Germany’s Pepperl+Fuchs, one of the world’s leading manufacturers of electronic sensors and components, has inaugurated a sustainable manufacturing facility in Vietnam, which has been financed with a $15 million green loan from Deutsche Bank.
The new plant, the German firm’s second in Vietnam, is worth $18 million, according to the Delegation of German Industry and Commerce in Vietnam, or AHK Vietnam.
“Vietnam is playing an increasingly prevalent role in global manufacturing supply chains,” Huynh Buu Quang, Deutsche Bank chief country officer for Vietnam, said at the new plant's opening ceremony in Ho Chi Minh City on Friday.
“Together with our clients, we are proud to help bring sustainable manufacturing benchmarks that are in line with international standards to Vietnam,” he said.
The green facility stands next to the German sensor producer’s first Vietnam plant in HCMC’s Tan Thuan Export Processing Zone, and has a larger size and production capacity. The firm opened its first Vietnam factory in 2009 with $5.5 million in initial investment and gradually raised it to $10 million.
Pepperl+Fuchs Vietnam currently employs more than 1,000 workers and plans to double that in the coming years, according to AHK Vietnam.
The $15 loan and associated advisory services from Germany’s Deutsche Bank enabled the German producer to meet international green building standards and establish a model for extending the company’s global sustainability commitments to its operations in Asia.
The new facility produces industrial sensors for factory automation technologies, including sensors, signal transmission devices and printed circuit board assembly. It has obtained LEED (Leadership in Energy and Environmental Design) Gold certification, a green building certification program developed by the U.S. Green Building Council, and a globally recognized benchmark for sustainability in real estate.
The LEED certification system consists of four levels: Certified (40-49 points), Silver (50-59 points), Gold (60-79 points), and Platinum (80+ points). In order to achieve them, a building must focus on reducing energy consumption and waste, managing resources efficiently, and reducing operating costs.