Leveraging Big Strategy to Open the Qinghai-made International Market

——Interview with Provincial People’s Congress Representative Xue Yuming, Chairman of Qinghai Shengyuan Rug Group Co., Ltd.

Zhang Yun

Reporter Zhang Yun

“It can be said that with the national strategy of 'Belt and Road', in the severe market environment, the carpet industry in Qinghai ushered in the spring of development!”

Since it was put into production in 2007, Qinghai Shengyuan Rug Group Co., Ltd. has been gradually developing and growing into a collective collection of Tibetan blankets, tapestry production, import and export trade of dyed yarn, product research and development, and testing. (Land) blanket large-scale production enterprises. In recent years, sales outlets have been established in Houston, United States and Manchester, England. The products are sold to more than 10 countries and regions such as Europe, North America, Australia, and Japan. They also establish long-term supply and sales relationships with customers in Russia, Australia, Japan, Canada and Hong Kong and Macau.

Xue Yuming, chairman of the company, believes that the “One Belt and One Road” runs through the Asia-Europe continent. There are 65 national enterprises along the “Belt and Road” route that encompasses the two major economic belts. The total trade volume accounts for only one-quarter of the world's total. The economic development has great potential for driving trade growth. However, Qinghai has both the "One Belt and One Road" resource advantage and its location advantage, leveraging the power to expand and opening up to the outside world.

Due to historical and long-established customs, countries such as Europe, Middle East and East Asia are carpet-using countries and demand for carpets of all types is very large. For this purpose, the company will “go global” each year to participate in the “Hannover International Carpet & Flooring Exhibition” in Germany, and enter into sales cooperation intentions with customers from dozens of countries and regions such as Europe, the United States, Asia, and Australia. “Kazakhstan-China Products Exhibitions, as well as the “Shanghai Floor Covering Materials Exhibition” and “Qinghai Tibet Blanket International Exhibition” and other related exhibitions also spread across the country, and the “Shengyuan” trademark has increased its reputation on the international and domestic markets year after year. Qinghai Tibetan carpet products have opened their doors to the world and have contributed their own strength. In 2016, the company set a sales income of 100.82 million yuan, and earned 6.65 million U.S. dollars worth of foreign exchange through exports, a year-on-year increase in sales revenue of 16%, an increase of 11% in profits, an increase in output value of 13.6%, and an increase in exports of 15%.

In 2017, as the relative growth rate of the domestic economy slows down, the market is shrinking, and the demand in the traditional international market is declining, Shengyuan will also actively respond to the national “One Belt and One Road” strategy, fully analyze domestic and foreign markets, and further expand South America, Southeast Asia, Emerging sales markets such as Europe, the United States, the Middle East, and East Asia, and plans to acquire foreign sales companies or expand their domestic and foreign markets through investment promotion, re-planning sales channels and positioning the sales market.