If you have been following the blog with any regularity, then you know that I have endeavored to keep you abreast of the publicly reported goings on at Pelikan’s factory. I think that it is important to be aware of those developments as they can give us an insight into Pelikan’s future in Germany which will almost certainly impact the fine writing instruments that we adore. For those not keeping tally, I’ll provide a brief recap. Despite being owned by a Malaysian firm, all of Pelikan’s fine writing instruments continue to be manufactured in Germany, just as they have been since the company started producing pens in 1929. From 1906 until 1973, the company’s administrative and production spaces were maintained in Hannover on the Podbielskistraße.  In 1973, it was determined that the facilities on the Podbielskistraße were inadequate and could no longer be expanded to meet the company’s needs. Production was then moved to Peine-Vöhrum, 24 miles east of Hannover, where it remains today.  The number of employed factory workers has varied over the years, but the current count is somewhere around 240. Moving the factory was a real growth moment for the company and they are now clearly on the verge of another. Nearly two years ago, protest erupted at the plant. The grievances aired by employees centered around delayed back pay, austere fiscal policies, and a lack of investment/modernization at the plant. The unrest certainly captured the attention of several elected officials representing that area of the country. Pelikan has since made good on their financial obligations and the turmoil has quieted. In an effort to improve the aging facilities, Pelikan recently sought to enter into an agreement with the US based Hillwood Group which would see them sell the land adjacent to their factory for the purpose of building a logistics center, a facility whose additional capacity could prove very useful for shoring up Pelikan’s own aging facilities. Those plans had the support of local government, and all seemed to be moving forward. Then, just last month, news broke that Pelikan was looking into the prospect of having a new factory built as part of a sale-leaseback arrangement with the Hillwood Group who would then also own the premises that the factory now occupies as well as the newly constructed production space that would be erected on site. Hillwood would then maintain a long term lease with Pelikan for use of the new facilities. That’s a lot, but now you’re all caught up. Oh, yeah, just one more thing. It now looks as if a proposal is on the table to relocate Pelikan’s manufacturing plant all together. Read on to learn more.

The area outlined in red reflects the property Pelikan currently owns and maintains in Peine. The empty lot towards the top right corner of the photo is the plot that was to be purchased by Hillwood for the construction of a logistics center. The bottom left corner is Pelikan’s current factory that was more recently being discussed as part of the transaction with Hillwood

Vöhrum is located in the Peine District of Lower Saxony, Germany, a region celebrating its 800th anniversary this year. It is where Pelikan’s current manufacturing plant resides along the Pelikanstraße. Long before talk of a new logistics center surfaced, the region has struggled with automobile traffic and parking. When the original proposal between Hillwood and Pelikan came to light, many of the townsfolk raised their voices out of concern for the additional truck traffic that it would bring to the Pelikanstraße. For their part, the local city council has tried to balance these concerns with the competing desire to keep Pelikan’s manufacturing jobs in Peine. As it stands, local government officials have voiced two major concerns. First, the current infrastructure of the town is not well suited to handle the increased truck traffic expected with the proposed development plans. Secondly, there is genuine concern that the suggested dimensions of the new plant would not fit in well with the current townscape. Like many towns, Peine has a more industrialized section. In this case, it is located along the town’s Eastern edge and houses logistics operations for companies like Action Logistikzentrum, Fiege Logistik Stiftung & Co. KG, and Meyer & Meyer Logistikzentrum Peine. Peine-Ost (Eastern Peine) is an approximately 12 minute easternly drive from Pelikan’s current factory location at a distance of 5.2 miles. The city’s local politicians are now proposing a land exchange. Rather than building a new logistics center and factory in Vöhrum, Hillwood and Pelikan are to be offered a plot of land within the industrial Peine-Ost. The land being discussed is in a lot adjacent to DSV, a global transportation and logistics firm.

In this photo, Pelikan’s current land holdings are outlined in red. You can see the factory as it stands in relation to the adjacent portions of town. A large logistics center and new factory would stand out in this area and be somewhat incongruous with the town’s development plan

Located off of state road 321, the proposed location certainly has its advantages. The plot is in an area that is already developed which could help expedite construction. It is also better connected to the roadways necessary for the transportation of goods and could facilitate after hours deliveries, a boon not afforded by the current location. In exchange for the land, the council would ask Hillwood to demolish the existing factory location and complete a soil investigation/remediation. That land could then serve as a site for the construction of new housing and small businesses. This is the early vision that has been put forth by Matthias Wehrmeyer (SPD), spokesman for the “SPD und Grüne” group and Thorge Karnick (CDU), spokesman for the “Gemeinsam für Peine – CDU, FDP, Volt und Weitling” group. Nothing has been finalized and I expect further negotiation needs to take place prior to any agreements being signed. The proposal will either be a nonstarter for Pelikan and Hillwood or a welcome break but, if nothing else, it shows how committed local government is to keeping Pelikan in the region. At the end of the day, I’m sure that the decision will come down to what is most economically viable for the company. Stay tuned to see how these and future developments play out.

On the left is Matthias Wehrmeyer (SPD), spokesman for the “SPD und Grüne” group. On the right is Thorge Karnick (CDU), spokesman for the “Gemeinsam für Peine – CDU, FDP, Volt und Weitling” group

This aerial view of Peine shows the relationship between Pelikan’s current factory and the lot being proposed in the more industrialized eastern edge of town

This photo shows the plot of land in Eastern Peine being discussed as part of the exchange (outlined in red). Take note of the several logistic centers already built up and maintained in this area

References

• Kröger, Thomas. “Pelikan: Verkehrschaos durch weiteren Logistiker in Peine befürchtet.” Peiner Allgemeine. September 30, 2022.
• Nobbe, Dennis. “Vöhrum: Parkende Autos an Straßen rund um Restaurant sorgen für Ärger.” Peiner Allgemeine. February, 28, 2023.
• Tiemann, Jan. “Pelikan: Umzug von Vöhrum ins Industriegbebiet Peine-Ost?” Peiner Allgemeine. March 30, 2023.