WORLD COMPRESSOR GIANT KAISHAN INVESTS $1 BILLION IN İZBAŞ

One of İzmir’s most significant production and export hubs, İzmir Free Zone (İZBAŞ), is set to host the first investment of China-based Kaishan Group in Turkey. Kaishan is the world’s largest compressor manufacturer.

Founded in 1956 in China and operating in 18 countries, Kaishan will build a $1 billion factory on a 20,000-square-meter site in İZBAŞ. The company will manufacture compressors primarily for geothermal power plants and industrial facilities and export them to various regions around the world.

AMONG THE WORLD'S TOP 500 ENERGY COMPANIES

Listed among the "World’s Top 500 Energy Companies" and "China’s Top 100 Machinery Manufacturers," Kaishan Group owns seven high-tech subsidiaries in China.

Providing details about the investment, İZBAŞ Chairman Eyüp Sevimli highlighted the critical importance of this investment, not just for the zone but also for the Turkish economy. He noted that İZBAŞ currently operates at a 90% occupancy rate, making them selective in discussions regarding new investments.

Sevimli emphasized that the region’s impeccable infrastructure and opportunities for investors, along with access to skilled labor, were decisive factors for Kaishan’s preference for İZBAŞ. He added, “As İZBAŞ management, we aim to allocate our limited investment spaces to projects with high-value production processes. Our vision of making İZBAŞ a hub for renewable energy equipment production also played a significant and decisive role in Kaishan’s investment decision.”

CONSTRUCTION TO BEGIN IN Q1 2025

Sevimli announced that the foundation of Kaishan’s İZBAŞ investment will be laid in the first quarter of 2025 and completed within a year. He stated:

“This monumental investment will be the largest brought to İzmir since the STAR Refinery, constructed by SOCAR and launched in 2018. The large-scale compressors to be produced here will serve heavy industrial facilities across various sectors, particularly geothermal power plants.

Geothermal energy stands out as Turkey’s leading renewable and clean energy source, with the country ranking fourth globally and first in Europe for geothermal potential. By hosting the production of essential equipment for this sector, Turkey is set to strengthen its position. Knowledge, technology, and capital-intensive investments like these play a vital role in reducing carbon footprints in high-emission industries such as iron and steel. We believe Kaishan’s investment will significantly contribute to this potential. We wish this endeavor success for our country and nation.”

KAISHAN GROUP BY THE NUMBERS

• Established in 1956 in Quzhou City, Zhejiang Province, China, Kaishan Holding Group Co. holds the title of being a leading compressor manufacturer in China and the world.
• Ranked among the top 500 energy companies globally and the top 100 mechanical enterprises in China, Kaishan operates seven high-tech subsidiaries within China.
• Kaishan Holding Group Co. has established wholly-owned production and R&D bases in the United States and has acquired Austria-based LMF, with 170 years of history, and Australia's SCCA.
• With sales and service-oriented operational centers in Melbourne, Poland, Mumbai, Dubai, Ho Chi Minh City, Taichung, and Hong Kong, Kaishan stands out as a global company with over 4,500 employees across 18 countries.