According to Xinhua News, Chinese Premier Li Keqiang will pay an official visit to Ethiopia, Nigeria, Angola and Kenya from May 4th to 11th and will visit AU headquarters on May 5 and Nigeria on May 8th. The 24th World Economic Forum Africa Summit in Abuja.
It is understood that this is Li Keqiang's first visit to Africa since he assumed the office of the Prime Minister. It is also the second visit to Africa by the new Chinese leader following the visit of President Xi Jinping to Africa in March last year. The significance of Africa to China is evident. China’s attention to the African region is also reflected in its keen economic level. The Chinese auto industry, which has set a “go global†strategy, is the first station on a far-reaching African continent.
Chinese independent brand in Africa accredited <br> <br> for Chinese auto companies, the African continent is not only a friendship, it is a land of opportunity. With the good relations between China and Africa, auto companies such as Geely, BYD and Chery have all entered the African automobile market early and have achieved certain achievements in the African market based on their cost-effectiveness.
According to British Reuters reported on September 26 last year, Egypt’s Garbo Automotive Group plans to further accelerate market expansion in North Africa and sub-Saharan Africa, and it is relying on China’s Geely Automobile. It is understood that the Carpoly Group hopes to have a relatively low price of Geely passenger vehicles in order to increase its sales.
In other parts of Africa, self-owned brand cars have also made great progress and have been recognized by overseas consumers. During the Beijing Auto Show, the reporter interviewed Yesuf Ademnur, general manager of the MIE, a Geely dealer from Ethiopia. He told reporters that "in Ethiopian market, the market share of China's autos is gradually increasing, and China's auto prices are not high, the quality of customs clearance, for consumers is a higher cost product."
Chinese automobile enterprises to accelerate the process of de-industrialization <br> <br> In addition to China and Chinese manufactured car door out of the country's reputation, but also its own brand cars to Africa this land brought advanced technology. According to the reporter's understanding, some African countries are unable to independently develop their own automobile industry due to their weak industrial base. While China's own brands are exporting vehicles, they have also set up factories in Africa in recent years to carry out local production, accelerating the process of automobile industrialization in African countries.
Take Lifan Motors as an example. According to statistics, Lifan has invested more than 10 million U.S. dollars in Ethiopia in 2011 and is still further expanding its scale. In 2013, the second factory has already started construction and it is expected that the production capacity will double. In addition to the construction of the new plant, Lifan will also increase automation equipment, while Lifan plans to increase the localization rate of parts to more than 50% in five years.
Chery Motors and Chery Heavy Industries under the Chery Group have adopted a strategy to go hand in hand, expand the market in both automotive and agricultural machinery, and advance Africa’s industrial and agricultural modernization. In 2011, China-Africa Development Fund, funded by Chery Automobile and the China Development Bank, jointly established Chery Overseas Industrial Investment Co., Ltd. to accelerate Chery's plans to invest in and build a plant in Africa and export vehicles. At the beginning of March this year, Chery Heavy Industries exported more than 2,400 agricultural equipment to Ethiopia.
60 cooperation documents during a shot in the arm to <br> <br> reporter has learned that the Li Keqiang's visit to Africa, in addition to leaders of the talks and meetings, China and African countries will also sign copies of nearly 60 documents on cooperation in politics, economy and trade, culture , health, agriculture, personnel training and many other areas. Premier Li Keqiang's visit will bring concrete economic and trade cooperation to the top of the agenda. China-Africa cooperation, including trade and investment, will be an important issue for this visit.
At present, although self-owned brand vehicles cannot directly benefit from the aforementioned documents, the determination of China and Africa to further strengthen cooperation has played a key role in helping Chinese self-owned brand cars. These cooperation projects include both intergovernmental agreements and cooperation projects between financial institutions and enterprises. These have both deepened past cooperation and expanded new fields. They are aimed at a single country as well as regional cooperation and cover a wide range of fields. Including various forms, it indicates a huge space for China-Africa cooperation and reflects the future direction of China-Africa economic and trade cooperation.
Prior to his visit to Africa, Li Keqiang told the African Journalists Delegation in Beijing that China will always be a trustworthy friend and true partner of the African people, and is committed to the development of the African continent. He said that China and Africa are committed to economic development and improving people’s lives. Poverty alleviation has become an important part of China-Africa cooperation.
With the signing of these 60 related documents, independent brands will usher in broader and quality opportunities in this emerging market in Africa. At present, the industrial foundation of Africa is relatively weak, and the recovery of Africa is very strong for industrial demand, leaving more room for Chinese auto companies to think about. With China’s technological experience, it will not only help African countries establish the automotive industry, but also “charge†themselves in the construction process, enrich their own accumulation, and further increase their overall strength. In the Sino-African economic and trade cooperation, it is fully integrated into the expressions of the common wishes of the governments of China and African countries, and it is undoubtedly more conducive to the development of China's own-brand vehicles in the region.
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