Atlas Copco has begun construction of a new production facility in China for its Gas and Process division. Investing more than SEK 100 million (about U.S. $13.9 million) in the project, the division is strengthening its presence in the Asian market and positioning itself for future growth in customer segments such as the chemical/petrochemical, air separation industries and other applications.

The facility, to be completed and operational in late 2010, is located in Shanghai, China, and will serve China and other countries in the region. Atlas Copco will assemble and package its entire range of turbocompressors and expansion turbines at the new facility, improving overall efficiency in packaging, order handling, as well as its aftermarket presence.

“China, Korea, Japan and Southeast Asia are markets with vast potential for turbomachinery solutions,” said Stephan Kuhn, business area president of Atlas Copco Compressor Technique. “Producing closer to the customer will help us be more efficient across the board, from purchasing of components all the way to the aftermarket.”

As part of the investment initiative, Atlas Copco Gas and Process will also implement all relevant quality standards at the plant, including ISO certifications and necessary local standards.

Atlas Copco is a world provider of industrial productivity solutions. The products and services range from compressed air and gas equipment, generators, construction and mining equipment, industrial tools and assembly systems, to related aftermarket and rental.