I'll look at TI later tonight. China Daily, Samsung's China investment, do you know these companies????????????????
Samsung stresses localization
Date: 01/05/97
Author: Pan Zhongming
Page: 2
Samsung Group of South Korea will invest about $550 million in each of the next four years to build a strong production base in China, said Yong Chung, president and chief executive of Samsung's China headquarters.
By the year 2000, Samsung will have invested $4 billion in the country, where it will employ 40,000 people, compared with 15,000 in 1996.
Chung said Samsung's strategy is to localize production, expand investment scale in its enterprises and cultivate more local prefessionals.
Samsung will build industrial parks in Tianjin, Shanghai and Guangdong and plans to have a presence in Sichuan and Northeast China this year.
"We invest not just for the sake of investment but for localization," Chung said. "Our investment is not limited to materials but (includes) people as well."
Samsung will diversify investment targets with the aim of forming integrated industries, making its products more competitive in the market.
"If we want to produce colour television sets in China, we need to set up joint ventures with Chinese partners to produce components with advanced technology," Chung said, adding that such investment will not conflict with Chinese industrial policy.
An official with the Ministry of Foreign Trade and Economic Co-operation said China welcomes foreign investment in all sectors as long as funds are used for co-development where industries concerned fall under central-government guidance.
Samsung's 16 joint ventures -- in Tianjin, Weihai, Suzhou, Ningbo, Huizhou, Dongguan and Shenzhen -- produce video cassette recorders, colour televisions, programme-controlled exchanges, audio equipment, semiconductors, washing machines, microwave ovens, cameras, TV tubes, monitors, garments and other electronic components.
Li Jun, general manager of China Yuanyang Electronic Equipment Co -- sole distributor of Samsung products in Beijing -- said his company sold more than 200 million yuan ($21.7 million) worth of products in 1996, a 10-fold increase from 1994.
"Samsung's localization policy has made the price of its products more competitive, breaking the monopoly of Japanese products which used to dominate the consumer market in China," said Li.
Samsung set up Samsung (China) Investment Co Ltd early last year to co-ordinate its business here. |
