Danfoss is a Danish multinational company, based in

Denmark ) , song = ( en, "King Christian stood by the lofty mast") , song_type = National and royal anthem , image_map = EU-Denmark.svg , map_caption = , subdivision_type = Sovereign state , subdivision_name = Kingdom of Denmark , establish ...

, with more than 40,043 employees globally. Danfoss was founded in 1933 by engineer

Mads Clausen Mads Clausen (21 October 1905 – 27 August 1966) born in Elsmark, parish of Havnbjerg, municipality of Nordborg in Denmark, was a Danish industrialist and founder of Danfoss in 1933. He died in transit from Elsmark to Sønderborg. He married ...

History

Beginning (1933–1966)

In 1933

(1905–1966) founded ''Dansk Køleautomatik- og Apparatfabrik'', later in 1946 the company name was changed to ''Danfoss''. The first product was an expansion valve for refrigeration units, it was developed after studying imported valves from the US. In 1941, activities expanded to products for heating. The thermostatic radiator valve was invented by Mads Clausen in 1943, later patented, and in 1952 promoted as an energy saving device. In 1945 about 224 people were employed at the first factory built at and around the farm where he grew up. There was no more room for expansion and a new larger factory was planned. In 1962 the company started production of

power electronics Power electronics is the application of electronics to the control and conversion of electric power. The first high-power electronic devices were made using mercury-arc valves. In modern systems, the conversion is performed with semiconducto ...

, the first product was custom-built rectifiers, later in 1968 production of the VLT Frequency converter began, the first of its kind in the world.
The company also expanded its activities into

hydraulics Hydraulics (from Greek: Υδραυλική) is a technology and applied science using engineering, chemistry, and other sciences involving the mechanical properties and use of liquids. At a very basic level, hydraulics is the liquid counte ...

, the first hydraulic component was produced in the factory in

Nordborg Nordborg (german: Norburg), is a town with a population of 5,709 (1 January 2022),Danish kroner, and the factory had grown to 10,000 m². Mads Clausen kontor

Since 1966

Expansion into other countries started in 1956, when the company started to build a factory in Flensburg,

Germany Germany,, officially the Federal Republic of Germany, is a country in Central Europe. It is the second most populous country in Europe after Russia, and the most populous member state of the European Union. Germany is situated betwe ...

, which was completed in 1958.

Danfoss Compressors GmbH Danfoss Compressors GmbH was a subsidiary of the Danfoss Group, a Danish manufacturer of valves and fluid-handling products, from 1956 to 2010. It produced hermetic compressors for household appliances and mobile cooling. In 2010, the Dan ...

, Danfoss' former domestic compressor division, was sold in 2010 and renamed

Secop Secop GmbH (formerly known as '' Danfoss Compressors GmbH'') is a manufacturer of hermetic compressors for cooling circuits. Secop designs, develops, manufactures and distributes compressors for two application ranges: light commercial refrige ...

. China is also an important market for Danfoss. In 2013, two new factories were opened on the same day, bringing the number to seven. The Chinese market was the third largest for the company. In 2014, Danfoss purchased

Vacon Vacon was a Finnish manufacturer of variable-speed AC drives for adjustable control of electric motors, and inverters for producing energy from renewable sources and was headquartered in Vaasa, Finland. Vacon stands for Vaasa Control Ltd. Vacon ...

, a VFD drive manufacturer.

Activities

''The Danfoss Group'' manufactures products and provides services used in: * cooling food *

air conditioning Air conditioning, often abbreviated as A/C or AC, is the process of removing heat from an enclosed space to achieve a more comfortable interior environment (sometimes referred to as 'comfort cooling') and in some cases also strictly controlling ...

