September 24, 2007 -- DAVID PETERS of Whitehall Township, a tester, works on mobile control valves at Bosch Rexroth in Bethlehem. The German company on Friday celebrated 40 years in the United States.
Forty years ago, Alfred Krug got a one-way ticket to America from his employer, the German company Rexroth. His directive: Build the business in America. He opened a small office in Easton with 11 employees who sold the company's hydraulic systems, which can generate the tremendous force needed in factories, construction equipment and a long list of other applications. They hit a trade show in New York City with a display sign built and painted in the garage of one of Krug's workers.
Today, Bosch Rexroth Corp., with American headquarters in Illinois, has more than 600 employees in Bethlehem. It is part of the international conglomerate Bosch Rexroth AG, which has nearly 30,000 employees and had $6.2 billion in 2006 sales. The company celebrated its 40th anniversary in America Friday. Krug, who retired as president and chief executive officer in 1999 and lives in Palmer Township, was among those honored.
Krug was nonchalant about the large operation he helped build from scratch, because the Rexroth company dates to 1795 when it made hammers and other iron products. He knew his assignment was for the long haul. "For me and my family, this was a lifetime assignment," Krug said. "It was a permanent commitment to come and stay in the American market."
The low-key company's fingerprints are throughout the Lehigh Valley and the world. Its hydraulic systems are used in rides at Dorney Park & Wildwater Kingdom in South Whitehall Township and in plants owned by heavy duty industries such as Lehigh Heavy Forge in Bethlehem. Its hydraulic systems replaced the gears that controlled water levels in the Panama Canal. Because the company makes thousands of products used in a range of industries, it is well diversified and less susceptible to economic swings.
In the plant, workers make hydraulic systems that can be used in various applications, including trash compactors used in garbage trucks or lifts used by construction workers. Manufacturing is done on a "smart" assembly line monitored by computers that stop the process if the worker grabs the wrong tool or misses a step.
The company expects to continue to grow and is looking for additional space to complement its 275,000-square-foot plant in Bethlehem, said Manfred Hahn, vice president and general manager of the Bethlehem operation.
Source: The Allentown Morning Call
