Walking in the United States


In the shiny March just after the New Year’s Day, encouraged by the rising performance of 2012, SJ Group started to make field investigation and visit to some key customers in the market of North America on March 1, 2013. The investors included Mr. Wing Lo (the Board Chairman), Mr. Jiang Fangrong (the General Manager) and Mr. Yan Zhaomin (the Manager of Market Department). The investigation successfully ended on March 18.

The market investigators visited Michigan, Wisconsin, Indiana, Kentucky, Tennessee and North Carolina of the United States as well as Monterrey of Mexico as a trip covering thousands of kilometers.

During investigation in the United States, leaders of the Company communicated in- depth with some VIP customers about future strategic cooperation direction in addition to details of the current cooperation. Meanwhile, the Company found reliable partners for its global market layout and investigated some potential excellent customers, most of which were primary suppliers of automobile industry and excellent supporting factories of assemblies. Through long built reputation and brand effect, it has created a breakthrough in the upstream industrial chain of automobile industry in North America and entered into primary intention and agreement on future long-term cooperation.

Judging from the feedback of the customers, the manufacturing industry and general economic trend of the United States are showing signs of recovery as rare for the last decade. As one of the key industries, the automobile industry has even grown sharply. All the major vehicle manufacturers and auto manufacturing bases are ready for an upsurge. Numerous U.S. new cars will be released during the next five years, and general projects of primary and secondary supporting suppliers will gradually roll out. Annual performance growth rates of most injection molding factories are over 25%, and their future growth trend is even stronger. It will be a favorable opportunity for the Company to take off in the field. The close contact with Calsonic, Tokyo Electron, Bosch Group and other well-known enterprises will lay a solid foundation for us to move up along the industrial chain.

The last stop of the investigation was Mexico, a market with the strongest development of injection molding in America. Destination of the investigation was Monterrey, the second largest city of the USA. First of all, we checked the molds already operated in the customers’ factories. Meanwhile, we discussed in details about operation, maintenance, special clamps/gauges of auto products and collected necessary information .to better understand the demands of the customers and provide molds and service to meet their requirements. Then we visited two customer’s injection molding factories with advanced equipment in line with the European standards. All the customers said that the production schedule was full. Meanwhile, larger factory buildings were to be built to meet expanding performance demands and customer expectation. According to the statistics, all major auto assembly factories in the world have set up assembly factories in Mexico or are building new factories. All key primary suppliers are all actively making layout in the neighborhood. The demand for molds in Mexico amounts to USD 1 billion each year. Thereinto, 93% of the molds are imported from China.

The overseas investigation covered not only different industries and many regions but different time zones and seasons from the winter of Michigan and Indiana, then to the early spring of Kentucky and Tennessee and finally to the early summer of Mexico. It is believed that through pooled efforts, SJ is developing like prosperous spring after surviving the harsh winter of financial crisis, and it will achieve a harvest in the golden autumn through the hard work of the summer.

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