Case study

Chunxing sees Finland as strategic hub

Chunxing Precision Mechanical Co. Ltd., is one of the world´s leading manufacturers of aluminium alloy die casting, CNC (computer numerical control) and stamping machines.

Founded in 2001, it is a publicly listed company with its headquarters in the city of Suzhou, China, and now has offices in the U.S.A., India, and Finland too. Nowadays Chunxing has over 1,800 employees, mainly in China, and in 2010, the company´s sales revenues were over US$ 78 million.

 

Chunxing manufactures and sells precision aluminium alloy structures mainly to the telecommunications, medical, and automotive industries. The company's products can be found in a diverse range such as filters, radiators, diplexers, power amplifiers, cooling systems, micro-motors and damping systems. Extensive research and development are allied to its manufacturing experience to ensure top quality that meet customer requirements.

 

“In Finland, Chunxing sells not only its products, but provides services, such as engineering support and help with logistics,” explains Jukka Latva-aho, Sales Engineering & Marketing Manager for Europe, Chunxing Finland Oy.

 

Chunxing decided to locate in Finland because business is foreseen to grow significantly here in the near future. Thus Finland is seen as a strategic hub for businesses to expand to other European countries.

 

It was known beforehand that Finland is a country where Chunxing would be able to set up quickly. However, the new company faced some hurdles to overcome during the location process. The challenges related to understanding legislation concerning registration, banking and employment. However, the company found a competent law firm in Helsinki that helped with the entire process of establishing a subsidiary, and as a result, Chunxing Finland Oy began trading in 2010.

 

According to Fred Linares, Vice President of Global Business Operations at Chunxing, the Chinese company found the Finnish business environment very progressive with highly skilled people as the country is known for its innovative attitude, which is a relevant and critical asset for the Chinese manufacturer. The company's plan is to expand and grow both in Finland and Europe. “We see high-tech, engineering and IT as the business sectors that will succeed in Finland,” Linares concludes.