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Company

DHL to double its investment in China

DHL Supply Chain, the world's largest contract logistics service provider, is investing another 113 million euros in China to further develop its business, after enjoying steady double-digit growth.

The new investment, added to an injection of 105 million euros in 2013, brings its total commitment in the country to 218 million euros, making the market one of its most important globally.

Oscar de Bok, chief executive officer of DHL Supply Chain Asia Pacific, said that by 2020 DHL expects to have set up another six logistics centers in Guangzhou, Hangzhou, Wuhan, Shenyang, Shenzhen and the China (Shanghai) Pilot Free Trade Zone, bringing its total national warehousing capacity to 1 million square meters.

Publisher's push into Chinese classrooms

Pearson Plc, the global education service company, is planning a major push into China in response to the country's swelling demand for English-language skills both from students and the business community.

Pearson acquired one of the world's leading providers of English-language training, Wall Street English, in 2009. It also bought the Beijing-based Global Education and Technology Group for $294 million in 2011.

John Fallon, Pearson's chief executive officer, said rising numbers of Chinese students are looking to study at English-speaking universities, a lot of which are raising their English entry requirements.

Technology

New plant 'to make iPhone 7 screen'

Foxconn, the contract manufacturer for Apple, plans to build a factory in Zhengzhou, Henan province, to make touch screens for iPhones, China Economic Weekly reported.

It prompted speculation that the factory in Henan would make transparent bodies and sapphire screens for the smartphone, the publication said.

Foxconn stands to make $45 to $52.50 for each iPhone if the company can produce a touch screen by itself, it said.

Auto

Volvo subsidiary to expand operations

Volvo Construction Equipment, a part of Volvo Group, will expand business and investment in China by adopting a dual-brand strategy, Martin Weissburg, CEO of the company said in Shanghai on Nov 25 at the BAUMA 2014. Volvo CE will increase exports of products of Shandong Lingong Construction Machinery Co Ltd, its subsidiary in China. The dual-brand strategy will enable Volvo CE to serve a wider customer base and to take up the leading market position of excavators and loaders in China, he claimed. SDLG will also increase sourcing components from domestic market, said Weissburg.

Carmakers join to expand offering

Fiat Chrysler Automobiles NV and Guangzhou Automobile Industry Group Co Ltd say they have preliminarily agreed to work more closely together and strengthen the GAC Fiat joint venture, which includes producing a Chrysler brand vehicle in China.

FCA and GAC have agreed to bring a localized Chrysler product to China, adding it to the existing Fiat brand offering to create a formidable passenger car brand line- up. GAC Fiat Automobile Co will have full access to an FCA portfolio that was announced in May. Product announcements will be made later.

China Daily-Agencies

(China Daily European Weekly 11/28/2014 page18)