Tofflonit, A Sino-Italian Icon of Innovation and Strategic Investment
This article was originally published in Italian in Panorama on 17th June 2025.
Please note that this is a courtesy translation of the Italian language article originally published in the Panorama Magazine Issue at: https://www.panorama.it/attualita/economia/tofflonit-simbolo-della-cooperazione-sino-italiana-tra-innovazione-e-investimenti-strategici
In our column dedicated to cooperation between Italian and Asian — particularly Chinese — enterprises, we aim to broaden readers’ global perspective through success stories that blend innovation, growth, and investment opportunities. For the first time, we interviewed a representative of a major Chinese company directly investing in Italy — a clear signal of our market’s appeal and potential.
Our guest is Ted Dai, General Manager of Tofflonit, the Sino-Italian joint venture born from the collaboration between Tofflon Technology Group — a Chinese leader with over 5,800 employees and an annual revenue of around $800 million — and ITEMA, an Italian pioneer in advanced textile solutions. With a €10 million investment, Tofflonit established a facility in Nibbiola, in the province of Novara, to produce industrial freeze-dryers for the biopharmaceutical sector.
This partnership stands as a winning model of production localisation and technology transfer, enhancing the local territory and strengthening Italy’s advanced manufacturing and life sciences supply chain. In 2024, Tofflon received the prestigious “Corradino D’Ascanio Award for Innovation” in Shanghai, promoted by the executive committee of the Abruzzesi Association in China, which honours companies and individuals contributing to technological innovation and Sino-Italian cooperation.
Ted Dai, who holds a degree in Mechanical Engineering and is PMP and ACP certified, has led Tofflon Italy since 2023. He joined Tofflon in 2014, has held key management roles, and coordinates the development of the joint venture and integration between China and Europe. With his experience, he will show us how Tofflon blends global expertise with local presence to grow in a market full of opportunity.
Q1. Since last year’s official launch of the Tofflon project in Italy, this Sino-Italian collaboration has drawn wide attention. What were the main reasons behind choosing Italy as the location for the new production plant?
Tofflon considered three key dimensions for implementing the project:
1) Geopolitical risk mitigation through local operations — reducing risks linked to trade barriers and political instability for the Tofflon Group, while ensuring continuity in the supply chain and supporting market growth.
2) Proximity to local clients in Europe, including training and teaching equipment that helps customers rapidly understand the products and prevent operational issues by providing timely support and spare parts. This is particularly relevant for multinational pharmaceutical companies and local CDMOs, which increasingly require localised production capacity, reliable delivery timelines, and responsive after-sales services, thereby strengthening their trust in the quality and reliability of Chinese companies.
3) Building a local team experienced in regulatory compliance, closely monitoring changes in EU legislation and ensuring that all the products are compliant (e.g., CE marking, EU Annex 1) from the R&D stage. Through the joint venture, we maintain direct contact with local authorities and regulatory bodies to receive updates regarding the latest norms. In this regard, Tofflon offers strong autonomous production capacity, while Itema contributes extensive experience in local operations, thus boosting both productivity and product quality.
Q2. How do you assess Italy as an investment destination in terms of industrial ecosystem, labour quality, and regulatory environment? What opportunities and challenges do you see for Chinese companies?
Italy has a well-established industrial system in mechanical production and automation, especially in pharmaceuticals, food, and packaging equipment. It boasts a long tradition and high technological standards. For Tofflon, working with Italian companies like Itema — with over a century of manufacturing history — is a strategic opportunity. This synergy facilitates the quick launch of a joint venture platform and optimises local supply chains and engineering capabilities, thereby accelerating product localisation.
Opportunities: Embedding ourselves in Europe’s high-end manufacturing ecosystem helps boost international competitiveness for our brand and products. A strong supply chain of local automation components ensures equipment production efficiency.
Labour Quality: Italy’s workforce stands out for its high skills, experience, and stability.
Italian technicians and engineers bring strong expertise — especially in assembly, testing, and mechanical design — backed by years of practice. This high professional standard and workforce stability are great assets that support long-term team building.
Challenges Ahead: On the other hand, onboarding new talent and integrating local staff requires careful time management and cultural adaptation. Moreover, labour laws are rather complex, and hiring flexibility and labour costs require thoughtful planning.
Q3. What synergies have you observed between the Chinese and Italian approaches in terms of industrial quality, innovation, and manufacturing know-how?
China and Italy each bring unique strengths to manufacturing, making for a solid foundation of complementary cooperation across industrial quality, technological innovation, and craftsmanship.
China is known for its systemic capacity and engineering efficiency — companies there can manage the entire production process from design to sourcing, manufacturing, and delivery in highly competitive timelines.
In contrast, “Made in Italy” is synonymous with craftsmanship and attention to detail. Italian engineers emphasise mechanical precision, aesthetic design, and user experience, applying rigorous quality standards in both design and assembly. This synergy creates strategic value by enhancing each country’s manufacturing capabilities.
The cooperation between China and Italy has helped align product development models. Tofflon emphasises scalability, standardisation, and replicability in their projects, whereas Italian engineers prioritise end-user customisation. Over time, we have developed a collaborative model that combines “standard modules + local customisation”, thereby enabling both large-scale delivery and tailored solutions for European clients.
We’ve also worked to align quality cultures, building a common language and stronger operational cohesion.
