China based TCL Multimedia announced the signing of MoU with strategic partner Elaraby Group, the largest home appliance enterprise in Egypt. The signing ceremony was attended by Minister of Communications and Information Technology in Egypt Eng Yasser El Kady, Chief Marketing Officer of Elaraby Mohyielden Elaraby and General Manager of TCL Strategic Customer Business Centre Liang Tiemin.
As a leading enterprise in the global TV industry, TCL Multimedia ranks amongst the top three globally and number one in China by shipment volume. The group is the only vertically integrated enterprise in China that boasts manufacturing of display panels, modules and chips as well as product assembly under the same roof. Since the establishment of the first overseas TV production base in Vietnam in 1999, the group has also set up production bases in Poland and Mexico, further optimising the industrial layout in European and North-central American markets. The group has been committed to brand internationalisation through cross border acquisitions, organic expansion and other strategic planning.
Elaraby, with over 50 years of manufacturing and sales experience, is the largest home appliance enterprise in Egypt. It not only operates a number of manufacturing and fabrication plants for products such as LED, air conditioner, washing machine, refrigerators, household appliances, lighting products, SMT placement, plastic parts, electronic components and processed metal parts, but also a wide sales network from traditional channels to new channels.
At the signing ceremony, Liang Tiemin of TCL Multimedia said, “Following this Sino-Egyptian strategic cooperation, a joint venture TV manufacturing plant will be set up in Egypt to tap into the broad prospect of the Middle East and African markets, a move of strategic importance to upgrade TCL’s industrial layout. Leveraging TCL’s competitive edge in research and development, supply chain management and a rich portfolio of high end products, including curved, big screen, ultra thin, high colour TVs, smart TV system and internet operational technologies, we will integrate our strengths with Elaraby’s manufacturing capabilities.”
The combined potential TV demand in Arabic, African and Mediterranean Free Trade Zone is expected to reach approximately 20 million sets per annum. Seizing this rising opportunity and responding to the national initiative, the group will through this strategic cooperation with the Egyptian giant, benefit from the setting up of a new production base in Egypt and establishing TCL brand businesses in the Middle East and African regions. More importantly, the strategic collaboration is supported by governments of both countries and will receive preferential export tax rebates as incentives.
Commenting on the strategic cooperation, Mohiyielden Elaraby said, “We have established long standing partnership with TCL’s TV business arm and have maintained good working relationship for years. We are excited to deepen our relationship further through this collaboration and are confident that the strategic cooperation will expand our sales network and strengthen our market presence with an increased share, bringing us mutual benefits.”
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