Clariant, a manufacturer of specialty chemicals, announced today that the company has made good progress in implementing China's strategy.
Clariant Integrated Campus in Shanghai, China
2017Annual sales increase13%
After the announcement of this strategy in 2016, Clariant continued to practice the concept of innovation and sustainable development, improve governance, increase production capacity and strengthen local cooperation. Through these initiatives, Clariant believes that it will be possible to double sales in China in 2021. The goal is to increase sales to more than 1 billion Swiss francs.
Clariant Executive Committee member Christian Kohlpaintner stated at the 8th “Definition of the Future” conference at Clariant in Hangzhou, China, that: “For Clariant China, 2017 was a successful year, and sales increased by 13 %, Profitability has also improved. We are convinced that by implementing an overall growth plan and continuing to adapt to China's market and business thinking models, by 2021 we can double our 2015 sales base.
China is crucial to Clariant's overall growth strategy. To this end, the company has taken actions in various fields with a view to improving its position in this important market. Chinese industries are seeking technology-driven solutions that can bring higher value. , and prioritizes chemical solutions that are compatible with the environment. With the constant upgrading of Chinese industries, Clariant has taken advantage of these growth opportunities.
Two new production facilities in China
In 2017, the Clariant Additives Business Unit added two production facilities in China. Through such expansion of production capacity, the company can meet the growing local demand and bring closer customers and raw material suppliers.
Establish a new joint venture
In addition, the distance was further narrowed by establishing new joint ventures, creating partnerships, and establishing other forms of cooperation with local Chinese companies and research institutes.
In the past year, Clariant has established a joint venture with Beijing Tianqi Auxiliary Co., Ltd. to respond to the growing demand for locally produced light stabilizers in China.
In addition, Clariant also signed an important cooperation agreement with Sinopec, China's largest petrochemical company. Through the signing of the Memorandum of Understanding (MOU) with Shanghai University, Clariant continued the momentum of local collaboration and innovation with Chinese academia.
Developing e-commerce sales
At the same time, Clariant also expects to expand its e-commerce sales in Greater China by setting up a flagship store (https://clariant.1688.com/) on the B2B business platform 1688.com under the Alibaba Group.
Establish a governance model that takes advantage of China’s top managers’ profit and loss
Finally, through the establishment of a new regional governance model in which Chinese executives are responsible for profit and loss, the strategic establishment and coordination have been greatly improved. The Clariant Integrated Park (OCC) established in Shanghai is scheduled to be completed in 2020 and includes a comprehensive Regional headquarters and innovation facilities. By then, these benefits will be further demonstrated at the Clariant Integrated Campus.