爱高回函(英文)

Jünkerath, March 13th, 2012 Dear Mr. Shang,We thank you for the heartly and warm welcome in your company. Our regards to this fast growing company. You are equipped on latest standards.You can grow to a specialist for machined castings from one source for energy market and other branches which require pressure proof castings with absolute homogenous materials and thick walls. Therefore we have the strong believe that our two companies would fit together to become a worldwide leading player in this market.Ergocast is one of the leading foundries in Europe for complex castings with weights up to 77 tons. We have a history of more than 300 years and our main strength, besides the recognition for top quality, is the very strong customer base in Europe an overseas.Upon our knowledge we would classify the market of as follows:1.European and US customers mostly are global brands that operate worldwide. In contrarytheir existing casting suppliers are purely local and until now cannot respond globally.Furthermore clients in Europe and USA have Asia as their main area for potential growth. To target the Asian market these customers seek manufacturing capabilities in Asia in order toguaranty short lead times. On the other hand they want to rely on their existing suppliers for the following reasons:·Working relationship is well established. Supplier has successfully passed qualification for many years and both partners have good knowledge about requirements, quality andwork processes.·Over the years supplier has acquired special knowledge that is difficult to copy without knowing the exact casting parameters.·Complex casting needs ongoing engineering contact that is easier to handle with a partner geographically nearby, speaking the same language.For these reasons some of our customers have asked us to establish a partnership with a Chinese manufacturer to ensure these points in the future. Therefore we surely can guaranty additional volumes for HIMILE by working together. Together we could respond these needs perfectly.Ergocast would guarantee engineering and day to day client handling with same language, same time zone and geographically very close by. Thus guarantee the known high quality delivery from China from a trusted partner with an attractive price and short lead times.2. A second important driver is that European and US clients for their domestic markets like tosource from Chinese suppliers because of good quality in combination with an attractiveprice. On the other hand our experience shows that, even with higher pricing, clients neverrely on one overseas supplier alone because of long lead times due to shipping in case ofunexpected issues that can appear with every casting from time to time. This leads to thefact that they normally handle several suppliers from different location and have the issue to dispatch orders between these different suppliers. On the other hand all clients try to reduce suppliers in order to reduce costs and make handling easier. Together we could respond tothis need perfectly. We can offer global manufacturing from different sites but only havingone face to the customer. He only places orders to one company and has not to worry aboutdispatching which casting is made in China and which in Europe. Therefore we wouldperfectly improve service for the client by having a truly global coverage. Furthermore wefeel perfectly sure that we can provide additional manufacturing volume for the Europeanmarket by offering this opportunity to our existing customer base.In our opinion Ergocast and HIMILE would perfectly fit together. Both are renowned for machining or top quality casting for the energy business.By that we see the following potentials:-We open HIMILE the European market. Ergocast can have the function of a sales office and offer the customers a mix of castings produced in China and Germany with optimized prices and best logistic-HIMILE can be the local producer for our customers, which start production in China / Asia.Ergocast will transfer its knowledge to HIMILE to accelerate qualification process with ourcustomersTo ensure this business we see several options for cooperation. For us it is important that these options provide equal upside for both companies with aligned interests. We see the following possibilities:-Ergocast takes a share in HIMILE iron casting division. We will market iron casting together offering clients local contact and engineering as well as the opportunity to react from twosites, one in Europe and one in China. For this we would also exchange engineers to ensure that both companies will develop a common understanding and knowledge.-HIMILE takes a share in Ergocast. Business rules would follow the same ideas as before.-Together we establish a new 50/50 joint venture company for iron casting in China. The new company will take over operational iron casting business from HIMILE by leasing land andmachinery from HIMILE.We really would like to continue the fruitful discussion with HIMILE and look forward to your feedback.Sincerely,Juergen Mitsch / Norbert Lueling。