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  • As Africa has become a hot spot for Chinese enterprises to invest in foreign countries, Chinese enterprises are also facing the challenge of lack of risk prejudgement and disorderly competition of investment in Africa.
    The International Herald reporter Gao Bo and Li Junyi are from Shijiazhuang. There are two times in the company: one is "Beijing time", the other is Ethiopia time. Li Weimin, a special assistant of Huajian group, interviewed by the International Herald reporter, the company established in Ethiopia for more than 5 years.
    As a shoe making company headquartered in Dongguan, Guangdong, Huajian group is located in Ethiopia factory. Now, there are 4200 local employees and 6 production lines. They export 2 million 400 thousand pairs of shoes a year, with an average profit margin of 10%, with a profit of 15 million in 2015.
    Li Weimin said that the main reason for the company to invest in Africa is the rising cost of domestic labor. In 2002, when the company built a branch plant in Ganzhou, Jiangxi, labor costs accounted for only 11% of the total cost, up to 33% now.
    "Shoemaking, clothing and other labor-intensive industries belong to the migratory bird industry, which has been transferred from Europe and America to Japan and Korea, Hongkong and then to mainland China, which has made an important contribution to the local economy." Li Weimin said that many domestic labor-intensive industries are also at the time of decision. The cost of domestic production factors is rising. If we don't go out, the technology and customers that we have accumulated over the past decades will vanish.
    Africa is increasingly becoming a hot spot for Chinese enterprises to invest in foreign countries. The data show that China has been the first largest trading partner in Africa for six years. In 2014, the trade volume between China and Africa reached 220 billion U.S. dollars (1 yuan, or 6.5 yuan), which was 22 times the start of China Africa Cooperation Forum in 2000, while Africa is the second largest contract market and emerging investment destination for Chinese enterprises overseas.
    But as Africa has become a hot spot for Chinese enterprises to invest in foreign countries, Chinese enterprises are also facing the challenge of lack of risk prejudging and disorderly competition. Some representatives and experts suggested that in order to avoid investment risk effectively, China should also attach importance to software construction in addition to investment in hardware and infrastructure.
    China Africa investment hot spot
    Many Africans today say, "your yesterday is our today, our tomorrow is your today." For this statement, the China Africa Development Fund MENA investment general manager Li Dongwei also has feelings, in his opinion, like Africa 30 years ago Chinese, the economy maintained rapid growth, the new period, in the consolidation of the traditional non cooperation at the same time, more urgent needs to focus on Africa to promote production cooperation, boost the industrialization of Africa process.
    As the forerunner of the Chinese in non cooperative communications construction group, since the last century in 70s in Equatorial Guinea, Mauritania and other countries bear the aid mission, now toured more than 50 countries in Africa, and built a Mongolian railway, port, Ethiopia AA Equatorial Guinea Bata high-speed road, Cameroon loncq than Hong Kong wheat and other landmark projects to solve the millions of African workers. Share technology and experience.
    Chinese CCCC chairman Liu Qitao said, we project in Africa, local staff ratio is generally about 90%, such as the Mongolian railway project across the board for Kenya to create employment has more than 31 thousand people. "African infrastructure, manufacturing industry is weak, China can be capital, technology and management talent introduction in Africa, resources, markets, capital and technology between each other, learn from each other and cooperation is a mutually beneficial win-win behavior."
    In terms of Sino African capacity cooperation, in addition to the active investment of central and state-owned enterprises and state-owned enterprises in Africa, some private enterprises in China are gradually involved in the African market. In October 2014, Shahe strong glass company as the representative of Hebei private enterprises took the lead in Africa, and began building a glass production line project in Dar Es Salaam, Tanzania.
    Shahe enjoys the title of "China Glass City". Its flat glass accounts for 20% of China's total. It is seeking industrial transformation and upgrading, and many companies are eager to go out. Cooperation in non production and "The Belt and Road national strategy background, Shahe and distant African countries because of the glass together.
    "At present, the enterprise has invested 40 million yuan in Tanzania, the first production line of the production line of the investment has been completed, and it is expected to be put into production soon." Zhang Zhuangmin, chairman of the growing glass company, said that the first thing to build a factory in Tanzania is that the raw materials for producing glass in Tanzania are rich in quartz sand. Two, there is a strong demand for local infrastructure construction. The building materials industry has a good market.
    Zhang Zhuangmin introduced that the growth of glass has contracted 1200 mu of quartz sand mine in Tanzania. After the African plant is put into operation, its capacity is 800 thousand weight boxes, and its annual output value will be more than 20 million dollars, which will drive more than 300 local workers.
    "Africa is actively promoting the process of industrialization, it can be said that the development phase of China and Africa is connected, and the prospect of cooperation in capacity is broad." China Council for trade and investment promotion minister Lin Shunjie said, Hebei iron and steel production accounted for 1/4 of the country, the urgent need through international cooperation to achieve the transformation and upgrading of the industry, I hope Hebei iron and steel, glass, cement and three industries as soon as possible to find opportunities in abroad.
    Challenges: political risk and vicious competition
    With the rapid development of Sino African political and economic relations, more and more Chinese enterprises are turning their eyes to Africa. However, "going global" is a complex systematic project, which involves many risks and legal problems.