Ahno and Sandvik open new cutting tool factory in Zhuzhou
December 4, 2024
Suzhou Ahno Precision Cutting Tool Technology Co., Ltd., Suzhou, China, and Sandvik Manufacturing Solutions, headquartered in Stockholm, Sweden, have opened a new cutting tool factory in Zhuzhou, China. This follows on from Sandvik’s acquisition of a majority stake in the Ahno from the previous majority owner, Ningbo Baosi Energy Equipment Co., Ltd and related parties.
The new factory is the largest investment project in Ahno’s history, and was estimated to cost around 500 million yuan ($69 million) when first announced. The facility is expected to create 400 jobs and achieve an annual output value of over 1 billion yuan ($138 million) when fully operational.
The opening was attended by over 500 guests, including government officials, representatives of Sandvik, Ahno management and customers. During the ceremony, Ahno’s founder Dr Ke Yashi stated “After 22 years of development, Ahno has become a comprehensive metal cutting solution provider, among which carbide inserts are a key business. The opening of Ahno Zhushou Insert Industrial Park has laid a solid foundation for our future success.”
China is considered a key growth market for cutting tools, with forecasts indicating yearly growth rates of more than 4% over the coming five years. To succeed in this market, analysts agree that local production and long-term commitment are becoming increasingly important.
Ahno’s main customer industries are general engineering and automotive, of which a significant portion is in electric vehicles. There is also a growing medical segment. “Ahno’s competitive assortment and closeness to customers is a great platform to drive further growth of our tooling business in China,” said Nadine Crauwels, President of Sandvik Machining Solutions. “Much of the offering is focused on fast-growing segments, which makes Ahno a perfect fit with our strategy.”
