ZPMC signs contracts with five suppliers for over US$217 million worth of parts and components.
The deals were signed at the recent “China International Import Expo” (CIIE), a state-led event aimed at demonstrating China’s goodwill towards growing global trade, and showcasing the country’s import potential. According to Chinese state media, some US $57.83 billion worth of deals for imported products were agreed at the expo, which was held in Shanghai earlier this month.
CIIE started with China’s President Xi Jinpeng calling on global leaders to embrace trade and promising to lower tariffs, facilitate customs clearance and make other improvements to make it easier to access the Chinese market. ZPMC attended CIIE as one of five “signing companies” from the CCCC group, bringing its top management. “Present at the signing ceremony were Zhou Lianying, General Manager of CCCC Materials Company, Zhu Lianyu, Secretary and Chairman of ZPMC, Huang Qingfeng, President and Vice-secretary of ZPMC as well as related persons in charge of CCCC Materials Purchasing Management Centre, ZPMC Materials Purchasing Department and other signing parties,” ZPMC noted.
Of ZPMC’s more than 1,000 qualified suppliers, over 300 are import suppliers from outside China. The US$217M worth of contracts (RMB 1.5 billion) were signed between ZPMC and: ABB (Switzerland), Bubenzer (Germany), Bromma (Sweden), Phoenix (USA), SKF (Sweden) and Igus (Germany).
Promoting the value of its component imports is something of a change in direction for ZPMC. As the whole container crane industry knows, ZPMC encourages customers to use its own brand and other made in China components - just last month ZPMC announced it had successfully started producing its own floodlights for container cranes.
For now, however the wider political agenda from China is to promote the country as import market, and emphasise that Chinese production is an opportunity to grow global trade for the benefit of China as well as its trading partners. ZPMC notes it has helped more than 160 Chinese companies to go abroad, but with 60% of its annual purchasing spent on imports the company is also a huge revenue generator for its foreign suppliers. With an average annual procurement programme worth RMB 10 billion (US$1.4 billion), the import component is RMB 6 billion (US $864M), ZPMC states.
ZPMC emphasised it will do its part in supporting China’s new push for mutually beneficial trade. “CIIE is the first expo of the country level in the world so far, which is pioneering in the international trade development history, showing the will and responsibility of China for mutual benefits, win-win cooperation with the rest of the world,” ZPMC stated.
“ZPMC, adhering to the state strategy, will grasp the historical opportunity to speed up the whole industry chain internationalization and to make wide cooperation with famous suppliers on technical R&D and breakthroughs, thus, promoting the international trade cooperation and economic globalization for mutual benefits and win-win development,” ZPMC concluded.