With their home income narrowing and manufacturing capability increasing, China’s corporations are persevering with to widen their abroad footprints in the hunt for new, extra profitable markets. On this sequence, we study China Inc.’s subsequent section of “going international” and the advanced, difficult worldwide atmosphere its corporations have chosen to enter.
In early November, the chairman of certainly one of China’s prime building equipment makers was noticed touring potential manufacturing facility websites in Piracicaba, a metropolis in southeastern Brazil.
Maybe beforehand finest identified in China for its nationwide soccer workforce and majority share of the Amazon rainforest, Brazil is now rising as a significant funding hotspot, with Chinese language corporations of all sizes and kinds – state-owned vitality giants, particular person e-commerce distributors and every thing in between – seeing its market as a fertile land of alternative.
The Brazilian visa software centre in central Beijing is now packed most weekdays. Trade insiders say there’s a actual buzz about Brazil amongst Chinese language traders in the meanwhile.
“So many Chinese language are coming to Brazil now,” mentioned Jack Lee, founding father of the US-based consulting agency Grand Central Advisory, which helps Chinese language corporations enter the South American market.
“It appears to be like to me like they’re all right here for enterprise,” added Lee, who assisted the development equipment firm with web site choice in Piracicaba, the place the agency’s greatest consumer, Caterpillar, has a facility.