7 November, 2008
SHANGHAI…Diversified industrial manufacturer Eaton Corporation today announced the purchase of a new Asia Pacific headquarters building in the International Business Park of Changning District, Shanghai. The major investment highlights Eaton’s confidence in the Chinese economy and signifies its continued growth in the region.
“Sustained growth in China is a key component of Eaton’s global business strategy,” said Alexander M. Cutler, Eaton chairman and chief executive officer, in meetings today with Chinese media. “This investment further demonstrates our long-term commitment to China, the Shanghai area, and to powering businesses and our customers worldwide with the products, innovations and technologies they have come to expect from Eaton.”
Shanghai has been the headquarters for Eaton’s Asia Pacific operations since 2004, when it was moved from Hong Kong. The new, eco-friendly Eaton Building will take up a total gross floor area of approximately 10,000 square meters and house employees from both corporate and business operations. It offers considerable expansion space compared to current facilities.
“Despite the difficulties in the global financial markets, we believe that China’s expanding infrastructure is a priority for its economic growth, which we believe will continue for many years to come,” Cutler said. “For an infrastructure-focused company such as Eaton, China remains a country full of exciting growth opportunities, and we are well-positioned to provide our range of power management technologies to support rising marketplace demands.”
This latest of Eaton’s many investments in China is a cost-effective initiative that allows Eaton to integrate its local operations as part of a coordinated power management strategy. With the recent acquisitions of Moeller and Phoenixtec, Eaton has added more than 5,000 employees and six locations in the past year. Due to the acquisitions and Eaton’s continuing growth, the company more than doubled its China revenues in 2008.
Eaton began operations in China in 1993 and, since that time, has grown its business to include 27 manufacturing sites and more than 11,000 employees. Having set a goal to reach $1 billion in revenues in China by 2010, the company also announced that it is on track to achieve its objective well ahead of schedule.
The move to a larger, eco-friendly facility underscores one of the key drivers of the company’s success – its dedication to sustainable growth. Eaton’s many products and services that power businesses worldwide are industry leading in terms of environmental features, making them appealing to the Chinese marketplace in the wake of its increasing shift toward sustainable development.
Eaton’s impressive track record in this critical area is outlined in its first Sustainability Report for China, which was officially released today. The report offers an inside perspective on the wide array of innovative Eaton technologies, partnerships and investments that are helping to build a sustainable future for the Chinese market.
Cutler said: “We’re pleased to publish our first Sustainability Report for China. It is a reflection of our commitment to ‘doing business right’ and being a responsible corporate citizen in all the communities throughout the world where we live and work.”
In line with its industry-leading innovation expertise and its increasing presence in China, Eaton officially opened its newly expanded R&D center in Suzhou earlier this week. The nearly $10 million facility is expected to support the growth of Eaton’s R&D workforce at the site by 40 percent over the next two years.
Eaton Corporation is a diversified power management company with 2007 sales of $13 billion. Eaton is a global technology leader in electrical systems for power quality, distribution and control; hydraulics components, systems and services for industrial and mobile equipment; aerospace fuel, hydraulics and pneumatic systems for commercial and military use; and truck and automotive drivetrain and powertrain systems for performance, fuel economy and safety. Eaton has 82,000 employees and sells products to customers in more than 150 countries.