ASHRAE Journal - June 2009 - 7

installation, something that is always sors with energy-saving features, ranging guaranteed by using the CAREL Retail from SC, SLV Turbocor to Apexx VSH, , Sistema,” said Economides. as well as AKD102 frequency converters. Danfoss showed its commitment The Apexx VSH series variable speed to China at CR Expo. “We are facing scroll compressors for commercial air a challenging year in our business,” conditioning provides continuous capacsaid Mogens Terp Paulsen, President ity variety to match the load and has of Danfoss China. “However, we have customized drive software to protect the chosen to take a proactive approach. compressor. We have the right strategy, right product China is America’s third largest forofferings, and the right people, and we Ziehl-Abegg’s ECblue fans can be pro- eign market, taking 6% of U.S. exare well-prepared to weather the cur- grammed without a hardwire connection ports, or $68 billion. Besides the large rent financial storms with China.” One using wireless technology,” says Jurgen U.S.-based multinational companies, a strategy is to create a new business fo- Albig. The company displayed its EC number of smaller U.S. firms exhibited cusing on the food chain, Paulsen said. fans, blowers and drives at CR Expo, at CR Expo as well, companies such as “This will enable us to consolidate our saying applications using the technology Mueller Industries, CPS, Sealed Unit abilities in China to offer a successful are environmentally sound and in the Parts, Worthington Cylinder, Wilspec series of Danfoss products keeping food long run can be a more cost-effective Technologies, DuctSox, American Air frozen and fresh, all the way through alternative than ac technology. Distribution, and Renovoair. Many the cold chain, from farm to the fork.” were represented in a U.S. pavilion with The company employs nearly 3,000 people in its Chinese ASHRAE, AHRI and AMCA. The pavilion was organized by operations. the U.S. Commercial Service in the Department of Commerce. Danfoss cited research conducted by A.T. Kearney that esti- Ireas Cook heads the Guangzhou branch. “We champion the mates a $100 billion investment is required to improve China’s interest of U.S. business, particularly small and medium-sized food safety standards, warehousing, transportation and training. enterprises,” Cook said in speaking to the U.S. exhibitors. The The research shows that China’s growing middle class will spend more than $650 billion on food by 2017, a combined annual growth rate of 17% from current spending of $150 billion. “Reaching these consumers will require an effective national distribution network that does not exist today and that no single company can build,” said Kearney’s Jim Morehouse. The A.T. Kearney research found that food safety concerns have increased significantly among Chinese consumers in the last two years and more than 80% are now willing to pay some sort of premium for food safety (up from 57% in a 2005 survey). But China’s fragmented and inadequate standards and supply chain make it difficult to get safe food to these consumers. There are no consistent standards for food quality and safety, and there is inadequate inspection and ineffective enforcement. Produce and most meat are not required to go through a cold distribution chain, say observers. Seventy-nine percent of retailers do not monitor temperature of products during shipping and two-thirds do not check temperature upon receiving. Some 365,000 refrigerated trucks and 5 billion cubic feet of cold storage will be required. Today the country has 30,000 refrigerated trucks and 250 million cubic feet of cold storage. “China lost $8.6 billion in discarded fruit and vegetables last year,” said Kjeld Stark, president of Danfoss Refrigeration & Air Conditioning. “If fully introduced in China, modern refrigeration technology could fundamentally solve the food safety problem. Cold-chain storage, handling and transportation are a critical component of this.” In his view, China has the potential to be a major exporter of food. At CR Expo, Danfoss exhibited a series of industrial compreswww.info.hotims.com/25205-20 June 2009 ASHRAE Journal 7

ASHRAE Journal - June 2009

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