Localization of Haier production in the territory of the Republic of Tatarstan to attract $ 60 million foreign direct investment
On March 6, 2014 at the «Invest in Tatarstan» International Winter Forum between HAIER and «Kama Industrial Park «Master» was signed an agreement on the distribution of refrigerators production.
HAIER - the only brand from China, which entered in the top 100 world brands by World Brand Laboratory. Authoritative magazine Business Week put the company on the 27th in its ranking of 50 leading innovative companies in the world. It is due to investments in new technologies and engineering solutions. The Corporation has more than 7,000 patented technology certificates, including 1234 innovative invention and intellectual property rights in respect of 589 types of modern software.
Today HAIER factories produce over 15,000 models of household appliances, consumer electronics, medical equipment and industrial systems of various purposes. HAIER products supplies in 160 countries. The company has 20 own design institutes and 17 industrial parks, not only in China but also in Europe, Africa, the Middle East and the USA. In addition, HAIER owns 22 manufacturing plants and 58,800 sales offices worldwide. In Russia, the corporation has its own representation, as well as trading company.
According to market analysis conducted by a reputable research company Euromonitor, HAIER took first ranking in sales of household appliances in the world. In the world retail sales share of HAIER refrigerators was 10.4%, and washing machines - 8.4%. HAIER high product quality is confirmed by certificates of European organizations CE and GS, Canadian CSA, American UL and Russian «ROSTEST».
According to the Decree of the President of the Russian Federation Vladimir Putin dated 12.05.2012 №596 «On the long-term national economic policy» in order to increase the pace and sustainability of economic growth, rising real incomes of citizens of the Russian Federation, achieving technological leadership of the Russian economy, to the Government of the Russian Federation has been instructed to take measures aimed at achieving the following:
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construction and modernization of 25 million high-performance jobs by 2020;
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increasing investment to not less than 25% of gross domestic product by 2015 and to 27% - by 2018;
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increasing the share of high-tech and knowledge-intensive industries in the gross domestic product in 1.5 times by 2018;
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increasing of labor productivity in 1.5 times by 2018.
Localization of HAIER production in Tatarstan will:
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create in the first phase of the project 350 highly productive jobs, increasing to 400 in the second stage;
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attract foreign direct investment up to U.S. $ 60 million;
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ensure the payment of taxes to the budget of the Republic of Tatarstan;
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increase the production of high-tech products (initially to 250,000 refrigerators per year, increase to 500,000 in the second stage) and exports in regions of Russia and the United Customs Union;
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create an additional niche for the development of small and medium enterprises of the Republic of Tatarstan in the form of making orders to local component manufacturers by outsourcing - the first stage of the components’ localization will be 40% with an increase to 60-70% in the second stage;
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create a successful example of the Chinese company’s project to further relations’ development and attracting investment from China.
Over the past three years Tatarstan Investment Development Agency is aimed to the attracting investment and new technologies in manufacturing.
Besides HAIER to the Tatarstan came following a high-tech manufacturing companies:
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KIEKERT production of automotive locks (global market share is 65%), followed by the creation of an engineering center;
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creation of corrosion protection production for oil and gas industry (liquid epoxy coatings, liquid polyurethane), glass microspheres, abrasive tapes and discs, as well as industrial adhesives and tapes of 3M American company with the subsequent development of the engineering center;
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creation of carbon fiber production of joint venture Dow Chemical (USA) and Aksa Akrilic (Turkey);
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establishment of hygienic products production of Hygiene Technologies ( Belgium).
Attracting investment and technologies of world innovation companies also allow establishing joint ventures with local producers, increasing the efficiency and competitiveness of their industries and cost savings. During 2012, the HAIER negotiate with «POZIS» on creating of joint venture and installation of its production lines, but the parties could not reach an agreement.
After the cessation of negotiations with JSC «POZIS» was decided to locate production in the Vladimir region, but as a result of further permanent contacts with the leadership of the company, the Agency managed to resume negotiations on locating independent production in the Republic of Tatarstan.
Tatarstan Investment Development Agency in support of investment projects and location of production promotes special economic zones and industrial parks, which are able to compete with sites in other regions of Russia. The new production in Tatarstan mainly locates on the territory of SEZ «Alabuga» and JSC «KIP Master».
In addition, the Agency supports seven foreign and local companies who are considering placing productions in SEZ «Innopolis» in Laishevskiy municipal region.
In order to diversify production in the Republic of Tatarstan runs the work with manufacturers of automotive components - potential partners Ford Sollers and Renault Nissan motor plants to accommodate production facilities in industrial parks in Leninogorsk, Nurlat, Cheremshansky, Drozhzhanovsky region and many others.
Tatarstan Investment Development Agency Press Service