As a direct result of the UK’s exit from the European Union (EU), Southampton-based PEI-Genesis, a global provider of custom-engineered connector and cable solutions, has established PEI-Genesis Germany GmbH, to provide cost savings and support the needs of local customers in Europe. The company continues to ship electrical connectors from its Southampton warehouse in the UK, but customers in Europe will be able to take advantage of better freight costs by buying locally, paying only local VAT.

PEI-Genesis, which is headquartered in the USA and has assembly facilities in North America, Asia and the UK, specialises in connectors for harsh environments including medical, military, aviation and rail.

The 65,000ft² Southampton facility, where the connectors are assembled, will continue to be the company’s European base of operations. The facility, which also houses offices and warehouse storage space, also holds stock to the value of £10 million.

Jonathan Parry, PEI-Genesis senior vice president and managing director, said: “We have established a German legal entity to provide cost savings to our European customers, particularly those based in Germany.

“By opening this new German company, our customers will now be able to buy from us through our local distribution presence, including paying local VAT. We will continue to ship from our Southampton warehouse in the UK.”

The new company, PEI-Genesis Germany GmbH, will continue to work according to all PEI-Genesis UK Ltd standards, especially in terms of quality, the company’s code of ethics and trade compliance.

Despite the challenges of Brexit and the pandemic, demand for industrial connectors has continued to grow. The company has been active throughout the pandemic, supplying connectors into critical areas such as the medical sector.

PEI-Genesis’ business model is based on holding inventory in component form, assembling connectors to order. The company makes many of its own connector ranges, but also assembles on behalf of many of the world’s leading connector brands. As a result of high levels of factory automation, the company is able to offer short lead times with a minimum order quantity of just one.