Hiltl is once again making trousers in Germany – more precisely at its headquarters in Sulzbach-Rosenberg. Managing Director Gerhard Kränzle explains how the trousers manufacturer wants to supply partner dealers with the Microfactory at short notice.
Made in Germany
The “high-tech factory”, as Kränzle likes to call the new production site, is an ambitious project: pants “made in Germany” are to be produced here competitively. In the first year, 50 pairs of trousers will be produced per day, after which the number should increase to 500 pairs per day – if sales are right. The selling prices of the pants are between 199 and 399 euros.
“If the process runs and we see that ‘Made in Germany’ is accepted and we can sell it well, we’ll start up,” said Kränzle in a conversation on Friday.
According to Hiltl, that would then be a “significant” share of the total production, specifically 30 to 35 percent should be produced in Germany in the long term.
Produce in the area
Around one million euros flowed into the microfactory at the headquarters in Sulzbach-Rosenberg, in whose conversion and modernization a total of 3.1 million euros was recently invested. The money comes from the Swiss Lorea AG. The investment company of Swarovski heir Christoph Swarovski invested in the then insolvent pants manufacturer at the end of 2020.
The 600 square meter factory will start production as early as the end of July and is planning the first deliveries to trading companies from September. Hiltl has developed trouser models that are initially delivered to ten partners. The basic idea is to bring production and demand closer together through geographic proximity and automation.
“We have ten trading partners with whom we are trying to ramp up just-in-time production,” says Kränzle. “Sustainability is ultimately about producing in the area according to daily requirements.”
The cooperation should work like this: Hiltl delivers a basic set to a partner xyz, who sells, for example, two olive-colored and three dark blue trousers, reports this to Hiltl and the parts are then reproduced, explains Kränzle. The delivery time should take between five and seven days.
The program will begin with never-out-of-stock parts production, but may expand in the future, says the CEO.
“We want to sell 12,000 parts with the process in the first year,” said Kränzle. In the long term, 120,000 to 150,000 pairs of trousers are to be manufactured in Germany.
development of an idea
The idea of producing in Germany came about two years ago when Hiltl began producing small series for various fashion retail companies as part of his “Atelier”.
“We already have European fabrics and production, so it makes sense that we will produce in Germany again,” said Kränzle.
From the “Atelier” range, customers from the fashion trade chose the quality and inner finish of up to 15 trousers models, but the price was higher at 399 to 449 euros. After this concept went very well according to Kränzle, Hiltl developed it further and is now opening the Microfactory. The new factory’s initial ten trading partners will also include two companies that have previously worked with Hiltl through the Atelier. The manufacturer is still in talks with other possible partner companies.
High-tech manufacture
What is special about the new factory is that four product groups – chinos, high-tech trousers, woolen trousers and jeans – are combined in one production line. With the help of the latest machine technology, production can be extremely flexible with less equipment. 180 positions in production have become 63.
The process is so new that Hitl had it protected. The three Italian suppliers are contractually bound not to pass on the information about the technology of the machines specially developed for Hiltl for a period of two years.
The devices in the Hiltl factory are all networked online, the technical highlights include pocketsetters that automate the placement of the pockets, or innovative ironing machines and toppers. The fabrics are still cut by hand, but will later be laser cut.
Five tailors are currently working in the factory, sewing up to twelve pieces a day. If Hiltl expands its production, more employees will have to be hired. A total of 55 employees work for the trousers manufacturer.
In the end, it’s about bringing together high-tech and tailoring, said Kränzle. “We want to sew all the sartorial elements with the old machines and have highly automated elements that are not so visible from the outside. That’s squaring the circle.”
