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Universal Corporation's Factory in Cambodia Officially Begins Production, Opening a New Chapter in Global Development!

Published in: 2023-03-20

On March 18, Universal Corporation, a subsidiary of Hongdou Group Holdings, announced another piece of good news. Universal Tire Technology (Cambodia) Co., Ltd. successfully rolled off its first batch, marking another successful practice of Universal Corporation's participation in the "Belt and Road" initiative after its production base in Thailand. This signifies the official establishment and full-scale launch of Universal Corporation's overseas "dual-base" strategy. The historic moment was witnessed by Guo Zongren, Governor of Sihanoukville Province, Neil Bush, Founder and Chairman of the George H. W. Bush China-U.S. Relations Foundation, Zhou Haijiang, Chairman of China Private Economic International Cooperation Chamber and Hongdou Group's Board of Directors, and Gu Cui, Chairman of Universal Corporation, along with other leaders and employees.

 

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The Universal Corporation Cambodia project commenced on February 27, 2022, and after a year of intensive construction, it overcame multiple challenges such as the pandemic and rainy season, achieving rapid completion of the production line. The project aims to create a modern factory with intelligence, automation, and information technology, adopting internationally leading equipment and cutting-edge technology. The entire manufacturing process is operated intelligently through the Manufacturing Execution System (MES) and nine intelligent warehouses. The project plans to make its first shipment in April and achieve 50% production capacity by the end of the year.

 

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As the first multi-million-dollar project invested by Jiangsu Province in an RCEP member country after the RCEP came into effect, the project has a total investment of 1.906 billion RMB, covering an area of approximately 180,000 square meters. It will have a production capacity of 5 million semi-steel radial tires and 900,000 all-steel radial tires. After reaching full production, it is projected to generate additional revenue of 2.2 billion RMB and a profit of 250 million RMB for the company. This project will not only effectively address local employment issues but also greatly stimulate local economic development, achieving win-win cooperation.

 

The project is located in the Special Economic Zone of Sihanoukville Port, Cambodia, which is the only national-level economic and trade cooperation zone with a bilateral government agreement between China and Cambodia. It is a landmark project on the "Belt and Road" initiative and has been hailed as a model of pragmatic cooperation between China and Cambodia. With remarkable geographical advantages and comprehensive supporting facilities, it provides significant advantages for the company's overseas layout.

 

It is reported that the tires produced by this investment project will primarily carry the company's CELIMO brand and be sold to countries and regions such as the United States, Europe, and Brazil. Leveraging the intelligent production base and the advantages of high-quality products and services, the Cambodia project has already signed strategic cooperation agreements with several leading local customers in the United States, Europe, and other regions.

 

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Neil Bush, Founder and Chairman of the George H. W. Bush China-U.S. Relations Foundation, also expressed his affirmation of Universal Corporation's rapid internationalization development during the ceremony. He stated that Universal Corporation has seized the initiative, proactively laid out its position, and strengthened its strength in the fierce international market competition, making it an outstanding international enterprise that is bound to achieve leapfrog development.

 

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In the future, Universal Corporation will focus on its "5X Strategic Plan" and uphold the concept of "win-win cooperation on all fronts." It will continue to enhance brand strength, channel power, and product power, providing safer and greener products and services to global consumers. Universal Corporation aims to become a benchmark enterprise with international influence, opening a new chapter of high-quality development.


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