Through a strategic synergy with the local Italian team, both parties have engaged in constructive dialogue on production processes, quality management, risk control, documentation systems, and validation logic. This approach has gradually shaped a shared quality culture and mutual understanding of standards.
This cooperation goes beyond mere resource integration; it’s a deep dialogue and a collaborative evolution between two distinct manufacturing cultures. As far as industrial quality is concerned, we challenge and inspire each other toward greater rigour, pushing for process adherence while also stimulating innovation. Tofflon-Itema is a prime example of this “East–West fusion” and bilateral awareness.
Q4. What role can Tofflon-Itema play in strengthening Europe’s biopharma production capacity and contributing to local economic development?
Europe’s biopharma market is projected to grow at a Compound Annual Growth Rate (CAGR) of 7–9% over the next five years, driven by rising demand for innovative therapies for cancer as well as cardiovascular and infectious diseases. As a result, the need for sterilization equipment, isolators, freeze-dryers, and related technologies is increasing significantly.
Tofflon-Itema can support local economic development in four main ways:
1) Employment and talent development: The project will directly create new jobs in several sectors, including technology, mechanical assembly, and engineering services. Tofflon plans to collaborate with local technical institutes and research centres to train specialised professionals in pharmaceutical equipment production and validation.
2) Local supply chain promotion: Through establishing production and assembly facilities in Italy, Tofflon-Itema is committed to sourcing local components and services. This approach will not only enhance upstream-downstream cooperation and improve supply chain stability in Europe but will also guarantee higher-quality service to customers as it reduces logistics costs.
3) Boosting regional competitiveness: Combining Tofflon’s technological strengths with Itema’s local resources and production expertise, this strategic alliance delivers globally competitive solutions for the European market. This helps clients achieve cost, efficiency, and compliance advantages, making a substantial contribution to Europe’s biopharma industry.
4) Green and sustainable development: Tofflon-Itema actively adopts eco-friendly, energy-efficient technologies in equipment design and production. This initiative seeks to reduce carbon emissions and resource consumption, aligning with EU sustainability guidelines.
Q5. Beyond technology and products, what does this collaboration signify in terms of vision or values for the future of China–Italy industrial cooperation?
We believe the Tofflon–Itema partnership is not only a manufacturing initiative but a significant example of deep integration between Chinese and Italian companies in terms of ideas, culture, and values. In particular, it suggests three strategic directions for future China–Italy industrial cooperation, evolving from “exchange-based relations” to a “co-creative alliance.”
In the past, Sino-Italian cooperation focused mostly on trade and investment. Today, we are moving toward deeper synergy, with joint production and services. Tofflon and Itema have worked together throughout this project, facing European clients’ high expectations with shared marketing strategies. This marks a shift from cost-oriented to value-oriented cooperation.
While Chinese firms are traditionally seen as price-competitive, today we focus more on quality, innovation, sustainability, and customer experience. By combining these with Italy’s strengths in craftsmanship, quality, and design, we aim to jointly build “premium global solutions” rather than low-cost offerings.
We are committed to transitioning from short-term projects to long-term ecosystems.
This partnership inspired Tofflon to realise that the true value of industrial cooperation lies not in short contracts, but rather in long-term value creation, industrial ecosystems, and joint talent development. Our goal in Europe is not just to build production plants, but an open cooperation platform, attracting local engineers, R&D talent, and suppliers for shared growth. This initiative is a forward-looking model for Sino-Italian industrial cooperation, built on complementarity and aimed at ensuring mutual success. It has laid a solid foundation for Tofflon’s expansion in the European market while also showcasing a clear example on how China and Italy can collaborate more broadly across manufacturing, technology, and talent fostering.
Q6. Based on your experience, what advice would you give other Chinese companies considering investment in Italy?
Selecting the right investment model requires thorough preliminary analysis, including market growth projections, pinpointing demand drivers, and a detailed study of client needs. It is pivotal to decide between joint ventures and acquisitions since each involves different post-investment management. Furthermore, it is crucial to rely on a dedicated team that can monitor all relevant matters during the initial phase.
For small and medium-sized enterprises (SMEs) planning international expansion, the best strategy is to build front-end sales and after-sales services, focusing on market building and brand reputation.
Optimise compliance management to thoroughly understand Italian and EU regulations. It is imperative to respect local culture and laws, especially on labour, environmental protection, and data privacy, thereby ensuring that all company operations abide by the relevant norms. To this end, we suggest implementing a comprehensive compliance framework, along with regular internal audits and risk assessments.
Adopt localisation strategies by tailoring product design, production processes, and marketing strategies to respond effectively to the demands of Italian consumers. Hiring local staff and building a local management team is key to optimising adaptation to the Italian context.
Implement environmental, social and governance (ESG) practices by engaging in local charities and environmental projects, which enhance brand value and public image. Furthermore, it is important to respect local culture and values while fostering positive, long-term relationships.
Build a resilient supply chain and develop long-term partnerships with local suppliers to ensure steady raw material and product supply. Multi-source procurement and decentralised production can boost supply chain resilience and reduce relevant risks.
Maintain an ongoing dialogue with local authorities and actively participate in government-led economic development programs to obtain political support and shared resource opportunities. Companies can integrate into the local economic fabric via joint ventures and strategic partnerships to pursue shared growth goals.
By: Avv. Carlo D’Andrea, National Vice President of the European Union Chamber of Commerce in China and Chairman of the Board of the Shanghai Chapter，Founder and Managing Partner of D’Andrea & Partners Legal Counsel
