ical engineering firms recorded sales of around 19 billion
euros in China in 2011. In a study conducted by the German
Chambers of Industry and Commerce (DIHK), China emerged
yet again as the most popular industrial location for German
industry. Today, more than 200,000 people are employed
by 5,000 German firms in China. This is driven partly by the
enormous and constantly growing demand for automation
technology. Festo currently earns ten per cent of its total
turnover and employs 1,800 people in China. To achieve the
target of 20 per cent annual growth in China, Festo inaugu-
rated its new plant in Jinan in May of this year at a cost of
around 20 million euros. According to the Chairman of the
Board of Festo AG, Dr. Eberhard Veit, this expansion will
ensure that regional market demand can continue to be met
over the coming years.
Big German firms such as Volkswagen and Siemens are also
active in China. In 2011, VW sold around 2.26 million cars
in China and has a workforce of 46,000 people throughout
the country. Siemens is the second-biggest German employer,
with a workforce of 29,000 people. The global corporation
has recognised the importance of a commitment that extends
beyond mere production in order to ensure a successful
long-term relationship with China. Siemens has 16 research
centres throughout the country.
Success through expertise
Festo has recognised the importance of investment in the
basic and further training of qualified personnel at local level
for some years now. With over 90 per cent of companies in
China complaining about skills shortages, Festo Didactic has
been providing local and international customers with
support in employee training for a number of years. Over 500
educational partners, universities and industrial training
centres benefit from the expertise of the automation expert.
The company maintains close links with five leading universi-
ties and Festo is investing in infrastructure for education,
research and preliminary application studies in these partner
The Chinese Minister
of Industry and Infor-
mation Technology, Miao Wei (middle), visits
Festo at Hanover Fair.
Tongji University:
Festo supports the educational
policy model project at the Sino-German University
for Applied Sciences.
Festo Didactic in China:
Cooperation with
over 500 partners in education, universities
and industrial training centres.
Metropolitan Solutions for water/wastewater:
Water treatment plant in Nanjing, China –
automated using Festo technology.