Spain / China | Copper producer and scrap metal consumer La Farga Group expands its sphere of influence to China, creating, with two local partners, a new production plant exclusively of railway products for the Asian market.
This new plant will manufacture copper and alloy products for the railway sector and must enable the emerging needs of this sector in the Chinese market to be provided for.
Until today, La Farga Group has supplied a large part of the European and American railway lines market. Now, however, with the expansion of the Chinese market in this sector and due to its distance, La Farga Group had chosen to enlarge the holding through the creation of a new company specialised solely in the manufacture of railway products.
This new company, called Ganzhou Jiangwu - La Farga High Speed Railway Copper Materials, will begin its activity in August this year and has made an investment of US$6 million. In the last year, the Chinese market has created 5,557 kilometres of railway lines, including the fastest high-speed line in the world.
The creation of Ganzhou Jiangwu - La Farga High Speed Railway Copper Materials has been possible due to the union of three investment partners: La Farga Group as majority partner and which acts as technological partner and specialist in the railway sector and two more partners: a private one and one belonging to the government of the province of Jiangxi (being the main producer in the world of tungsten), both of which will provide knowledge of the market and the culture of the country.
The company will manufacture the whole range of products for railway electrification in order to supply the new investments planned in this country. In total there will be 45 employees.
Faced with a market that demands specialised products and the constant research of new materials with new qualities, La Farga Group has specialised part of its production in the manufacture of high-service railway products. The desire for growth of the family holding, the longterm vision of the company and as a result of the big demand from the Chinese market, has enabled the La Farga Group to expand its business with the setting up of this new production plant for railway products in the Asian continent.
Acknowledgement
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