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It is general Group policy to manufacture all components and assemble all finished products at Grundfos’ own companies. However, if market conditions so require, assembly of Grundfos products may be placed in the hands of agents and dealers after previous approval by Group Management.
As far as possible, standard products must be purchased assembled from a Grundfos factory, whereas special products may be assembled locally to ensure prompt delivery.
Before an agent or dealer is entrusted with the local assembly of Grundfos products, it should be verified that the agent or dealer has suitable premises permitting satisfactory working conditions, storage facilities for components, etc.
All assembly of Grundfos products must be carried out by the use of Grundfos special tools, equipment and test facilities supplied by Grundfos at the partner’s expense and after prior agreement.
For the assembly, Grundfos will make the necessary know-how, drawings and parts lists available to the partner. The material is the property of Grundfos and is only to be used for the above purpose. On no account will the partner be allowed to hand over the material to a third party. If the co-operation with Grundfos is discontinued, the above material shall be returned.
Grundfos will make its expertise available to the partner for running in the assembly; the partner will pay the costs involved, according to a previous arrangement.
All assembled products must be tested carefully in accordance with Grundfos’ instructions.
All agreements on local assembly must be concluded in writing and approved by the Group’s legal department. Such agreements shall include financial conditions, such as the partner’s payment for the transfer of know-how, documentation and equipment, as well as regulate licence conditions, if any, concerning Grundfos technology.