SGL Group's Ten-Year Presence in China   

By Wei Linlin    
Mentioning the understanding of carbon material, probably there is no such company which has as much comprehensive know-how and expertise as SGL Group does. From Air Bus A380 to Porsche racing car, from the spherical module nuclear reactor in South Africa to the state-of-the-art semiconductor plant in U.S., the products of SGL Group are widely applied in various industries.
    As early as 1996, SGL Group already aimed at the Chinese market where lies huge potential. In September 1998, SGL Carbon Ltd. Shanghai was granted its first business license. Ever since then, SGL Group has been committing to explore the Chinese market and has experienced remarkable development. In 2002, SGL TOKAI Carbon Ltd. Shanghai was established and in July 2007, SGL Quanhai Carbon (Shanxi) Co., Ltd, the joint venture with Shanxi Quanhai Graphite Co. Ltd. was founded. It is the fifth legal entity of SGL Group in China. Two months later, the opening ceremony of the new workshop of SGL CARBON Graphite Technic (Shanghai) Co., Ltd was held in Shanghai. Started as a 5-man representative office, SGL Group now has approx 500 employees in China. Along with this expanding, the business in China increased rapidly. Especially during 2004 to 2007, the annual sales of SGL Group maintained a double-digit increase. The sales in 2007 even increased over 60%, much higher than the group's global sales growth rate.
   "The future of SGL Group will be decided in Asia and China is an essential part", said Robert Koehler, CEO of SGL Group and responsible Executive Member of Asia. "It is the company's business outlook to become the most reliable and supportive supplier and partner in all carbon and graphite related products and applications in China."
    In order to promote the development of carbon material science in China, SGL Group Scholarship Awarding Ceremony was held at Shanxi Institute of Coal Chemistry Chinese Academy of Sciences on October 16th. A series of market activities has been carried out in China in 2008, as the theme of "Carbon in" activities. (CCR2008 No. 24)
   According to SGL Group, among the existed over 100 domestic graphite producers in China, there are only about ten producers whose annual production capacity exceeds 500 tons. Even among these 10 biggest producers, most of them are only able to produce medium and low grade products. In 2007, SGL Group has established a joint venture with Shanxi Quanhai Graphite Co., Ltd., which not only helps to enhance the market position of the local partner, but promote the development of carbon and graphite industry in China as well. Through such cooperation, SGL Group laid the solid foundation for graphite specialties production in China and above all, this is aligned with the strategic vision of the Chinese government to promote rising of the central region in China.
    With the industrialization process in many developing countries, the environmental problems such as global warming and pollution are becoming more serious. It is no doubt that carbon and graphite material have become a favorable choice in terms of energy-saving material, which can be widely applied in wind energy, automobile, consumer goods and national defense industries, etc. Nowadays, carbon fiber has already been used for newly developed planes and wind blades. Its applications in other market segments are even beyond imagination. Research shows that in recent years, the demand for graphite specialties in China is increasing sharply. Currently, the annual demand in China for graphite specialties is around 20 000 tons. The great market potential will lead SGL Group to a promising future.
   In addition, Mr. Robert Koehler also stated that the management of SGL Group always advocates a corporate culture open to all employees and a flat management structure. Respect and understanding to local culture is an essential part for the group's profitable growth.