China is ABB's second largest market with revenue of $2.4 billion
Beijing, China, March 7, 2006 - ABB, the leading power and automation technology group, said today its revenue in China for the full year 2005 was $2.4 billion, up 20 percent from 2004.
Michel Demaré and ABB China Chairman and President Peter Leupp | |
"The very strong performance of ABB in China is driven by our ability to support the country's fast economic expansion," said Michel Demaré, ABB Group's Chief Financial Officer, "ABB has a competitive advantage with our premium products and services, leading market positions, strong focus on technology and innovation, and highly skilled and motivated employees."
Demaré told reporters in a press conference today that ABB is following its strategy of 20 percent organic growth in China through 2008, and further remarked that China has now surpassed Germany as ABB's second biggest market.
Demaré said ABB's local companies in China generated 78 percent of revenue in 2005, an increase of 25.6 percent over 2004. The remainder was generated by imports from ABB companies in other countries, the same as in 2004.
"Localization and cost migration contributes strongly to our successful operations in China," Demaré said. "In 2005, we added five new factories and 1,000 people to our operations, bringing the total number of local ABB companies in the country to 25, and our total workforce to 8,500."
ABB also opened its Research Center in Beijing in 2005, with a branch focusing on robotics in Shanghai. The five new factories include a robot production line in Shanghai, a high-power rectifier manufacturing joint venture in Xian, a turbocharger manufacturing joint venture in Jiangjin, Chongqing, a traction transformer manufacturing joint venture in Datong, Shanxi, and an electric machine factory in Shanghai.
Demaré stressed that local ABB companies in China have passed the highest international and Chinese quality certification standards, and are certified for environmental standards. "ABB power and automation products help our customers to save energy and reduce environmental impact, which fits well into China's strategy of building a 'resource efficient society,'" he added.
In 2005, eight local ABB companies in China were ranked among 'China's top 100 electric companies' according to Electric Era magazine. In February 2006, ABB China was also rated favorite employer by university students on China's public recruiting Website - 51job.com.
ABB (www.abb.com) is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impacts. The ABB Group of companies operates in around 100 countries and employs about 104,000 people worldwide. ABB has a full range of business activities in China, including manufacturing, R&D, sales and service, with 8,500 employees, 25 joint ventures and wholly owned companies, and an extensive sales and service network across 30 cities. To know more about ABB, visit www.abb.com.cn.