Growth - the next stages
- Ryder's Jiangxi Site
- A major step in the expansion of our facilities
- Introducing the new site
- Ryder has an exciting project underway: a brand new manufacturing facility!
- The new facility is located in Xin Feng county of Jiang Xi province, about 450km (280 miles) north of Shenzhen. Phase One of the project is already complete, and a new factory with production buildings and supporting facilities was officially brought into operation on the 7th of September, 2008. By the year 2010, the site is expected to be a fully vertically integrated manufacturing site with plastic, SMT and casing assembly facilities, and with 40,000 sq. meters (430,000 sq. ft.) of floor space.
- Why do we need new facilities?
- There were several factors motivating Ryder's expansion to the Xin Feng site.
- The foremost one was the rapid growth the company has been seeing. Over recent years, Ryder EMS has been experiencing annual growth rates of 15-25%, and will need more space to meet business growth requirements in the medium to long term.
- Meanwhile, operating costs in Shenzhen have been increasing rapidly. The Xin Feng plant is expected to have much lower operating costs, including wages, land and utilities.
- Local government priorities are changing in Shenzhen, with labour-intensive industries becoming less welcome. There are chances that Ryder's existing factory site in Shenzhen may be converted to commercial use after five to ten years.
- What will the new site mean for Ryder and our customers?
- The major benefit to customers of the new facility is that lower operating costs will enable us to be more competitive in our pricing.
- Thanks to the new facilities, Ryder will be able to sustain company growth over the next few years, continuing to meet customer demand for top-quality products efficiently.
- Moreover, supply will be secure, with the new site in a different jurisdiction protecting Ryder against changes in local government policy.
