Puls Expands Production Site

Manufacturing in Europe: More important Than Ever Before

23. Juni 2022, 8:48 Uhr | Ralf Higgelke
PULS
Puls, the power supply manufacturer, is calculating a total investment volume of 50 million euros for its main plant in Chomutov, Czech Republic, by 2024.
© PULS

Puls is continuously expanding its production site in Europe. Due to pandemics, natural disasters and punitive tariffs, this strategy of physical proximity has proven itself many times over. The company therefore plans to invest another 50 million euros in its plant in the Czech Republic by 2024.

In product development, customer needs and environmental protection are always in focus, but this also has to apply to product manufacturing. Puls has always followed this strategy. For this reason, more than twenty years ago, the company began to establish two secure mainstays for supplying its customers: one in the Czech Republic and a second in China. In 2017, the acquisition of the German power supply manufacturer Etasyn - now Puls Vario - added another production site in Germany.

This strategy contrasts with the activities of many other companies over the past twenty years. Owning and running plants in Europe was considered too expensive and as many manufacturing tasks as possible were outsourced to Asia. At Puls, however, reliable delivery to the customer is the top priority, which is why the company has had an equivalent mainstay in Europe since 1998. Based on this existing presence, the company can now focus on expanding capacities in order to be able to continue to supply its customers reliably.

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Sustainable Investment in Europe

According to Puls, such a strategy is unique among power supply manufacturers in Europe. How serious the company is about this is also reflected in planned investment. Overall, it plans an investment of 50 million euros for its main Czech Republic plant in Chomutov by 2024.

For 2024, the company plans the opening of a new building with almost 20,000 m², which will triple the production area. As a result, the manufacturing capacity of Puls in Europe will be about twice as large as in the Chinese plant.

PULS
The fact that both factories, Chomutov in the Czech Republic and Suzhou in China, have the same manufacturing equipment ensures that the power supplies can be assembled flexibly at both locations.
© PULS

Another large part of the investment goes into the automation and digitization of production processes, compensating for any disadvantages of a European location, while also reducing the risk of a remote location in Asia.

Puls is also aiming for a LEED gold certificate for the new building. LEED stands for Leadership in Energy and Environmental Design and is an internationally recognized, multi-level certification system for green buildings. The certificate is based on a detailed catalog of criteria for buildings in which special environmentally friendly measures have been taken. In 2010, the Puls plant in Suzhou, China was awarded the LEED Gold Award, becoming the fifth building in China to achieve this standard.

Long-Term Strategy Instead of Short-Term Trend

These investments are part of a long-term company strategy based on safety, reliability, and advanced technology. According to Puls, this also includes not being distracted by superficial, short-term trends.

In ​​manufacturing, this strategy is reflected in the way the company has increasingly harmonized its two plants in recent years. Both factories are equipped with the same facilities and apply the same work processes and standards. In this way, the power supplies can be flexibly manufactured at both locations.

Almost all products are produced in both plants in parallel. This is more expensive for Puls but offers greater security. If one plant is restricted in operation or even fails completely, the second plant provides a backup, thanks to the redundant structure. In times of challenging logistics, the physical proximity to the customer and the short distances help to minimize this disruptive effect.

This risk management strategy proved its worth during the Covid-19 pandemic. Despite the regionally high number of Covid cases and lockdowns - first in China, later in the Czech Republic - and temporary factory closures, Puls remained able to always deliver. Even if these large economic regions drift further apart, a manufacturing presence in each region allows higher flexibility.

Conclusion

Puls’ corporate strategy aims to offer customers and employees stability and reliability in extremely uncertain times. The company invests a lot of time and resources worldwide to maintain that commitment.  Further expansion of the European manufacturing footprint is a key element of this strategy.


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