Haier picks Thailand as Asean hub

Haier picks Thailand as Asean hub

Haier, the leading Chinese electrical appliance maker, is using Thailand as an operation hub for commercial air conditioners to penetrate other Asean countries when the single market is formed at the end of 2015.

Haier Asia's president and CEO Yoshiaki Ito

This is part of its strategic plan to double Asean sales to US$1 billion over the next five years.

Yoshiaki Ito, president and chief executive of Haier Asia, said the commercial air-conditioner hub would be set up in Prachinburi province next year. The plan has just been approved by its parent company at an undisclosed budget.

In the first stage, the hub will have a training centre to familiarise staff with commercial air conditioners and marketing. 

Haier started expanding its commercial air conditioner venture to some countries in Asean this year including Thailand and the Philippines. With the formation of the Asean Economic Community (AEC) next year, the regional bloc will attract new foreign investment, so the company sees an opportunity to further expand exports of its air conditioners.

Thailand, Laos, Myanmar and Cambodia are focus markets for Haier's commercial air conditioners.

Haier has several business options to expand its sales in Laos where the Thai team from the training centre will be sent to provide training and marketing support.

"This represents a big expansion for our air conditioner business in the region," Mr Ito said. Thailand was chosen as the hub for Haier products in Asean because it is the top priority country in the region.

"I have a passion for Thailand because I was born here. Thailand is my home country. I believe in its strategic location, people's education and the quality of products made here," he said.

If the sales volume of commercial air conditioners in neighbouring countries reaches economy of scale, Haier will consider setting up production lines for commercial air conditioners in Thailand.

Haier's factory in Prachinburi now produces a wide range of products, from refrigerators to washing machines, serving domestic and overseas markets including Japan, India, the Middle East and Africa. Haier now offers small appliances here, including set-top boxes for digital TV sets.

It plans to launch a new Haier business platform in Thailand next month, combining e-commerce with social media, "the first of its kind in the world", Mr Ito said.

Haier's global sales in 2013 hit $29.5 billion with $1.1 billion coming from the Asean market plus Japan.

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