Loewe has announced that it now intends to maintain its manufacturing base in Germany, having signed a strategic deal last year with Hisense to produce the major hardware components of its products in China.
The company’s co-CEO, Mark Huesges, told Reuters that there would not be a cheaper version of any Loewe product as the brand was perceived as a luxury item. Through its alliance with Hisense, the company is now selling TVs through four retailers in China to meet the demand for luxury goods in the region.
Earlier this year Stargate Capital completed its acquisition of Loewe (Display Monitor Vol 21 No 16), following a difficult 18 months during which the German manufacturer filed for insolvency and struggled to secure a new investor (Display Monitor Vol 20 No 28). The decision to retain its main production lines in Germany should result in fewer jobs being lost, though Loewe has already reduced its staffing levels from around 1,000 employees to 400.
