Higo expands manufacturing facilities in China
Suzhou, China -
Leading E-mobility connector manufacturer Higo expands its production facilities with 8 new buildings located in the Yancheng city, China. This large expansion provides Higo with an extra production area of 32.000m2 and allows them to create 250 new jobs. Its current office in Changshu already employs 500 people. By the end of 2020, Higo will have 1.000 employees dedicated to the worldwide production and sales of waterproof connectors.
Total control of supply chain
The investment in a larger production base helps Higo to better meet the growing demand for bike sharing projects in its home market China and to support the further development of strong evolving markets in the US and Europe. ‘The main strategy behind the extra capacity is actually twofold’, explains Franky Vanlerberghe, CEO of A&C Solutions, European distributor of Higo. ‘Higo has invested heavily in the further automation of its production lines and plans to take full control of its entire manufacturing supply chain. It intends to incorporate all connector related production processes, starting from the inhouse production of its own cables, tooling and the single-handedly turning of contacts until the complete assembly of connectors. By doing this, Higo becomes the only full service connector manufacturer in the E-bike market.’
Entering new markets
Another focus will be the expansion into related markets. With a strong focus on R&D, Higo is worldwide known for its flexibility and short lead times in which it launches tailor made connectors and cable assemblies for a great variety of E-mobility parties. To further build on this strength, it decided to accommodate its R&D and sales department in a new location in Suzhou that is designed to quickly respond to prototype requests and perform adequate testing.
Higo now also wants to use this expertise to enter new markets like the automotive industry. The required TS16949 certificate is expected beginning of 2020.
Sole ownership & local partnership
These ambitious initiatives require a long term vision and strong leadership. Within Higo this is all in the hands of the sole owner and shareholder Mr Anson and Mrs Ella. ‘The only way to make sure we remain a reliable, long term partner for our customers is by keeping the manufacturing and ownership of the business in our own hands’ comments Mr Anson.
Five years ago Higo met A&C Solutions, a specialized connector distributor, taking their first steps into the E-bike market. ‘We immediately felt our businesses could be complementary to further develop the European market. With A&C Solutions being close to support local engineers and to offer dedicated stock within 24h, we quickly realised we could actually have a strong foot on the ground in Europe’, explains Sales VP Ella.
Both parties still now are close partners ready to face the opportunities for the future together. But just now during the inauguration of the new facilities, they took a moment to celebrate the way they have travelled this far together.