Investing 1 Billion Hangzhou Zhongce Tire's First Overseas Plant to Spend Thailand

Hangzhou, Zhejiang Province, entered the high temperature days, for rubber tire companies, it also entered the most busy production season of the year. In the first six months of this year, sales of 13.6 billion yuan was completed, which made the management and employees of Hangzhou Zhongce Rubber Company excited. "It is expected to complete sales of 28 billion yuan this year and maintain a 25% growth rate." Shen Jinrong said with confidence.

For him, there was also a happy event during this time. The establishment of the China Rubber Rubber Thailand factory is in full swing. According to reports, China Strategic will invest in the establishment of its first overseas automobile tire production plant in Thailand with a total investment of 1 billion yuan and a factory area of ​​670 acres. Completed and put into operation, Thai rubber sheets will be used as raw materials.

"Special Safeguard Case" Promotes China Overseas Planning

Speaking of setting up factories overseas, it is also necessary to say that the United States had a “tire special protection case” against China in the previous year. This big stick was overshadowed by the impact on tire companies in China.

“After the tire protection project, some foreign-funded enterprises that invested and set up factories in China once had a 'mould transfer'.” An industry source told reporters that tire companies generally have specific specifications and patterns for different sales regions. Because these tires produced in China cannot be directly exported to the United States, some tire multinational companies immediately adjusted their thinking, transporting molds from factories in other countries to Chinese factories, and then removing molds from Chinese factories. As a result, Chinese factories turned to produce tires that were exported to other countries. The tires that were originally exported to the United States from other countries were produced and exported by other factories, and the adverse effects were eliminated.

For many domestic tire companies in China, they have to adjust their operations, open up sales channels in other countries, and actively tap the domestic market.

Shen Jinrong, who believes that the first-class products will always be accepted by the market, said that China Strategic has digested the impact of the tire special protection case and the financial crisis through technological innovation, self-adjustment, etc., even bigger than before. And this year's corporate orders are full, and now it is necessary to break through the production difficulties, he also began to consider more to deal with international trade frictions.

The first overseas factory goes to Thailand

"Transnational management can avoid international trade barriers." Shen Jinrong said that after tires "special protection case" began to think about going out of the country.

He visited the rubber producing countries in Southeast Asia many times. Last year, the Thai Minister of Industry also visited Hangzhou and the two sides conducted in-depth exchanges. China Strategic finally chose to set up factories in Thailand. What they see is Thailand has high-quality raw materials, and Thailand is one of the world's largest rubber exporters. "The protection of raw materials has also saved freight." What is more important is a major adjustment in business operations. There can be no doubt that overseas establishment of plants can develop curves and avoid certain international trade barriers. China Strategic plans to invest 1 billion yuan, the factory area of ​​670 acres, which will also be the first overseas factory of China policy.

To open a factory overseas, for Shen Jinrong, he also rounded out a dream for him to build a "international tire enterprise." He told reporters that he always wanted to make Zhongcei a global leader in the tire industry, which will become A solid step.

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