Taiwan-Based Quanta Computer Signs With CTP for High-Tech Build-to-Suit Production Facility at CTPark Jülich in Germany
16 April 2024 - 9:00AM
Business Wire
- Further evidence of Asian firms to
‘nearshoring’ production sites to Europe -
Regulatory News:
CTP, Europe's largest listed developer, owner, and manager of
industrial and logistics properties by gross lettable area (GLA),
has signed a deal with Quanta Computer Inc. (Quanta; TWSE:
2382.TW), a leading Taiwanese company that manufactures computers
and electronic hardware, for a high-tech pioneering 22,500 sqm
production facility at CTPark Jülich in the Brainergy Park Jülich
in northwest Germany. Quanta is further expanding its global
footprint in producing state-of-the-art technology products for
clients in Europe.
The deal is further evidence of the ‘nearshoring’ trend that is
seeing a growing demand from Asian companies looking to expand
their production space in Europe driven by a changing geopolitical
environment and post pandemic supply chain disruptions.
Organisations are increasingly seeking to build resilient and
ESG-compliant supply chains by nearshoring their production
capabilities closer to their end customer base. In light of this,
CTP opened its first Asian office in August 2023 to be closer to
and serve its clients in the region increasingly moving their
production space to Europe. The focus is on understanding their
needs to build on CTP's capability as a full service property
partner delivering high tech space for semiconductor, electronics
and IT businesses.
Established in 1988, Quanta is a Fortune Global 500 company and
reached a revenue of approximately $35 billion in FY 2023. The new
facility at CTPark Jülich will be on a 15-year lease and is set to
display cutting edge technology with an automated production line
and use of robotics. CTP will invest €45 million to develop the
project delivering an array of special requirements for Quanta at
the build-to-suit facility, including a product testing lab and
bespoke airlocked spaces. Construction is set to begin onsite in
July and complete in the second half of 2025. CTPark Jülich is
located close to the German borders with Belgium and the
Netherlands and is within easy motorway reach of major European
cities Frankfurt, Brussels and Amsterdam.
The rocketing nearshoring trend in Europe led to demand for
factory space in the region to rise by a staggering 29% in 2022
compared to 2021, mainly driven by a rush for space from
manufacturers with CEE countries particularly benefitting.
Nearshoring is also being supported with EU policy including The
European Chips Act that encourages their production in the EU to
enhance the resilience of local supply chains and support
employment opportunities. The Act is expected to channel €43bn of
public and private investment into the manufacturing of chips in
Europe.
Jaromír Černík, Business Development Director for CTP Asia,
said: "Since opening our Asian office we have seen an
ever-greater number of enquiries from both new and our long-term
Asian clients looking to base more of their operations closer to
European markets as the rise in nearshoring gathers pace. We have
immediate access to a significant landbank across Europe, which as
an owner-developer means we can create space tailored to the needs
of clients like Quanta Computer and manage it for them for the long
term. With a multitude of clients from high-tech sectors we have
developed an unrivalled level of expertise in delivering space that
can meet the extremely specialist requirements of modern technology
focused companies.”
Timo Hielscher, Managing Director M&A at CTP Germany,
said: “In Germany we continue to see an enormous appetite from
technology focused Asian companies moving here to de-risk their
supply chains and to take advantage of the talent pool in the
country. This is a key reason why we are continuing to invest in
Germany, with one example of this being the new business park we
are building in Mülheim that will provide an ecosystem of over
160,000 sqm of R&D, laboratory, co-working and industrial and
logistics spaces for companies in high-growth sectors.”
Recent examples of Asian firms nearshoring to Europe include
Jiangsu Xinquan Automotive Trim, a Chinese manufacturer of
automotive parts. Global Taiwanese semiconductor manufacturer TSMC
is also developing its first plant in Europe, located in Dresden in
Germany. Representing an investment of around €10bn, the plant is
expected to open in 2027. In late 2023, Chinese company Topband
Smart Europe signed for 11,000 sqm of production space at CTPark
Timisoara In Romania. The major firm that manufactures controllers
for power tools, home appliances and BMS is locating an important
new production facility at the Park to better meet customer needs
in Europe and across global markets. While Chinese automotive
component company KSHG Auto Harness recently leased 13,000 sqm at
CTPark Deva II also in Romania to create new production space,
building on the 8,000 sqm it already occupied at the CTPark.
Asian clients make up 10% of CTP’s portfolio of industrial and
logistics space. They also include NIO, the Chinese electric car
company that needed space to house its first European power swap
station manufacturing facility and had precise requirements in
terms of a Central Eastern Europe location close to a local skilled
workforce and supplier base, which CTP could deliver at CTPark
Budapest West in Hungary.
ABOUT CTP
CTP is Europe’s largest listed owner, developer, and manager of
logistics and industrial real estate by gross lettable area, owning
11.8 million sqm of GLA across 10 countries as at 31 December 2023.
CTP certifies all new buildings to BREEAM Very good or better and
earned a negligible-risk ESG rating by Sustainalytics, underlining
its commitment to being a sustainable business. For more
information, visit CTP’s corporate website: www.ctp.eu
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