3M to set up $15m manufacturing plant in Riyadh

Updated 05 March 2014
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3M to set up $15m manufacturing plant in Riyadh

A US company based in Riyadh plans to set up a manufacturing plant in the capital at an initial cost of $15 million.
Joaquin Delgado, executive vice president of 3M, told Arab News on Wednesday that his company hopes to produce consumer, electronics, and energy health care and industrial products at the proposed factory.
Delgado, who is on a brief visit to the capital also met with Deputy Health Minister Dr. Hamzah Al-Kosheim on Wednesday.
He said the manufacturing plant, to be located in the third industrial city of Riyadh, will start production in mid-2015. “We hope to manufacture some 12 products and will increase the number depending on the local demand,” Delgado said.
Initially, he said, the 3M manufacturing company will have around 100 employees who would include technical experts from 3M from various countries. “We plan to transfer the technology to the local leadership and follow the guidelines of the host country’s Saudization program,” he said, adding that every effort would be made to develop local leadership in all the activities of the company.
During his talks with the Ministry of Health officials, Delgado said he discussed a wide range of areas where the two parties could enter into cooperation agreements. These include infection control, critical and chronic cases, oral care, drug and delivery systems, food and drug safety and health information systems.
“Our mission is to help reduce health care-associated infections through innovative solutions. It is committed to providing customized solutions based on 3M diversified technologies that help improve business efficiency.” He pointed out that hospital-acquired infection leads to an annual death toll of 83,000 in the United States.
3M’s goal is to collaborate to deliver proven, innovative solutions to help prevent and treat critical and chronic conditions across the continuum of care.
Commenting on helping dental professionals to improve their patients’ oral health care, he said, “Our digital oral care department is committed to leading the digital transformation that is occurring in dentistry.”
3M, which has been functioning in the Kingdom for the last three decades, is a diversified technology company serving customers and communities with innovative products and services. Each of its six businesses has earned leading global market positions.
A recognized leader in research and development, 3M produces thousands of innovative products for dozens of diverse markets. 3M’s core strength is applying its more than 40 distinct technology platforms — often in combination – to a wide array of customer needs. With $29 billion in sales, 3M employs 80,000 people worldwide and has operations in more than 70 countries.


Philips to close its UK factory in 2020, with loss of 400 jobs

Updated 17 January 2019
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Philips to close its UK factory in 2020, with loss of 400 jobs

AMSTERDAM/LONDON: Dutch health technology company Philips said on Thursday it planned to close its only factory in Britain in 2020, with the loss of around 400 jobs, the latest firm to move manufacturing jobs out of Britain.
The move is part of a push by Philips to reduce its large manufacturing sites worldwide to 30 from 50, and a spokesman said the decision had no direct link with Britain’s decision to leave the European Union.
However, the company said in a statement that it had to “pro-actively mitigate the potential impact of various ongoing geopolitical challenges, including uncertainties and possible obstructions that may affect its manufacturing operations.”
The factory in Glemsford, Suffolk, produces babycare products, mainly for export to other European countries. Almost all its activities will move to Philips’ plant in Drachten, the Netherlands, which already employs around 2,000 workers.
“We have announced the proposal after careful consideration, and over the next period, we will work closely with the impacted colleagues on next steps,” said Neil Mesher, CEO of Philips UK & Ireland.
“The UK is an important market for us, and we will continue to invest in our commercial organization and innovation programs in the country.”
Once a sprawling conglomerate, Philips has transformed itself into a health technology specialist in recent years, shedding its consumer electronics and lighting divisions.
The firm has previously warned that Brexit would put Britain’s status as a manufacturing hub at risk.
Chief Executive Frans van Houten last year said that without a customs union — which has been ruled out by Prime Minister Theresa May — Philips would have to rethink its manufacturing footprint.
Britain is set to leave the EU on March 29, and politicians are at an impasse over how to do so after lawmakers overwhelmingly rejected May’s proposed withdrawal agreement on Tuesday.
Other firms have moved jobs out of Britain in recent weeks, sparking alarm among lawmakers that Brexit is impacting corporate decision-making.
Jaguar Land Rover has slashed UK jobs — mainly due to lower Chinese demand and a slump in European diesel sales — while Ford has said it will slash thousands of jobs as part of its turnaround plan.
While both decisions were driven by factors other than Brexit, each firm has also been vocal in warning of the risks of no-deal Brexit, where Britain leaves abruptly in March without a transition period.