AC Floby Opens Shanghai Office

Automotive Components Floby expands its operations and opens office in Shanghai

AC Floby is adapting its business plan for an increasingly global marketplace for vehicles. The first step in its move towards a more distinct international presence is to open an office in Shanghai. “We have to be where our customers are. That’s why we are now setting ourselves up in China,” says AC Floby CEO Magnus Hellsten.

AC Floby is establishing itself on the Chinese market. As of September, this Swedish company, which has been manufacturing vehicle components for the national and international car industry since 1957, has an office in Shanghai.

“We have to be where our customers are. It is important for them to have their manufacturing operations where they sell their vehicles. So over the past ten years we have seen an increasing expansion of vehicle manufacturing to other countries. So that we, as key suppliers, are able to offer both service and support at the high level we strive for, we also have to increase our international presence,” says Magnus Hellsten, CEO of AC Floby.

Open business climate

The AC Floby China office follows AC Floby’s new, globally-focused business plan. However, it’s not just a question of adapting to existing customers’ increasingly global supplier structures. It is also a move into a new market, with new collaborations.

“China is an exciting market with large volumes. There is a high level of demand for new technologies and new solutions. At the same time, we aren’t bound to the same hierarchical structures we are accustomed to in Europe. That creates a more open and attractive business climate for a small operator like us,” says Magnus Johansson, director for sales and marketing.

Physical presence crucial

Although a market may be global, there are major local differences in terms of traditions and culture. A physical presence is therefore crucial for AC Floby.

“The new office in Shanghai is the first step in AC Floby’s international venture, and constitutes a cultural bridge between our two countries,” says Magnus Johansson.

Earlier in The Brake Report: Fras-Le Celebrates New China Plant


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