ABB Manufacturing Hub Supports Asia Pacific’s Economic Growth

ABB state-of-the-art manufacturing hub supports Asia Pacific's economic growth

ABB new $6 million manufacturing hub for electrical distribution solutions in BacNinh province, 25km from Hanoi, Vietnam in Asia, is set to bolster the country’s rapid industrial growth. One of Asia’s fastest growing energy markets, the government expects power consumption to grow 10-12 percent annually until 2030.

At the same time, Industrial production in Vietnam continues to grow year on year, rising by 9.4 percent in April 2022. This, coupled with a 7 percent growth in urbanization means that smart and efficient power distribution solutions, such as medium voltage switchgear panels and the modular systems manufactured by ABB, will be crucial to ensure the next phase of Vietnam’s economic growth also achieves its sustainability goals.

At 15,700 sqm, ABB’s new factory is double the footprint of the 10-year-old facility it is replacing, with significantly enhanced environmental credentials. The building blocks are in place for future LEED certification, including the use of roofing material with optimal thermal conductivity and rainwater collection, the highest standards of air quality management and the scope to install solar panels. In addition, the ABB Ability™ Building Management System connects assets across the facility to allow remote monitoring and ensure energy efficient operations.

The manufacturing hub will produce 2,000 panels of ABB’s UniGear Medium Voltage Switchgear and 700 units of plug-and-play modular systems for power distribution per year, with production lines designed and set up on the successful lean manufacturing methods used in ABB’s European facilities.

Commenting on the investment, Matteo Caiti Division Hub Manager Asia for ABB’s Distribution Solutions, said: “Our new high-tech, low-impact facility will bolster Vietnam’s economic growth and lay the foundations for a successful future for ABB in the region. It is purpose designed to provide our employees with the best working conditions and ensure that we reduce our impact on the environment. More importantly, it will produce solutions designed to help our customers to reduce their emissions and energy wastage. As Asia Pacific’s industrial growth continues to accelerate, this hub will position Vietnam as a hub for sustainable power distribution in the region.”

Despite restricted travel, customers across the world will now be able to keep track on the manufacture and assembly of their systems via state-of-the-art remote monitoring technology. This involves testing engineers wearing a pair of Augmented Reality Microsoft HoloLens glasses and relaying what they see to the customer, allowing them to be virtually present in the factory and see their products being manufactured and tested without being on site.

With a current valuation of more than US$850 million and a predicted annual growth rate of nearly 15 percent, Vietnam is amongst the top ten emerging data centre markets in the world. In 2021, data centre capacity in Southeast Asia grew faster than in Europe. ABB systems not only facilitate the reliable supply of power needed to keep these running but also distribute it evenly throughout the facility. The facility will also serve several export markets including Japan and Australia.

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