Transcript SPX-CQ Presentation

SPX-CQ Presentation
April, 2006
About SPX-CQ
Subontracting and Partnership
Exchange of Chongqing(SPX-CQ) is a
non-for-profit organization founded
by China Chongqing Government in
cooperation with UNIDO (United
Nations Industrial Development
Organization) in western China in
2004.
United Nations Industrial
Development Organization
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UNIDO is the UN’s industrial
specialist
Responsible for the sustainable
economic development of developing
countries and countries with
economies in transition
The Aim of the SPXs
SPXs are technical information, and
matchmaking centers for industrial
subcontracting and partnerships
between buyers and suppliers (often
SMEs), aiming at optimizing the
manufacturing capacities of the
affiliated industries.
Objectives of the SPX-CQ
Establishing and developing the longterm and stable business cooperation
between European and American
SMEs and Chinese SMEs from
Western China.
Activities of SPX-CQ
Matchmaking:
select, locate suppliers
Training &
Consultancy :
i.e. Improve quality,
technology & productivity
Oraganisation of fairs :
Raising images and
brands of local
enterprises
SPX is an enabler of a better
performance of the purchasers
and suppliers through his various
activities.
Target Groups of the SPX-CQ
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European enterprises
-- having strong desire of developing
Chinese suppliers in metal and plastic
processing and be willing to provide
support for the suppliers
-- specializing in R & D, production and/or
sales of automotive, motorcycle parts
system or machinery equipment
Target Groups of the SPX-CQ
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The SMEs in Western China
-- strong desire of entering into international
market and be willing to invest for
improvement
-- having strong metal and plastic processing
capability, good plant, equipment and other
infrastructures
-- having idle production capacity or capability to
enlarge production
-- having ISO9000 certificate, adequate
management level and skilled technicians
-- having annual production value within 1
million to 30 million EURO
Expected impact on
target groups
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Cost Control
Technological improvements
Total quality (zero defects) management
Better organization of work within the
enterprise
Logistics (just-in-time practices)
Environment protection
Benefits for Target Groups
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For European enterprises:
-- build up their own supply chain in
China
-- reduce the purchase cost
-- gain the new trading and investment
opportunities and promote their
competitiveness in the market.
Benefits for Target Groups
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For the SMEs in Western China:
-- creating and sharing the new trading
opportunities and expanding their
export
-- improving in cost control, technology
upgrading, quality management,
internal organization, logistics and
environment
How does a SPX work?
Collecting data
about
enterprises
in the country
SPX-CQ receives
your enquiry
The SPX staff
enters criteria's
given by caller
into the software
Entering
collected
data into
Database
Constantly
updated
local (SPX level)
database
And the enterprise,
after finding what it is
looking for, is rerouted
to the SPX-CQ,
for more information.
Database
finds the results
of the search
Standardized Tools
Standard Questionnaire
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General Information on the Enterprise
Headquarters and plant address
Client references
• Partnership information
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Enterprise Activity
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Sectors and subgroups of activity
Products (catalogued items)
Subcontracting demand (main contractor)
Quality certificate, patents and licenses
Production Related Data
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Subcontracted products
Raw materials and components
Specialized subcontracting supply (sub-contractor)
Machines and operations
Standardize Tools
Database
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The database is established with UNIDO methodology,
nomenclatures and “Outsourcing” software. At present 300
enterprises’ data have been entered into the database after
the assessment of SPX-CQ. Most of these enterprises
specialize in manufacturing of the mechanical equipment
and components of automobiles and motorcycles. It is
planned that by the end of 2006 there will be 500
enterprises’ data in the database, including the enterprises
in the electronic, chemical, and house electric appliance
industries.
Standardize Tools
Database
SPX Sector Distribution
Machinery
9%
Mechanical
Parts
14%
Instrument Others
2%
4%
Motorcycle
23%
Automobile
48%
Standardize Tools
Database
Output Value of SPX Members (EURO)
above 30 mil
10%
0.1-1 mil
10%
1-3 mil
25%
0
3-30 mil
55%
Achievements of SPX-CQ
Matchmaking Activity
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312 purchasing orders received from international buyers
203 local enterprises selected from database received the
purchasing order
115 local enterprises put up their quotation for the
purchasing products
36 quotations have been accepted and in further
negotiation.
