Hialeah, Florida-based REACH Cooling Group has announced the upcoming launch of its new manufacturing plant in Jiangsu, China. The new factory will further expand REACH’s production capacity, and will operate in tandem with its current manufacturing facility in Shanghai.
The Jiangsu factory will become fully operational later this year. The new plant’s workforce will consist of 500 employees, and will utilize three furnaces in its production. The state-of-the-art facility will be outfitted with extensive machinery and equipment to facilitate fabrication, tooling, assembly, and testing. REACH has invested more than $40 million in the construction and development of the 1 million square foot facility, which will boast an annual production capacity of more than 3 million heat exchangers. This additional capacity will serve to bolster REACH’s current annual capacity of 2 million units, for a total capacity of more than 5 million heat exchangers annually.
REACH remains dedicated to using the highest-quality raw materials for its full range of parts, which cover automotive, light truck, medium, and heavy-duty truck applications. REACH’s primary product lines include radiators, condensers, heater cores, auxiliary coolers, and charge air coolers. REACH adheres to ISO/TS16949 manufacturing standards, which ensure OE quality and reliability.
REACH President and CEO, Robert Luo, stated, “We are in the process of making substantial investments to our manufacturing and distribution infrastructure to insure the continued growth of REACH Cooling Group within the United States and throughout our global markets. Despite all of the challenges over the past 18 months, we’re very excited about the opportunities that our new factory will allow us to capitalize on – both in meeting our skyrocketing demand, and in helping us to achieve our aggressive product development goals.”
REACH has already improved its distribution logistics with the addition of a second warehouse facility in Shanghai, yielding a total of more than 350,000 square feet of warehouse space. The increased space will support the factory’s new directive to amass a minimum three months of stock demand. This robust inventory commitment will allow the factory to fill direct import orders on a much faster timeline, by reducing the production scheduling normally required to accommodate container orders processed by the factory.
REACH also will execute plans to diversify production for the North American market next year, by establishing its first manufacturing footprint in Latin America. The expansion of its manufacturing, logistics and distribution capabilities are key components in the company’s plans for continued global growth and success.
