Guo Wenqing Visits China Minmetals Companies in Europe

source:MCC Author:MCC Release time:2016-11-14

On November 12th and 13th, China Minmetals Corporation General Manager& Party Group Deputy Secretary and MCC President &Party Committee Secretary Guo Wenqing visited Germany on his way to attendthe APEC CEO Summit in Peru, held a forum with the China Minmetals' companies in Europe and inspected ZCC.CT (Europe) in Dusseldorf. China Minmetals Party Group Member and ViceGeneral Manager Jiao Jian attended the above activities. Responsible persons from China Minmetals (Northern Europe) China Minmetals (England), ZCC.CT (Europe), ZCC (Europe) and China Minmetals (Germany) reported the business conditions in recent years, current work focus, problems and solutions.

After hearing the work reports, Guo Wenqing expressed his greetings and gratitude and voicedhis positive recognition ofthe work of the staff of China Minmetals' companies in Europe. He then said that the reports of the European companies increasedhis confidence in the overseas companies, and gave the European companies five suggestions:

First, it should be firmly believed that China Minmetals' overseas companies willachieve outstanding performance. China Minmetals wasone of the first state-owned foreign trade enterprises to work on overseas arrangements and the 'going-out’ strategy, and it possessesmature overseas teams. The strategic recombination of China Minmetals and MCC showed our mission and ambition to be the 'best in China and first-class in the world',as well asthe national team of mining enterprises, and it also solved the positioning problem of being long-term, strategic and advanced. This world-class 'giant' enterprise needs such a group for its overseas business. The overseas groups requireand deserve more attention and enhancement to becomeoptimized, professional and excellent. Overseas trade will further improve our global resource allocation and trade flow capability, and promote the enterprise’s development, transformation and free trade competitiveness. Everyone should stick to their belief inrevitalizing our nation throughactual work, and reinforcetheir confidence to do a good job inoverseas business.

Second, the trade of China Minmetals must be operated, but more research is required into how to make trades that preserve and increase value and are competitive. We have a mature and complete global trading system which representsthe accumulation of 66 years of work since the foundation of China Minmetals. Although we have encountered some failures and lessons, valuable experience was gained overall. We should cherish this history and the trading system. Our overseas teams have strived for decades during which groups of international talents were produced, and these talents are the most valuable fortune because they are the basis and root of building the overseas trading platform. We should treasure the power of these talents. We have to conducttrade, but with changes in the markets, the international economic situation and international financial environment, our business environment is becomingsevere and some fields are even getting worse. Especially in recent years, bulk trade has decreaseddramatically, international mineral prices have remained low with greatfluctuations, and the market’s potential issues and uncertaintiesare still considerable. As such, we should continuously innovate our trading system with environmental changes. We should figure out how to conductour trade, what kind of China Minmetals trading system we should make, and how we can carry outinnovativetransformation to createa trading system that preserves and increases value and is effective. This is a matter of direction that requiresmore discussion before it canbe promoted and perfected in our work.

Third, we should produce combined and coordinated effects to achieve the goalof a RMB 100 billion domestic market. After the recombination of China Minmetals and MCC, it has been carefully researched, counted and decided that we canbuild a RMB 100 billion domestic market. In the past, ourcoordination problems included the improper internal coordination problem ofChina Minmetals, and the new coordination problem after the recombination of China Minmetals and MCC involving nickel, copper, steel, iron sand, infrastructure construction, emerging industries and so on. We should expand the domestic market more because it has huge potential and complementarityfor mutual support and matching. We should break the overlapping chains and connect them with optimization.

Fourth, the innovativetransformation of trade should be accelerated into the general trading system of 'two heads out, two heads on lock, going-out and going-in actively, closed cycle'. The 'two heads out' means suppliers and clients; the 'two heads on lock' means the 'two heads' risk should be locked by law; and the 'going-out and going-in actively, closed cycle' means that we should acquire major customers, big projects and big industry. The trading model in whichtrade was transformedaccording to the salesman and individual with fragmentation and potential risks should be changed, and our weakness of 'the last mile' in the trading flow system should especially be solved. We should carefully analyze our past problems in trade, solve the problems of thedisjointedcycle system, fight for each other and make each cycle connected, balanced by each other and responsive to each other.

Fifth, the overseas team should be stabilized and reshaped to build a top overseas team. The main leaders and core staff of the overseas team should be industriousand have strict standards and the courage to struggle. We must stabilize the team to reinforce the minds of theworkersand helpthem believe. The next step is to conductresearch on the combination of the overseas team and reshape the overseas team of China Minmetals. The main layouts of MCC IET and MCC Overseas are in regions of 'One Belt and One Road' that are relatively mature; the layout of China Minmetals' overseas team is mainly in developed areas, and it is in need of mutual blending after the recombination. We should choose our beststaff to promote overseas business; for example, MCC sends staff to the overseas team of China Minmetals to help them add more business contents, such as metallurgical construction, equipment and spare parts, new-type city construction, new material applications and so on. As the overseas business grows bigger, we should mobilize the initiative of the overseas staff and make the overseas income stable and reasonable, thereby making the core staff settle down towork. As for reshaping the overseas team, the Group encourages overseas companies and the main staff in charge to obtain social status and political status, which is amatter of the enterprise’s reputation and brand. Guo Wenqing’s speech received awarm response from the companies of China Minmetals in Europe, and formed a working atmosphere in whichthe companies of China Minmetals in Europe support each other and pursuemutual improvement.

During his stay in Dusseldorf, Guo Wenqing visited Consul General Feng Haiyang of the Chinese Embassy in Dusseldorf to express his gratitude for the Embassy’s care and support forthe Company’s investment, development, industry building and daily operation in Germany. Guo Wenqing met with the families of the staff of China Minmetals in Germany and expressed his greetings and gratitude for their understanding and support forChina Minmetals. During the inspection of ZCC.CT (Europe), Guo Wenqing expressed his praise for the achievementsinoverall marketing, full use of foreign staff to improve R&D capability and create product brands, outstanding basic management and effects, and logistics system, and he also voicedhis hope that the companies of China Minmetals will learn from good examples and have the courage to undertake difficult tasks in order to improve management and operation ability. Guo Wenqing separately met CTHM’s HPTec General Manager Stephan Nizer and encouraged him to improve the micro drill product R&D and market operation level for better performance.

Guo Wenqing also met with GermanSMS Group President and CEO Mr. Darmon and hisChina marketing team. The SMS Group is aleading enterprise engagedin metallurgical technology and equipment. Mr. Darmon expressed hiswishto engage incooperation in the metallurgical field with China Minmetals so as to pursue cooperative global development, and thisreceived Guo Wenqing’s high praise and recognition.

The above activities were attended by relevant personsfrom China Minmetals and relevant responsible persons from MCC CERI and GRINM.

Forum site of China Minmetals companies (Europe)