The 8th World Shunde Friendship Association's grand meeting - Shunde - South Africa Economic and Trade Fair, recently held in Johannesburg, more than 60 Shunde, Africa and two entrepreneurs to seek common development plans. Local Chinese entrepreneurs warmly welcome Shunde enterprises to explore the market and even set up factories to jointly expand the world influence of “Shunde Manufacturingâ€.
Qiao Jifei, deputy head of Shunde District, said that Shunshang has an innate pioneering spirit and a strong sense of market. It has a global footprint and has close contacts and extensive cooperation with companies all over the world. South African companies have advantages in terms of brand, human resources, information and customer networks in Africa, and the cooperation between the two companies in developing the African market is promising.
Market potential: large demand for machinery and building materials
Yu Lan, executive deputy director of the Shunde District Economic and Technological Promotion Bureau, introduced the trade situation between Shunde and South Africa.
From January to August 2012, the export of Shunde District stagnated, but the export growth rate to South Africa still exceeded 10%, with a total value of US$118 million. Shunde's main exports to South Africa are home appliances, textiles and clothing, furniture, building materials and lighting.
Yu Wei believes that Shunde and South Africa have different economic structures and strong complementarities, and bilateral trade has great potential to be tapped. With the rapid development of the economy, Shunde jewelry processing industry has increased its dependence on the South African mining industry, and the improvement of living standards will increase the demand for quality agricultural products in South Africa. At the same time, all kinds of electromechanical and furniture products in our district are cheap and applicable, and they are also in line with the needs of South Africa. Both sides can give full play to their comparative advantages and expand the scale of import and export.
Pioneer in investment: Hisense Kelon participates in public welfare undertakings and gains recognition from all walks of life in South Africa
Hisense South Africa Development Co., Ltd. is now located in the Midland United Industrial Park in the high-tech park of Johannesburg. In the first half of 2012, the cumulative sales of Hisense refrigerators increased by 60% year-on-year, and sales increased by 71% year-on-year, accounting for 12% of the South African ice cold market, ranking third.
The Hisense South Africa Home Appliances Industrial Park, located in the Atlantis Industrial Park in Cape Town, invested 250 million rand in the first phase. After completion, the annual production capacity will be 400,000 TV sets and 400,000 refrigerators. In addition to meeting the needs of South Africa, the products will also be Covering more than 30 countries and regions such as Angola, Ghana and Congo in sub-Saharan Africa.
This year, Hisense was rated as a ten major home appliance brand by a South African newspaper. Hisense also plans to set up a regional headquarters in southern Sahara in South Africa to drive the appliance business to a higher level.
Looking back at Hisense's rapid growth in South Africa, Liu Bin, general manager of Hisense China Africa Holdings Co., Ltd. said that Hisense's magic weapon is internationalization and localization. Hisense's production lines and sales terminals in South Africa employ a large number of black and white employees who are familiar with the local culture.
Another great weapon of Hisense is social responsibility. Hisense actively participated in charitable activities in South Africa, donated to orphanages, public welfare and cultural activities, and won a good reputation.
Liu Bin said that Shunde home appliances accounted for 30% or 40% of the market share in the South African market, and Midea, Galanz, Xinbao and other companies have a lot of sales. He invited Shunde counterparts to invest and set up factories, and also invited home appliance parts companies to go to South Africa to provide supporting services for Hisense.
It is understood that there are still some Shunde enterprises investing in Africa. For example, Midea Group invested US$47.58 million in Egypt to acquire 31.5% of Carrier Egypt, with annual sales of US$200 million.
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