From Home Furnishing Business
Lacquer Craft Furniture Plans $30M Expansion
Lacquer Craft Furniture plans to invest more than $30 million to expand its Dongguan and Jiashan manufacturing facilities to increase production of case goods and hospitality product, increase efficiency and reduce emissions to comply with China’s new environmental regulations.
The expansion will take place over the next three years to keep up with demand from the company’s brands, said Mohamad Amini, Lacquer Craft president and executive director of Samson Holding.
“The additional capacity will not only enable us to improve delivery times to our customers but also will return us to a full inventory position to support our consolidated direct container programs,” Amini said.
The vertically integrated company manufactures case goods and upholstery for its sister brands Universal Furniture, Smartstuff by Universal Furniture, Paula Deen Home, Legacy Classic Furniture, Legacy Classic Kids, Wendy Bellissimo, Craftmaster Furniture, Lacquer Craft Hospitality, Willis & Gambier (UK), Universal Furniture China and Athome. In addition, the company is an OEM provider for residential and contract furnishings globally.
“We are proud of the stability of our line management and the associates that have been with us for 20 years, but now it’s time to re-invest in our facilities in order to not just maintain but to accelerate our competitive edge,” Amini said. “Our size, our low raw materials costs, our talent, our logistics and the implementation of new state-of-the-art automation is a demonstration of our leadership and our ongoing commitment to Chinese manufacturing and this industry.”
The expansion will allow for an additional 500 containers of production capacity a month from the two factories that total more than 6 million square feet. Two production lines will be added to the Jiashan factory, while a production line at the Dongguan facility will be reinstated, increasing production of case goods for residential and hospitality.
Both plants will be automated and updated to increase efficiency, and the new lines will increase finishing capabilities to include polyurethane coatings and environmentally friendly, water-based finishing processes.
All production lines are also being modified to reduce emissions to comply with China’s new emissions guidelines.
“Lacquer Craft underwent a year-long efficiency study by the top manufacturing consultants in the world prior to adopting the new initiatives,” Amini said. “We have meticulously studied every step in the manufacturing process to determine how we can transform our plants into the most consistent and most productive in the industry. It is a huge undertaking, but one that will enable us to become even more responsive business partners with truly cutting edge, lean manufacturing operations.
“We are competitively priced, financially strong and poised for growth,” he said. “Just as Lacquer Craft pioneered the consolidated direct container program from China in the late 1990’s and now has the largest fully automated warehouse facility in the world with a capacity for 4,000 containers, we are going to set new standards. With these new capital investments in our plants, we’ll be able to provide better customer service by shipping furniture with shorter lead times, the same high quality standards, logistics flexibility and marketing solutions that Lacquer Craft is known for.”