A New Zealand based company has signed a distribution agreement with American electronic motors manufacturer AO Smith to sell its product throughout the United States.

Wellington Drive Technologies focuses on energy-efficient motors and fans for the refrigeration, ventilation and appliance industries.

Chief executive Ross Green said today under the agreement AO Smith will sell Wellington's ECR One and EC85/95 refrigeration motors used in supermarket display cases, bottle coolers and cold storage rooms, co-branded to its US customers.

"It further consolidates our growing and very strong position in the American market for electricity-saving commercial refrigeration motors and shows our new range of motors is also opening up access to attractive new market segments," he said.

Mr Green said regulations to reduce electricity consumption are becoming increasingly common in the US, helping drive demand for Wellington's energy-saving motors.

The Auckland-based company is now selling more than 600,000 motors a year. Its sales of commercial refrigeration motors grew 105 per cent last year.

Dr Green said there is no sign of slowing down as the sector continues to switch over to high-efficiency motors.

Wellington Drive Technologies stock went up 2c to 10 after the announcement.

- NZPA