Shanghai, China – Jingzheng Equipment Manufacture is upgrading its portfolio for rigid foam used in reefers, betting on the cold chain industry for growth.
PU China 18: Machinery maker Jingzheng bets on China’s cold chain growth
‘If we grade the US cold chain sector as 100 points, China’s score would be 20,’ said Yan Jian. Yan is the company’s general manager and he was talking to UTECH-polyurethane.com. ‘There is still plenty of room for development.’
Chinese consumers’ demand for fresh produce has been soaring. But the country’s infrastructure such as refrigerated warehouses is underdeveloped. It may need policy guidance to improve the situation, said Yan.
Sales at the Xiangtan, Hunan-based company have risen by roughly 15% a year over the past few years. They reached CNY 150m ($22m) in 2017.
The company makes a range of products, from mixers to foaming and cutting machines to monitoring systems. It spends at least 5% of its revenue on research and development each year.
Concerned about the impact of the US tariffs, Yan believes it is time for domestic competitors to call off the price war. ‘We’ll have to huddle for warmth,’ he said.