Volvo moves into top gear

Swedish carmaker Volvo, owned by Zhejiang Geely Holding Group, said its September sales in China surged by 111 percent to 4,765 units. Deliveries in the first nine months of this year reached 33,000 units.

The company also expanded its product lines in China, its third-largest market worldwide, with new models like S60, XC60, XC90 and C30 Aktiv.

Volvo's global sales amounted to 41,978 vehicles last month, bringing the total sales for the first nine months to 333,865 vehicles, a 22.5 percent increase from the same period last year.

Tech

Angry Birds to land in Shanghai

Rovio Entertainment Ltd, the maker of the popular game Angry Birds, is opening its first overseas operation in Shanghai, marking a clear step to further penetrate the Chinese market that has witnessed thriving business growth during the past year.

The move will help the Finnish company gain a greater share in the largely neglected feature phone (mobile devices that do not use an advanced operating system) sector and lay a solid foundation for future acquisition activities, said Peter Vesterbacka, chief marketing officer.

Beverages

PepsiCo plans major expansion

Drinks and snacks giant PepsiCo Inc will set up a food factory and add beverage production lines in Guangdong province, which houses the most plants of the company in China, according to Timothy Minges, chairman of greater China operations.

The company, which already has 30 plants in China, is also scheduled to open a food plant in Wuhan, Hubei province, a research and development center in Shanghai early next year and a beverage plant in Zhengzhou, Henan province at a later date.

The company has no plan to raise prices in China, given the highly competitive nature of the market, although higher oil and sugar prices are pressuring the beverage industry, Minges said.

Retail

Wal-Mart China boss steps down

US retail giant Wal-Mart Stores Inc announced Oct 17 that Wal-Mart China's president and chief executive officer Ed Chan resigned, after its recent store closures and food scandals.

The company said in a statement that Scott Price, president and CEO of Wal-Mart Asia, will serve as interim leader of Wal-Mart China replacing Chan, who is leaving the company for personal reasons.

The company also announced the resignation of Clara Wong, senior vice-president of Wal-Mart China's human resources department.

Engineering

Siemens to build Chengdu plant

German turbine maker Siemens AG announced on Oct 17 it will set up an industrial automation manufacturing and research and development base in Chengdu, Sichuan province, a move to further exploit China's western market and enhance R&D capability in the nation.

The base will be Siemens' largest digital factory in China and the third R&D center for its industrial automation business, following similar plants in Germany and the United States. It is scheduled to begin operations by the first half 2012.

Telecom

Huawei to set up design centers

Telecom equipment maker Huawei Technologies Co is planning to set up design centers in the United States and UK as part of its quest to build a global consumer brand.

Centers in London and San Francisco would join eight existing design centers around the world, Hagen Fendler, chief of device design, told a news conference in Beijing.

Industry

Nike to double China sales

Sporting goods maker Nike aims to double its revenue in China over the next four years.

Charlie Denson, president of Nike Brand, an affiliate of Nike Inc, is optimistic about Nike's prospects in China. He said Nike would continue to grow by expanding to smaller cities, following the development of China's economy.

Nike products are available at more than 7,000 stores in China, which is the brand's second-largest market after the United States.

Transport

Rail container service from Germany soon

A new direct rail container service from Leipzig, Germany, to Shenyang in Northeast China will formally open in November, according to DB Schenker Rail Automotive GmbH, the rail specialist division of Deutsche Bahn AG.

With a transit time of 23 days for the journey of almost 11,000 kilometers, the direct trains will be more than twice as fast as the previous method of shipping and plus road transit to inland China.

Aviation

ASI unit wins major order

Ansaldo Sistemi Industriali (ASI), through its Chinese branch ASI Industrial Systems Beijing Co Ltd, has secured a significant order from the Xi'an Aerospace Propulsion Institute to supply a high-speed variable speed motor drive system on its new test bench.

The order illustrates ASI's growing presence in China's advanced manufacturing industry, the company said.

China Daily-Agencies

(China Daily 10/21/2011 page14)