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Winchester’s China connection
Virginia Business
January 2005
Does
size matter in a global market? Not according to Reimers
Electra Steam Inc. This tiny manufacturer, based in
Clearbrook just outside of Winchester, recently entered
into a joint venture with two companies in Tianjin,
China, to produce steam boilers. The arrangement calls
for Reimers to make and ship key components for its
partners — Sunlight Energy Saving Materials Co.
and Corro Consulting (Tianjin) Co. Those companies in
turn will assemble the boilers in China.
Reimers,
which sells 2,000 steam boilers to customers in the
United States, expects to more than double that number
through sales to drycleaners and other members of China’s
garment industry. “It’s a potentially huge
market,” says Roger Burkhart, president of Reimers.
He estimates Chinese sales to initially top 5,000 units
a year.
Production is expected to begin early next year, in
large part because of an unusual market pressure. In
anticipation of the Summer Olympics in 2008, Beijing
and other Chinese cities are under pressure to reduce
heavy smog and other pollution. The garment industry,
which relies heavily on coal-generated power, is one
of the worst contributors to the problem. Burkhart’s
steam products, however, are electric and give off no
exhaust.
The deal resulted from a trade mission to China last
spring that was initiated by the Winchester-Frederick
County Chamber of Commerce. Patrick Coughlin, president
and CEO of the chamber, is working to link up other
local companies with Chinese partners. He sees a wealth
of economic development opportunity in Chinese trade.
“We’re just beginning to scratch the surface,”
he says.
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