Appliance makers chart big overseas expansion

    Production bases abroad create more job opportunities for local people

    By FAN FEIFEI | China Daily | Updated: 2024-10-15 10:07
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    Dreame Technology's humanoid robots are on display during the World Robot Conference in Beijing in August 2023. HUANG YONG/FOR CHINA DAILY

    Chinese home appliance maker Hisense Group has accelerated steps to expand its footprint in Europe, Africa, the Americas, the Middle East, Australia and Southeast Asia and ramped up its investment in technological innovation to target high-end markets abroad.

    Jia Shaoqian, chairman of Hisense, said the company has set up 26 R&D centers, 36 industrial parks and production bases and 64 overseas branches across the globe.

    Jia also highlighted the company's determination and commitment to pressing ahead with its globalization strategy.

    Jia said the company has established a complete industrial system, including R&D, production, sales, supply chain and services, while making forays into overseas markets, in order to better serve local markets and consumers. It aims to strengthen capacities in localized manufacturing, research and development, and talent cultivation.

    Hisense's revenue reached 202.2 billion yuan ($28.6 billion) in 2023, while its overseas sales stood at 85.8 billion yuan, accounting for more than 42.5 percent of the company's total revenue.

    The Qingdao, Shandong province-based company has invested heavily in Africa.

    According to Jia, Hisense entered the South African market 30 years ago and built an industrial park covering an area of more than 100,000 square meters in the country, creating over 1,000 direct employment opportunities and more than 5,000 indirect ones.

    "Over the past three decades, Hisense has deeply integrated with African enterprises within the continent's industrial and supply chains," Jia said.

    Sales of Hisense's televisions and refrigerators have taken the top spot in the South African market, he added.

    Jia said Hisense is speeding up its business footprint in Nigeria, Angola, Egypt, Algeria and Morocco, with the recent investment focus on North Africa.

    For instance, the company signed an agreement with local partners to establish a new factory in Egypt in August. The plant will cover an area of about 200 mu (13.33 hectares), and commence production next year.

    In addition to meeting local demand in Egypt, the products made by the factory will be exported to 21 countries and regions, including the League of Arab States, North Africa and East Africa before gradually expanding into West Africa, the European Union and the Americas.

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