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Ningbo's Shenzhou Int expands abroad

( chinadaily.com.cn )

Updated: 2015-03-23

 
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Shenzhou International Group Holdings, a textile company in Ningbo city, Zhejiang province, is about to finish the construction of its new production base in Vietnam, according to the Chinese-language Ningbo Daily.

In 2014, Vietnam's Ho Chi Minh city granted a license to Shenzhou International's subsidiary Gain Lucky Limited to build a center for fashion design and garment manufacturing worth $140m, which is expected to make 55,000 tons of clothes annually.

Vietnam is not the first Asian country where Shenzhou set subsidiaries. From 2005 to 2012, Shenzhou International built two branches in Cambodia.

More and more Chinese textile enterprises, like Shenzhou International, are exploring markets in southeastern Asian countries thanks to their relatively lower costs of labor, raw materials and favorable tariffs .

Since Shenzhou International went public in Hong Kong in 2005, it has attracted large quantities of investment from both Europe and America. World-famous brands like Nike, Adidas and Puma also chose to work with the company, making Shenzhou competitive in the global apparel industry. The annual sales volume of Shenzhou has risen from 2.1 billion yuan ($338 million) in 2004 to 10 billion yuan in 2013.