Stalatube opens new production facility in Lodz, Poland

04 October 2019

Stalatube Oy of Lahti, Finland, has invested a total of EUR €20 million in the past two years, of which EUR €7 million has been invested in a production facility in Poland. With the Polish subsidiary and new production lines, the company will improve its competitiveness and significantly reduce delivery times, especially in the Central European market. The official opening ceremony for the Polish plant was held on September 27, 2019.

Centrally located in Poland at the intersection of motorways, the Polish production unit serves as a manufacturing facility for more labor-intensive processed tube and profile products for the global market. With this investment, Stalatube seeks to strengthen its position in the end-user field of stainless steel tube and profile products, in particular closer to European end-user customers. Stalatube’s largest export country in Europe is Germany, within 300 kilometres of the Polish plant in Lodz.

The company has leased a new production facility of approximately 9,000 m2 for its operations, investing roughly EUR €7 million in modern manufacturing technology during 2018 and 2019. The new high-tech plant is largely automated at all stages of the production process and meets stringent environmental criteria, safety and energy efficiency requirements.

The facility consists of two product lines: one for tube components, and the other for welded tubes and profiles. With further investments to be made by 2020, the plant will also start producing ready-made welded structural solutions for selected end-user sectors.

The tube component production line uses structural steel tubes manufactured at the Lahti plant, processing them into end products for various industrial sectors, with the largest customer segment being the bus manufacturing industry. Component production consists of various types of processing steps, such as laser cutting and marking, tube bending, welding, and various kitting and logistic services; if necessary, delivered all the way to the customer’s own production line. Poland is one of the largest bus manufacturing countries in Europe.

“Further processing in Poland supports the Lahti plant, as only about 10% of our invoicing will remain in Finland,” explains President and CEO, Jukka Nummi. “More than half of Stalatube’s sales go to the European market and the processed products from Poland can be delivered to customers in a matter of hours, while shipping from Finland to Central Europe would take three or four days. In addition, Poland itself has become Europe’s fifth largest stainless steel market.” 
The production of welded tubes and profiles is aimed at the global steel market. “Our goal is to provide our customers with ever-improving, tailored and, above all, faster service,” says Pauli Rumbin, Managing Director of Stalatube Poland. “We also produce customized welded tubes and profiles for both wholesalers and end-users with extremely fast delivery times. Our production investments in this product category cover the entire production chain, from material pre-treatment to surface treatment of the finished product. Tube and profile products can also be further processed according to customer needs,” Rumbin continues.

The plant will reach full production capacity by the end of 2019, employing about 30 people in Poland. The design, procurement, and support functions also provide significant employment in Lahti. The official opening of the facility was celebrated on September 27, 2019 with staff, customers, and partners. The plant was inaugurated by Juha Ottman, Ambassador of Finland to Poland.

Press release and image courtesy of Stalatube