“Lex has ended the past one or two years of adjustments, we are presently in China’s development strategy is clear, that is dedicated to the refrigerator,

Washing machine

, Vacuum cleaner and

Kitchenware

Several key product lines, remodeling Electrolux brand. “April 8, Electrolux (China) Electric Company Limited (” Electrolux “) market and business development director Dai Huaizong in the” China Network “reporters said.

1000 million investment in production base in Hangzhou

4 8, Electrolux announced in Hangzhou, once again invest 10 million U.S. dollars, solely in Hangzhou to establish hood, cooker kitchen appliances production base mainly. Electrolux had already invested 55 million yuan for the production base of infrastructure investment and reform. Electrolux China President Don Gadsden to the “China Network”, told reporters that after the commissioning of the production base of 600,000 units per year capacity is expected to be fully operational later this year, when the market will be more than 15 new products.

It is understood, Electrolux began in 2003 a small number of products

Kitchen

Market test the water. At that time, Electrolux is mainly dependent on China for the local 5 OEM OEM manufacturers. The production base in Hangzhou put into production, the original OEM manufacturer Electrolux and the scope of cooperation would be limited to

Parts

Available on the.

Don Gadsden confirmed to reporters from the original Electrolux Hangzhou production base is transformed from a production base for air conditioning. Electrolux global CEO Stumberg had visited China, to the media that the company has given up in the air conditioning business in China, due to a large number of competitors entered, triggering a fierce price war, air-conditioning business has been unprofitable.

Daihuai Zong said that the completion of the production base in Hangzhou, was established following last year’s wholly-owned production base in Changsha, the Electrolux complete restructuring of its global business is another important measure. Electrolux plans to build its China supply base and global sourcing base.

China’s business into the global layout

Although China Electrolux global market play an increasingly important role, Don Gadsden also pointed out, and also has a cost advantage of Eastern Europe, South Africa and Southeast Asia, the Chinese and between those areas gap is reduced. He said that the current manufacturing base from China destined for global markets, logistics costs have been rising. To this end, Electrolux solution is to supply North America and Europe manufacturing base in Northern Europe and South Africa, will supply the manufacturing base in Asia-Pacific markets in China, to save transportation costs.

Assume office since April 2002 since the global president and CEO Stumberg Electrolux began on the Electrolux brand integration of major surgery. January 21, 2003, Electrolux former Chinese president Liu Xiaoming’s sudden departure, unveiling a series of Chinese business transformation Electrolux adjustment. Previously under the leadership of the Liu Xiaoming, Chinese companies Electrolux has been seen as the most complete localization of multinational corporations in China’s enterprises.

Since then, Electrolux in China, launched a series of new actions. Electrolux Electronic R & D center and design center set up in Shenzhen and Shanghai respectively. Electrolux will also be a production base in Changsha China and Italy into its wholly-owned company to become one of the three largest refrigerator manufacturing base, while the global independent procurement center in Shanghai has also been completed. Electrolux Vice President of Purchasing Asia Pacific Su Deli before a visit to Shanghai, said this year’s purchases in China will reach 1.2 billion to 1.3 billion U.S. dollars of the scale, by 2007, this index will reach 1.8 billion U.S. dollars.

The face of nearly 10 billion yuan of Chinese kitchen appliances market, in addition to

Haier

, Vantage and other domestic brands have been well established, the Siemens, Panasonic and other foreign home appliance giants this year, also went through the establishment of production bases, R & D centers, etc. across the board to enter the competitive power of Chinese kitchen.

Domestic brands dominate the situation will be broken, eventually the market is expected to be mainly occupied by international brand.

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