HUBER starts up expanded production in the USA
HUBER Technology Inc., the American subsidiary of HUBER SE, officially inaugurated its newly expanded production facility on Wednesday, 17 April. On an area of around 17,000 m², HUBER USA now produces 100% directly on site, including its own full-bath pickling line. HUBER thus fulfils the requirements of the BABA Act (Build America, Buy America Act) and is positioning itself for a new and independent future. At around 40 million US dollars, the expansion of US production is the largest foreign investment ever made in the company's history.
A fundamentally new production model
When HUBER founded an American subsidiary in the USA at the end of the 1990s, the impressive development of this location was not yet foreseeable. Over the years, the initial sales and later service branch gradually developed into a production facility with growing production possibilities. The turn of the year 2023/2024 marked the start of a fundamentally new production model for the site.
Production in the USA has always been largely supported from Germany. In recent years, however, the political framework conditions have changed fundamentally. In addition to far-reaching material import restrictions, there are now also strict requirements for companies to generate the majority of value added in the USA.
Strategic realignment in 2021
HUBER reacted to this in 2021 and made a landmark decision: The site in Denver was not only to be made fit for the growth that was already on the horizon, but also to be expanded to full vertical integration. Specifically, this meant significantly expanding the existing processes on the one hand, but also designing and implementing a fully-fledged cutting, mechanical processing and in-house pickling plant on the other.
100% independent production on 17,000 m²
The project started at the beginning of January 2024: Now, HUBER USA produces 100% directly at the site on around 17,000 m² (4,000 m² before the expansion). All production steps can now be carried out on site and with the company's own capacities. HUBER not only fulfils the requirements of the BABA Act (Build America, Buy America Act), but is also positioning itself for the future in a new and independent way.
Dr Oliver Rong: ”HUBER stronger than ever in the USA”
”Today is a very special day, not only for HUBER US, but for all employees of the HUBER Group and in our company history”, said Dr Oliver Rong (Vice CEO and Chief Technical & Production Officer HUBER SE) in his speech at the official inauguration ceremony. ”The current production expansion we are celebrating today is HUBER's largest foreign investment and a strong commitment to the American market, our employees, customers and competitors: HUBER is stronger than ever in the USA, now with production as well. We can all be proud of our great development in the US market and the special things that have been created here in Denver, North Carolina. This is another milestone for the company. I am very much looking forward to the journey ahead and am proud to be part of the team.”
40 million US dollars: the largest foreign investment in the company's history
Due to the very positive developments on the American market, it is already clear today that this step, which at around 40 million US dollars is the largest foreign investment ever made in HUBER's company history, was not only a necessary decision, but also the right one.
Georg Huber: ”starting point of a new phase in the company's history”
”This event here today in Denver, North Carolina, is the result of 25 years of commitment and hard work”, said Georg Huber (CEO and shareholder, HUBER SE) in his speech. ”And it is the starting point of a new phase in the company's history, not only for HUBER USA, but for the entire group. It is the largest single investment in the company's history, which shows the importance of the US market for the future. I want to thank everyone who has been and continues to be with us on this journey.”
Current production expansions of halls P3 and P4 are nearing completion
The production area at the home site in Berching was approx. 31,000 m² until mid-2023. With the commissioning of the new production hall P3 in summer 2023 and the imminent commissioning of the production & logistics hall P4 (completion expected in mid-2024), this area will have grown to around 44,000 m².
This will result in different developments: HUBER is preparing for further growth in the company's strategic direction. In addition to growth in the market the HUBER machines to be manufactured are also getting bigger and bigger. This is mainly due to the company's continuous expansion into new product segments and the development of new processes and methods in water treatment. The areas of application are diverse and, in addition to classic municipal wastewater treatment, the industrial sector is also becoming increasingly important and changing the product landscape.
Last but not least, HUBER is also responding to a fundamental development in the labour market with the current construction measures. The extended areas have made it possible to abolish shift work in large parts of production and thus significantly improve the working conditions for employees.
Comprehensively planned new halls
The topics of sustainability and energy independence have become massively more important in recent years. An additional 13,000 m² of roof space offers plenty of potential to break new ground in terms of energy supply and will therefore be equipped with a PV system of around 1,200 kWp as part of the construction work.
In principle, the energy generated in this way is to be used for the company's own requirements and, for example, to supply the heat pump technology now being used for the first time in P3 and P4 for hall heating. To this end, planning has been carried out in accordance with the latest insulation standards in industrial construction and highly energy-efficient new buildings have been realised.
In order to be able to realise further construction activities at the site, the entire energy infrastructure, including the connection to the local power grid, has also been revised and expanded as part of the current measures. The next project to benefit from this will be the new HUBER multi-storey car park, which is expected to be completed by the end of the year.
Five production sites worldwide
HUBER currently has three other production sites in addition to its home base in Berching in the Upper Palatinate and the now significantly expanded production facility in the USA: While the Chinese market is covered by the HUBER Environmental Technology Co., Ltd. plant in Taicang in Jiangsu Province, MENA-Water in the United Arab Emirates serves the Middle East region together with production at the headquarters in Berching. Production for the local market is also carried out in India.
