EFI Reggiani has entered into a multi-year licensing and manufacturing agreement with Danitech Engineering (Italy) and its Chinese subsidiary Suzhou Danitech Intelligent Technology, covering the full range of Mezzera and Jaeggli textile finishing machinery. This is not a simple distribution deal but a deep integration of technology licensing and localized production, signaling a formal shift of high-end finishing processes from Italy to China.
Background
Mezzera and Jaeggli have accumulated over half a century of technical expertise in textile finishing, covering washing, dyeing, drying, and setting processes, with high installation rates in European dyeing plants. By incorporating this traditional finishing portfolio into its licensing framework, EFI Reggiani is essentially completing its equipment ecosystem from digital printing to post-treatment.
Suzhou Danitech Intelligent Technology is the key player here. Already involved in textile machinery automation, the company now gains manufacturing rights for Mezzera and Jaeggli equipment, meaning it will assemble and partially produce these machines locally. The multi-year agreement includes full machine manufacturing, technical documentation transfer, and after-sales support systems, though specific financial terms remain undisclosed.
Industry Impact
For domestic dyeing and finishing enterprises, this development signals two critical trends. First, the import substitution of high-end finishing equipment is accelerating. Previously, purchasing a Mezzera machine required 6–8 months lead time plus on-site commissioning by Italian engineers, making total costs 30%–50% higher than domestic alternatives. With Suzhou factory operations, lead times could shrink to 3–4 months, and local teams can handle commissioning and maintenance, significantly lowering procurement barriers.
Second, technology diffusion will reshape the competitive landscape of finishing processes. China's dyeing industry is concentrated in clusters like Shaoxing, Wujiang, and Foshan, where SMEs struggle with aging equipment, high energy consumption, and process instability. As Mezzera and Jaeggli's process parameters, control systems, and mechanical designs are gradually absorbed by domestic engineers, a wave of locally adapted machines based on Italian technology may emerge.
However, caution is warranted. The agreement may not cover localized production of critical components such as specialized nozzles, hot air circulation systems, or tension control modules. If core parts still need to be imported from Italy, cost reductions from local assembly may be limited to 15%–20% rather than 30% or more.
For EFI Reggiani, this move strengthens its position in the Chinese market. Digital printing equipment growth has slowed, while the traditional finishing equipment market remains vast. Through licensing, EFI can enter this segment quickly without heavy capital investment in direct manufacturing. Danitech, in turn, gains technical endorsement to enhance its brand value in textile machinery.