• World Biz Magazine

AN AFRICAN SUCCESS STORY - CHINESE RAIL EQUIPMENT MANUFACTURER'S SALES TO AFRICA TOPS $1.5 BILLION



Africa was the initial station for Sany's internationalization.

In 2002, the leading Chinese rail equipment manufacturer Sany began exporting to Morocco. With that early entry Sany was amongst the first batch of Chinese construction machinery enterprises to access the African market.

After observing the market for many years, Sany divided its African business into three regional markets of South Africa, North Africa, and West Africa, in order to maximise efficiency and deliver focused solutions to regional markets.


At present, Sany exports equipment to Africa with sales of more than RMB 10 billion (Approx. $1.5 Billion USD) and has sold over 12,000 sets of equipment, which ranks it in first place among Chinese construction machinery enterprises exporting to Africa. Concrete machinery, large tonnage cranes, and small harbour machinery have taken the lead in the African market.


Sany equipment runs efficiently in large-scale rail transit construction projects such as the biggest overseas wind power project Ethiopia Adama Wind Field, Algeria East-West Expressway, Kenya Mombasa Nairobi Railway, the first electrified railway of Ethiopia Addis Ababa, Djibouti Railway, Nigeria CCECC Railway, and Senegal Dakar Light Rail, and also helps the rapid economic development of African countries effectively.


Localization Strategy of Old Africa

Due to coming to Africa early, Sany acquired the locally well-known label "Old Africa"; which signifies the companies that came before the economic boom, businesses that have a strong understanding of Africa. That deep knowledge of Africa gained over nearly two decades has proven to be a major advantage and localization is a key weapon for Sany.


With poor road conditions and temperatures as high as 60 degrees centigrade year round, many products easily break down in Africa. To overcome this local challenge, Sany has developed its product specifications and service delivery mode to fit local demand.


For example: Sany Autocranes, Reach Stackers and other equipment exported to South Africa receive specific local load testing in South Africa, and the excavators used in mines are equipped with self-lubricating systems. These steps are only two examples of many adaptations by Sany to meet the specific customer demands of Africa.


The introduction of local talent is also an important strategy; Sany has more than 50 Chinese employees and more than 30 local employees, with the localization rate of over 60%. At the same time, Sany has permanent marketing and service branches in more than 20 countries including Algeria, South Africa, Kenya and Zambia, with 20 high quality agents and 50 service network stations, combined they support more than 500 jobs locally.


New Development Mode of Linking up Overseas

At present, Sany has established the relationship of reciprocal visits with many heads of government and provincial and state-level officers from more than 10 African countries, and has signed a series of friendly agreements.


Sany also innovates it's mode of overseas business development constantly, linking up with corporate partners overseas, obtaining overseas projects, and promoting the overall competitive strength of overseas business with complementary advantages.

In the future, Sany will set up assembly plants with local partners in South Africa, Algeria, Nigeria and other countries, promote local industrial technology, and cultivate more technical talent for Africa through the launch of Sany Polytechnic College.


Co-building "the Belt and Road"

Sany is stepping into "Golden Age" of development together with Africa. Sany has stated its wish to help Africa realize local manufacturing needs, and to make contributions to promoting the local economic base, building the perfect industrial system, solving employment issues, promoting tax revenues, and cultivating professionals.


For more information on Sany please visit: www.sanyglobal.com