Project name

Fitness Bicycle and Up-market Mountain Bicycle

Cooperation form

Equity JV or contractual JV

Project description

Production scheme
Construction plan
Market analysis
Operation scale
Sales forecast

   Project scale: annual output of 100,000 fitness bicycles and mountain bicycles.
    As a common means of transport for humans, the bicycle has wide applications. With the improvement of living standards, people are becoming more concerned with the type, function and quality of bicycles. In order to meet the challenge from economic globalization and expand the operations and upgrade the products, the company urgently needs to introduce advanced production equipment and develop novel products. As a next move, the company plans to further expand the bicycle production so that the bicycle sales reaches RMB 200 million by 2008, surpassing Shimano of Japan. Meanwhile, the company will develop bicycles with both fitness and leisure functions, with target market in European and American countries. The project has a good market outlook.
    Annual sales income is forecasted at RMB 45 million and annual profit at RMB 5 million.

Equipment import & material supply

Investment estimate & cost efficiency

Total investment

USD8 million

Registered capital

USD4 million

Annual sales

RMB45 million

Anticipated means of investment from foreign partner

Annual profit

RMB5 million

Foreign exchange

Technology

Equipment

Brand name

Others

Internal return rate

9.7%

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Payback period

5.7 yrs

Basic facts of Chinese partner (ownership, total and fixed assets, current products and sales, current equipment and technology, support facility, etc.)

   Founded in 1991, Ningbo Richeng Industrial and Trade Co., Ltd. has several subsidiaries: Cixi Shenglun Vehicles Co., Ltd., Ningbo Datang Imp. & Exp. Co., Ltd. and Cixi Saiguan Chain Shifter Co., Ltd. The company specializes in the production of accessories for shift drive gear on bicycle. The main products include chain shifter, crank sprocket wheel, shift flywheel and brake assembly, totaling four categories and over 120 types. The enterprise has self-managed import and export right and its registered trade mark “SUNRUN” is fairly reputed across the country. In 2003, the company realized annual output value of RMB 10.325 million, sales of RMB 10,118 million, export volume of RMB 60 million and profit of RMB 6.2 million.
    Company website ： www.chinasunrun.com

Project location & geographic advantage

   The project is located in Shengshan Town of Cixi, 15km from Yuyao entrance to Hangzhou-Ningbo Expressway, 60km from Ningbo airport, 128km from Hangzhou and 10km from Hangzhou Bay Bridge.   

Project status quo

   At marketing stage

Project data available

Investment promotion material      

Organization to contact

Cixi International Business Promotion Center

Person to contact

Yao Yanming

Address

269 Zhishan Road, Cixi, Zhejiang

Postcode

315300

Telephone

0086-574-63886053

Fax

0086-574-63886844

E-mail

cixi@china.com  

Website

www.investcixi.com