At Chillventa 2024, Sergei Mukminov, Editor-in-Chief of RefIndustry.com, interviewed Kristian Strand, President of Danfoss Commercial Compressors, at the Danfoss booth. The conversation delved into Danfoss’ recent acquisition of Bock compressors, their vision for the future, and the company’s commitment to energy efficiency and sustainability in the refrigeration industry. Below is the full interview.
Sergei Mukminov: Thank you for taking the time to speak with us, Kristian. Let’s begin with the acquisition of Bock compressors. What is your vision for Danfoss Commercial Compressors after this significant addition to your portfolio?
Kristian Strand: Thank you, Sergei. We are thrilled to have finally completed the acquisition of Bock compressors. This has been something we've aimed for over many years, and we've had a close cooperation with Bock in Latin America for over 25 years. Bock’s compressor technology was the missing piece in our portfolio, and now that it's part of Danfoss, we see a clear path for growth.
Our vision is to expand Bock’s global reach. Bock has always been a strong brand with high-quality products, but they haven’t aggressively pursued global expansion. We see Bock as a hidden gem, and now, with Danfoss’ support and resources, we can take this brand to new heights. We are already making significant investments in research and development (R&D) to enhance Bock’s capabilities. You can see some of the results in our R&D facilities and on our production lines. We believe that Bock has a bright future as part of the Danfoss family.
Sergei Mukminov: What do you think about the synergy between Danfoss and Bock? How do these two brands complement each other?
Kristian Strand: That’s an excellent question. Danfoss has always prided itself on having a wide portfolio of products. What sets us apart is that we don’t just offer compressors; we provide complete systems. For example, in food retail, we supply not only compressors but also electronic controls, mechanical controls, heat exchangers, and more. We offer a total solution.
With Bock now part of Danfoss, we can integrate their compressors into our larger product ecosystem. This creates a natural fit, where we combine Bock compressors with other Danfoss products to provide comprehensive solutions for our customers. This is particularly important in applications that demand energy-efficient systems, which is a major focus for us.
Sergei Mukminov: Now that Bock is part of Danfoss, will there be any rebranding, or will the Bock brand remain as it is?
Kristian Strand: That's a great question. While Danfoss owns Bock now, we recognize the value of the Bock brand, especially in certain markets where it has a long-standing reputation for quality. For that reason, we will keep the Bock name on the compressors. The brand recognition is very strong, and we want to preserve that legacy. At the same time, we will also incorporate the Danfoss identity, as we all work for the same company now. You’ll still see Bock compressors with their iconic blue colors, and that won’t change. We respect the heritage, but it’s important to integrate into the larger Danfoss family as well. So, while the Bock name stays, the connection to Danfoss will become more visible in terms of our broader product offerings.
Sergei Mukminov: You’ve mentioned energy-efficient solutions a few times. Are you following the market’s lead when it comes to demands for such solutions, or are you actively pushing the market towards these innovations?
Kristian Strand: At Danfoss, we believe in pushing the market towards more energy-efficient and sustainable solutions. Energy efficiency remains a top priority for us, but we also recognize that it’s important to listen to customer needs and market trends. What we try to do is strike a balance between offering what the market demands and pushing the boundaries of technology.
For example, we have developed low-charge solutions that reduce the amount of refrigerant needed in systems, which helps lower costs and environmental impact. This is something we actively promote, but at the same time, we make sure our solutions meet the specific needs of each region and application. We believe that energy efficiency should be the driving force, and this is where we try to push the market—by offering solutions that not only meet environmental goals but also improve operational efficiency.
Sergei Mukminov: Refrigerants are a key topic in the industry. What refrigerants are most popular in your compressor portfolio, and how is Danfoss addressing the transition to low-GWP refrigerants?
Kristian Strand: The choice of refrigerants really depends on the market and the application. In Europe, for example, CO2 is widely used in food retail, while R290 is popular in heat pumps and chillers. In China, the market is transitioning from R410A to R32, and in the U.S., we are seeing a shift towards R454B.
Our priority at Danfoss is to provide energy-efficient solutions that are also environmentally friendly. We aim to use refrigerants with the lowest possible global warming potential (GWP) while maintaining high energy efficiency. That being said, not all refrigerants work equally well in all applications. For instance, CO2 might not always be the most energy-efficient option in certain markets, so we balance these factors carefully. With Bock’s addition to our portfolio, we are even better positioned to offer a variety of refrigerants, including natural options like R290 and CO2, ensuring that we meet the needs of different markets and applications.
Sergei Mukminov: It seems like Danfoss is continuously innovating when it comes to energy efficiency. What’s driving this focus on innovation?
Kristian Strand: Innovation in energy efficiency is at the core of our business strategy. Our motto is "Engineering Tomorrow," and that really speaks to our commitment to doing more with less. We are always looking for ways to reduce the amount of refrigerant used in systems through technologies like low-charge systems, which not only lower the environmental impact but also reduce costs, particularly when dealing with expensive or flammable refrigerants.
We are also pioneering technologies like oil-free compressors, which improve system efficiency. Bock's technology fits perfectly into this strategy, as their compressors are designed for maximum energy efficiency across a range of applications. Ultimately, we want to help our customers reduce their energy consumption and minimize their carbon footprint.
Sergei Mukminov: Finally, what does the future hold for Danfoss' compressor range? Is the acquisition of Bock the final piece, or are you still looking to expand?
Kristian Strand: While we now have a strong and diverse compressor family, we are always open to further expansion if it makes sense. For instance, we don’t currently have our own screw compressors, and we see a strong market for them, especially for high-temperature heat pumps and larger capacity systems. We are working with RefComp, a partner, to fill this gap.
We are not focused on smaller compressors or entering markets where we don’t see ourselves as competitive. Our focus is on areas where we can provide real value and where there is room for innovation and growth. So yes, there is always room to expand, but only in the right areas.
Sergei Mukminov: Thank you, Kristian, for sharing your insights. It’s exciting to see how Danfoss is shaping the future of the refrigeration industry. Best of luck with your initiatives at Chillventa!
Kristian Strand: Thank you, Sergei. It was a pleasure speaking with you, and I look forward to what the future holds for us and the industry.