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Wednesday, April 28, 2021 

Following expansion of its Chinese activities, Danish pump manufacturer Svanehøj has landed two major orders in China, the most recent being a contract with GSI Shipyard for a total of 96 deepwell pumps for four new MR Tankers.

Svanehøj has manufactured pump systems for P&C tankers for decades, but the segment is now becoming a significantly larger part of the business. The Danish specialist in deepwell pumps for marine and offshore has a target of increasing sales of P&C cargo pumps by 40% over the next three years and has just won its largest single P&C order since 2005. The customer is Guangzhou Shipyard International (GSI), which is to build four 49,900dwt MR Tankers for White Whale Shipping. Recently Svanehøj was chosen by Cosco Dalian Shipyard as the pump supplier for two similar P&C tankers. In 2020, the company expanded its Chinese organisation from three to 15 employees, in sourcing, sales and service.

 Johnny Houmann, Sales Director, said: “Since establishing an office in Suzhou at the end of 2019, we have strengthened our position in China, with our own sales and service people. Through local presence, we’ve become closer to shipyards in the region, and thus gained greater insight into how we can best meet their needs.”

Although the global construction of new ships is at its lowest level for several years, Svanehøj claims strong growth, with increased revenue and profit increased from US$2m to US$9m before tax. Sales of Svanehøjs patented DW Fuel Pump for liquified gas has tripled in 2020, and expectations are for significant growth to continue in coming years.

“We are experiencing an extremely good order intake and can already see that we’re headed for an even better result in 2021,” said CEO Søren K Nielsen. “After a few years of historically low activity in the market, the marine industry is anticipating several years of high growth. And there’s no doubt that this will give a further boost to the transition from oil to gas.” 

Neilsen points to the servicing of gas tankers as a business area with growth potential. In December 2020, Svanehøj doubled the size of its service department through the acquisition of the Danish company Force Technology Marine Equipment Service, making Svanehøj a full-scope cargo system service provider, with competencies in servicing and calibrating pumps, compressors, valves and instrumentation, which has secured framework agreements with several major customers.

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