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    中文English???
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    China Economy: Mature industrial supply chains to give new energy industry competitive advantage

    Column:Company News Time:2023-02-10 Browsing volume: 746
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    Industrial and supply chains are coming back online with hopes that this year will see robust economic recovery across China. This year China's economic powerhouse Guangdong is eyeing a yearly growth rate of five percent while in 2022, the province's GDP growth rate stood at 1.9 percent. Much of the growth this year will rely on international trade and high-end industries. CGTN's Omar Khan sat down with one electronic chemicals producer, and heard their take on future development and the need for global connectivity.

    With electric vehicles dominating the Chinese market, it's no wonder that six of the world's top EV battery producers are domestic firms.

    For Guangdong-based company Capchem, who's embedded in this industrial supply chain, the importance of globalization and connected markets, is at the forefront of their business strategy.

    JANE ZHOU Chairman Secretary, Shenzhen Capchem Technology "We've been focusing on electronic chemicals and functional materials. Our downstream customers, include battery makers, capacitator makers and pharmaceutical companies. Because of the fast-growing electronic vehicle industry, we are looking forward to expanding our presence in other parts of the world, in North America, Europe and other parts of Asia."

    In 2022 Capchem saw a total sales revenue increase of nearly 39 percent, a staggering figure given several years of pandemic impacts.

    Yet some reports and analysts believe that the industry is experiencing overcapacity woes, so going global is a must.

    For such an intricate high-end industry, having a solid foundation will be integral moving forward.

    OMAR KHAN Shenzhen, Guangdong Province "So when it comes to the global and industrial supply chain of batteries in China, what are the competitive advantages that companies here have to offer to the global market?"

    JANE ZHOU Chairman Secretary, Shenzhen Capchem Technology "Over the past 20 years, China has developed a whole category of components production. And also, upstream raw material production industries. Because it's very mature right now, we can produce all the raw materials, components needed in a comparatively economic cost. We have sufficient production capacity to supply not only the Chinese market, but also the global market."

    With a presence in three continents, Capchem is bearing in mind sustainable practices. For them, continuing this approach will bring both markets and consumers closer together.

    JANE ZHOU Chairman Secretary, Shenzhen Capchem Technology "Shipping products for such a long distance, from one continent to another continent, may not be the most economical way, and not a green way. So, this is the reason why Chinese companies and other Asian companies, are seeking opportunities in other parts of the world. We're looking forward to building factories in North America and Europe, so we can be closer to our downstream customers. It will also make our response much faster to the market."

    Omar Khan, CGTN, in Shenzhen, Guangdong Province.


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