Krones, the world's largest beverage bottling plant manufacturer, is considering setting up its own production in North America. "We too have to react to the geopolitical challenges," CEO Christoph Klenk told Handelsblatt today.
So far, Krones does most of its production in Germany. In the factories in Neutraubling, Nittenau, Rosenheim and Flensburg, the company employs approximately 10,000 persons. While the administrative centre for the entire Krones Group, as well as the assembly and development centers for the filling, labelling, plastics technology and process equipment are located in Germany, more than 100 sites are spread all over the world. Here, the company produces certain machines and lines, such as from the packaging and palletising technology division.
However, there is a “huge demand” in North America. “Corporations are massively investing in new technologies to improve efficiency and carbon footprint,” says Klenk. This gives Krones the opportunity to better balance the manufacturing network.
Also the Chinese market is booming, but "we're cautious there at the moment," says Klenk. It is also conceivable to set up production in India, for example. The company expects a decision to be made by the middle of the year.
Earlier today, the company published its 2022 annual report. The company reported a very successful year with revenue topping the €4 billion mark for the first time in the company’s history. (inside.beer, 23.3.2023)