Shangong Group Intensifies Position in Sewing Industry
Acquistion and Associations With Agents in India Hints at An Interesting Journey Ahead
Shang Gong Group was the first-ever Chinese manufacturer of sewing equipment to go public. Headquartered in Shanghai Free Trade Zone, Shang Gong has over 30 branches and subsidiaries, 15 of which are overseas. With more than 5,000 employees, 49% of whom are international staff, the company deals mainly in sewing equipment, office machinery, film material, commerce and trade, and logistics services. The group took a strong position in industrial sewing technology, with the acquisition of what are now the strongest brands in its portfolio, encompassing Dürkopp Adler, Pfaff and KSL. The group is also owner of a number of household home sewing brands like Butterfly, Feiren and BEE.
The company has achieved many accolades in the sewing industry; in fact, in 2015 it became the number one limited partner of H. Stoll Gmbh & Co. KG holding 26% of its share. The revenue of the group in 2015-16 was US$415.5 mn. Shang Gong Europe has a registered capital of 12.5 million euros(us$15.375mn). At the end of 2016, its total assets added up to 1.79 billion RMB(US$ 287mn), with net assets of 0.68 billion RMB (Us$109mn).
The group recently tied up with Turel Group in India and signed an MOU for sale and services of its brands in India through Turel. Meant for both export and domestic markets, Mauser industrial sewing machines value will be augmented by the level of after sales service to be provided by the Turel Group. The company will train its technical team on the highly automated machines and gain knowledge about its working and specifications even before the machines reach the Indian market. The installation and handing will be done by trained technicians. Shanggong is planning to open a representative office in India to further strengthen the support service for its Mauser. “I will give comprehensive support - pre-sales (an application engineer will train the operators on the machine), after sales, and after after-sales to help them get the maximum out of the machine,” said Viraf Turel, MD, Turel Group.
Zhang Min, Chairman of SHANGONG GROUP cutting ribbon at Turel Group booth with Bernd Braeuer from DURKOPP ADLER AG (on left) and viraf Turel (standing on right).
Bernd Braeuer and Zhang Min.
viraf turel shaking hand with Chris Li
Dietrich Eickhoff, Deputy Chairman of the Supervisory Board addressing audience at the GTE