Achievements of SPX-CQ
Organization of fairs
Abroad:
 Subcon in Birmingham in May 2005, Chongqing
delegation:11 persons, exhibiting and visiting
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MIDEST in Paris in December 2004, Chongqing
delegation: 16 persons, exhibiting and visiting
MIDEST in Paris in November 2005, Chongqing
delegation: 12 persons, exhibiting and visiting
Achievements of SPX-CQ
Organization of fairs
Home:
 Auto Chongqing 2004: Exhibitors: 500, Visitors: 86,000;
Business match-making meeting: 102 suppliers meeting
with 22 purchasers
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Auto Chongqing 2005:Exhibitors: 500, Visitors: 119,000;
Business match-making meeting: 111 suppliers meeting
with 20 purchasers
Subcon China 2005: Exhibitors: 525, Visitors: 8,236;
Business match-making meeting: 130 suppliers meeting
with 30 purchasers
Achievements of SPX-CQ
Asia-Interprise Programme
Successful preparation of Asia-Interprise program
application as the main applicant in March 2006.
Project Title:
Fostering the industrial subcontracting and partnership
exchange between European and American SMEs and
Western China SMEs
Location
China， West part of China， Chongqing
Achievements of SPX-CQ
Asia-Interprise Programme(Cont’d)
The aim of the action:
Establishing and developing the long-term and stable
business cooperation between European SMEs and Chinese
SMEs from West China, helping them develop
subcontracting business; reducing European SMEs’
purchase cost; enhancing the management level and export
capabilities of Chinese SMEs.
The main activities:
Face-to-face matchmaking meeting between European SMEs
and Chinese companies in Chongqing
The duration of the project:
From 2006, 18 months
Why Should You Come to China
Reasons for Companies Outsourcing
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Cost Advantages
Higher Flexibility
Risk Reduction
Environmental
Policies
Raising Quality
Outsourcing Non-
Entry to New
Core Activities
Technology
Why Should You Come to China
Annual Cost of Labour (USD)
50000
60000
45000
1500
China
USA
Japan
Europe
ABOUT CHONGQING
Chengdu
About Chongqing
Set in the middle reaches of the
Yangtze, this former trading centre
and treaty port has long been the
economic hub of western China. But
after its government was given
municipal control of surrounding
territory the size of many countries, it
has grown and grown, becoming what
is now the world's biggest municipality
with 31 million residents (more people
than Iraq, Peru or Malaysia). The
population in its metropolitan areas
will double from 10 million to 20
million in the next 13 years.
“Invisible City”, Guardian Unlimited © Guardian
Newspapers Limited 2006
Upgrade is a key word for Chongqing.
While still lagging behind its coastal
counterparts, the city, inaugurated into a
municipality directly under the central
government eight years ago, is striving
hard to upgrade its infrastructure facilities,
shore up its core competitiveness in pillar
industries and transform into a real
economic hub in Southwest China.
“Chongqing City Upgrade”, China International
Business, May 2005
Chongqing’s Industry
Chongqing is one of the most important
Manufacturing bases in China. It is very
strong in automobile and motorcycle,
machinery, mechanical/ electronics and
Chemical industries.
Automobile Industry
Share of the automotive sector of the whole industry
in Chongqing and of the whole automotive industry in China (2003)
Branch
in Chongqing（%）
in China（%)
Automobile
16.8
4.7
Motorcycle
7.5
25.5
Automobile Part & Component
4.9
3.0
Motorcycle Part & Component
11.8
35.8
Total Automotive
39.5
6.8
Source: Market Study Automobile Manufacturers and Suppliers in Chongqing by DIHK
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Welcome to contact us to do
business in Middle and Western
China.
http://www.spx-chongqing.org
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Thank you
Muchas Gracias
Muito Obrigado
Merci Beaucoup
Danke