Atlas Copco to Consolidate Mining Equipment Production in China

Atlas Copco, a Swedish industrial group, is consolidating its mining equipment operations within China. The company will close its facility in Shenyang, which primarily manufactures handheld rock drills for mining and construction, and relocate the operations to its plant in Zhangjiakou. This decision will affect approximately 225 employees in Shenyang.

The company stated that the consolidation is necessary to ensure efficient capacity utilization and to strengthen its position for the future, citing weak demand in the mining market. Atlas Copco will add about 45 employees at the Zhangjiakou facility, where down-the-hole equipment for various drilling applications is currently produced. Investments are planned for facility expansion and new machinery at the Zhangjiakou site.

Both the Shenyang and Zhangjiakou operations primarily serve the domestic Chinese market. The consolidation is expected to improve operational efficiency and cost structure in response to market conditions. Atlas Copco has committed to supporting the employees affected by the closure in Shenyang.

Atlas Copco is a global provider of sustainable productivity solutions. In 2015, the company reported revenues of SEK 102 billion and employed over 43,000 people worldwide.