XP Power expands Shanghai facility

XP Power has increased the area of its 40W-1.5kW power supply manufacturing facility near Shanghai, China. XP Power completed acquisition of the original 1,670sqm facility in January 2008, following a successful joint venture that started in 2006. Growing demand for power supplies prompted the investment in a 6,500sqm facility.

The new plant is part of XP Power's strategy to attract more business from the largest healthcare and industrial customers, many of whom prefer to deal with vendors that have their own, rather than sub-contracted, manufacturing. Such companies also need to be assured that vendors are capable of rapidly ramping-up production when required. The new factory has already undergone successful audits by a number of these customers.

In addition to producing standard products, the new factory will be used for XP Power's engineered solutions. These include customization of power supplies for particular applications or integration of products.

Anticipating further expansion in demand, XP Power has also purchased land in Vietnam in readiness for building a factory near Ho Chi Minh City.

XP Power's deputy chairman, James Peters commented: "We've completed our transition from being a power supply distributor just 5 years ago to being a major manufacturer of both AC/DC and DC/DC power supplies. The majority of our sales now come from products that we have developed ourselves based on listening to the needs of our customers. As a result, we're pushing the boundaries of size and efficiency in the power supply industry with every new product introduction. Demand is therefore growing, particularly amongst quality-conscious customers in high-end industrial and health care markets."