* heating buildings *

variable-frequency drive A variable-frequency drive (VFD) is a type of motor drive used in electro-mechanical drive systems to control AC motor speed and torque by varying motor input frequency and, depending on topology, to control associated voltage or current va ...

s *

gas compressor A compressor is a mechanical device that increases the pressure of a gas by reducing its volume. An air compressor is a specific type of gas compressor. Compressors are similar to pumps: both increase the pressure on a fluid and both can tran ...

s * powering mobile machinery. Danfoss employs approximately 40,043 people worldwide with its headquarters in

Nordborg Nordborg (german: Norburg), is a town with a population of 5,709 (1 January 2022),Denmark ) , song = ( en, "King Christian stood by the lofty mast") , song_type = National and royal anthem , image_map = EU-Denmark.svg , map_caption = , subdivision_type = Sovereign state , subdivision_name = Kingdom of Denmark , establish ...

.
In 2002 Danfoss joined the

United Nations Global Compact The United Nations Global Compact is a non-binding United Nations pact to encourage businesses and firms worldwide to adopt sustainable and socially responsible policies, and to report on their implementation. The UN Global Compact is a princi ...

, consisting of nine principles with social and environmental responsibility. ''Bitten og Mads Clausens Fond'' was established as a self-governing institution in 1971 by Bitten Clausen. Today, the foundation is the biggest shareholder in the company.

Controversy

World War II

In 2010, some Danish newspapers reported that Danfoss sold its products to

Nazi Germany Nazi Germany (lit. "National Socialist State"), ' (lit. "Nazi State") for short; also ' (lit. "National Socialist Germany") (officially known as the German Reich from 1933 until 1943, and the Greater German Reich from 1943 to 1945) was ...

during

World War II World War II or the Second World War, often abbreviated as WWII or WW2, was a world war that lasted from 1939 to 1945. It involved the vast majority of the world's countries—including all of the great powers—forming two opposing ...

. They quoted the book ''Krigens købmænd'' ("Merchants of War") by Christian Jensen, Tomas Kristiansen and Karl Erik Nielsen, who stated that Danfoss sold goods to the occupying forces for 408,850 Danish kroner. According to Ole Daugbjerg from Danfoss, they did not trade directly with the Germans. Later in 2001, it was cleared in the book ''Danfoss under besættelsen'' ("Danfoss during the Occupation") by Ditlev Tamm although other critics have claimed the book might not be neutral because Tamm was paid by Danfoss to perform the investigations.

Cartel

On 7 December 2011 Danfoss was fined 90 million euro for exercising a

cartel A cartel is a group of independent market participants who collude with each other in order to improve their profits and dominate the market. Cartels are usually associations in the same sphere of business, and thus an alliance of rivals. Mos ...

with

Embraco Embraco is a manufacturer of compressors for refrigeration systems, founded in 1971 in Brazil. Embraco produces hermetic compressors, condensing units and sealed units, for domestic and commercial use. Its headquarters and main factory is in Jo ...

Whirlpool Corporation The Whirlpool Corporation is an American multinational manufacturer and marketer of home appliances, headquartered in Benton Charter Township, Michigan, United States. The Fortune 500 company has annual revenue of approximately $21 billion, ...

Panasonic formerly between 1935 and 2008 and the first incarnation of between 2008 and 2022, is a major Japanese multinational conglomerate corporation, headquartered in Kadoma, Osaka. It was founded by Kōnosuke Matsushita in 1918 as a lightbulb ...

, ACC and

Tecumseh Products Tecumseh Products Company is an American manufacturer of hermetic compressors for air conditioning and refrigeration products. Tecumseh Products Company has subsidiaries that sell externally and internally to Tecumseh. The Tecumseh corporate off ...

. The cooperation was entered with compressors from April 2004 to October 2007. The basis of the fine is the violation of free competition to the detriment of consumers. Danfoss was fined 16.5 million Danish kroner in the United States. From October 2004 to 2007, the German subsidiary also entered illegal price agreements with competitors. The case in both the

European Commission The European Commission (EC) is the executive of the European Union (EU). It operates as a cabinet government, with 27 members of the Commission (informally known as "Commissioners") headed by a President. It includes an administrative body ...

and the US is related.

References

*https://www.danfoss.com/en/about-danfoss/company/financials/year-in-review/

External links

Danfoss Group website
{{Authority control Pump manufacturers Manufacturing companies of Denmark Companies based in Sønderborg Municipality Manufacturing companies established in 1933 Danish brands Multinational companies headquartered in Denmark Danish companies established in 1933