Kapsch to close Chinese factory and move work back to Vienna

Kapsch is to close its Chinese factory and produce its railway radio modules in its Vienna plant, which will be expanded. Although it will be five per cent more expensive to produce the products in Austria than China, wages are increasing in China and if the yuan is revalued the Chinese factory will no longer be able to compete with Austria. In addition, producing the parts in Vienna will mean that the company is able to react to client demands faster; a container takes up to six weeks to get from China to
March 23, 2012 Read time: 1 min
81 Kapsch is to close its Chinese factory and produce its railway radio modules in its Vienna plant, which will be expanded. Although it will be five per cent more expensive to produce the products in Austria than China, wages are increasing in China and if the yuan is revalued the Chinese factory will no longer be able to compete with Austria. In addition, producing the parts in Vienna will mean that the company is able to react to client demands faster; a container takes up to six weeks to get from China to Austria.

The return is part of a wider trend; almost half of German companies which had moved production abroad have already brought it back, according to the Fraunhofer Institut für System- und Innovationsforschung.
Urban Traffic Control

For more information on companies in this article

Related Content

  • Pan-European travel information is a reality – at a price
    November 26, 2013
    Pan-European, multi-modal traffic and travel information is now available, for drivers willing to pay for it. Jon Masters reports. Those able to afford a new car with all the latest options including internet connectivity can now look forward to getting detailed up-to-the-minute traffic information. They can also access multi-modal travel data, such as train times, plus weather forecasts and parking availability. Take the connected car to any Western European country and the system still works with live
    Read More
  • Vehicle ownership - a thing of the past?
    May 22, 2012
    Convergence of electron-powered vehicles with connected vehicle technologies could mean that only a few decades from now the idea of owning a vehicle will be entirely alien to the road user. By Technolution chief scientist Dave Marples with Jason Barnes Even when taken individually, many of the developments going on and around vehiclebased mobility will bring about major changes in transportation. Taken collectively, the transformations we might expect are nothing short of profound. Enumeration of the influ
    Read More
  • How to win over car owners to public transit
    February 16, 2021
    Public transportation agencies need to look at what private sector firms like Amazon and Netflix have offered their customers, argues Bonnie Crawford of Cubic Transportation Systems
    Read More
  • Wireless technology aids city-wide traffic management
    October 10, 2012
    An extensive hybrid communications network in the County of Los Angeles is proving the capability and benefits of modern wireless technology for traffic management across wide areas. Wireless communications technology has found a welcoming test bed for use in traffic management systems, in the County of Los Angeles. The county has long running programmes synchronizing and monitoring traffic signals over large areas. In the process, combined with installation of advanced traffic management systems (ATMS), th
    Read More

Highlighted Content