After a construction time of just 16 months, Leuze has opened its new production site in Malacca, Malaysia. With immediate effect, Leuze sensors will be produced there for the international market. Leuze’s Asian customers are primarily supplied from Malaysia.
Based on 2020, sales of the Leuze electronic group should double again by 2025. For Sensor People, the construction of their new Leuze production site in Malacca represents a key element in their global growth strategy, and a milestone in the company’s history. Construction of the new building, which involved many local partners, began in January 2021. Just 16 months later– in April 2022 – the plant was completed and, after a successful start-up phase, officially opened in July.
To be able to meet the high global demand for its sensors and ensure a short delivery time, Leuze will double its production capacities by the end of the year. To this end, the company is implementing a strategy based on multiple production locations. “This will allow us to not only further improve our delivery capability but also optimize our international logistics flows,” explains Sebastian Raible, Managing Director of Leuze Electronic Malaysia and on-site project manager of the construction project. We implement the philosophy of process equality. This means that all production facilities worldwide are organized in the same process: same temperature, same humidity, same pressure.
“The work islands are built, tested, and duplicated in Germany and are then used all over the world,” explains Jochen Wimmer, COO of the Leuze Electronic Group.
The production and warehouse logistics facilities covering an area of 4,500 square meters make up the bulk of the new plant. An additional 1,000 square meters are used for administration purposes. Areas totalling 7,000 square meters are available for a second expansion phase. Starting with 85 new local workers. By the end of the year, there will be over 100. With the growth of the plant, another 100 new employees are to be recruited in the first expansion phase. More will follow in the second expansion phase.
To read more exclusive features and latest news, see our latest issue here.
Media contact
Editor, International Trade Magazine
Tel: +44 (0) 1622 823 922
Email: editor@logistics-buyer.com
