"We will start construction early next year and hopefully by the end of the year we will be producing the first products," said Heidelberg chairman Bernhard Schreier.

The China project is headed up by management board member for engineering and manufacturing Jrgen Rautert. Initially the plant will only assemble folders, but over time this may well lead onto small presses. It will start off with just 50 staff.

"Getting the right people on board is critical to success," said Rautert. "We will train with folders and then we will see what will come, certainly we have presses in mind for the long term, but not the bigger machines."

The firm was at pains to explain that the new facility was not the start of a plan to move large-scale production away from Germany.

Story by Darryl Danielli