Category Archives: China Production (Plants)

Uni-President to Invest US$100 M. to Build 2 Factories in China


Taipei, Dec. 21, 2012 (CENS)–The Taiwan-based Uni-President Enterprises Corp., the largest food and beverage supplier on the island by market share now, announced a US$100 million investment, via its reinvested company Uni-President China Holdings Ltd., in building a food and a bottled water factory in different locations in China. Continue reading

Yili to produce milk powder in New Zealand

Source: Morning Whistle

Inner Mongolia Yili Industrial Group Co Ltd, the Chinese dairy giant, announced plans on Tuesday to produce 47,000 tons of baby milk powder annually in New Zealand after buying all of the shares of a New Zealand dairy company. Continue reading

Coca-Cola to Begin Bottling Operations in Laos

Source: Wall Street Journal by Ben Otto

JAKARTA—Coca-Cola Co. plans to begin bottling its products in Laos by 2014, moving in on Southeast Asia’s smallest economy, where rival PepsiCo Inc. has deep distribution lines. Continue reading

PepsiCo Opens China R&D Center as Competition Heats Up With Coke

Source: Bloomberg News

PepsiCo Inc. (PEP), the world’s second- largest soft-drink maker, opened its largest research center outside the U.S. in China today, as it seeks to boost sales in the world’s most populous country and the Asian region.

The facility, on which the company has spent $40 million to $45 million, will help tailor beverage and snack food brands to Asian taste buds and develop new products for China and the region, Purchase, New York-based PepsiCo said in a statement today.

The soft-drink maker has opened new factories and sought to expand its distribution footprint in China over the past year to narrow the gap with market leader Coca-Cola Co. (KO) PepsiCo, the maker of Tropicana juice drinks and Lay’s potato chips, announced a bottling tie-up with Tingyi (Cayman Islands) Holding Corp. (332) last November. PepsiCo is seeing market share gains from the deal, Greater China Chairman Tim Minges said in Shanghai today, without elaborating.

The new facility in Shanghai is part of PepsiCo’s 2010 plan to invest $2.5 billion in China in food and beverage businesses over a three-year period and expand current offerings such as sour plum flavored Mirinda and Quaker Oats made with wolfberry, the company said today.

“China is a critical part of our global strategy, our growth engine and it makes absolute sense that we do as much of our innovation close to the Chinese consumer and the Asian consumer on the ground,” Mehmood Khan, PepsiCo’s chief scientific officer, said at a press briefing in Shanghai today.

Billion-Dollar Investment

Coca-Cola said last year it was investing $4 billion with its Chinese bottling partners in the world’s second-largest economy over three years to build more bottling plans, buy trucks, expand distribution infrastructure and add coolers.

PepsiCo Chief Executive Officer Indra Nooyi is counting on sales in China and the Asia Pacific to drive earnings in emerging and developed markets, after group profit growth slowed last year.

The beverage and soft-drink manufacturer opened its first drinks plant in China last month with Tingyi, the maker of “Master Kong”-branded instant noodles and beverages. PepsiCo also started production at its sixth and latest food manufacturing facility in Greater China in Wuhan on July 10.

The partnership with Tingyi should help improve PepsiCo’s margins in its beverage business when the alliance is “up and running” in 2014, Nooyi told analysts on a conference call last month.

Under the Tingyi deal, PepsiCo transfers equity interests in its bottling operations in China to Tingyi beverage subsidiary Tingyi-Asahi Beverages Holding Co. In exchange PepsiCo receives a 5 percent stake in Tingyi-Asahi, with an option to increase that to 20 percent by October 2015.

Market Share

The beverage alliance is designed to boost PepsiCo’s soft- drink market share in China where the Purchase, New York-based company was the fourth-largest producer with 4.9 percent share last year. Coca-Cola and Tingyi led sales with 15.8 percent and 13.1 percent of the market in 2011 respectively, data from London-based researcher Euromonitor International show.

The partnership between PepsiCo and Tingyi would create China’s largest beverage company, one with a 1.5 to 1.6 relative market share versus the next largest competitor, 57-year-old Nooyi has said.

“Between us, we will basically cover the entire country and have over 70 plants between the two of us in China,” she said. “So I think going into 2013 and forward, this business is going to look very, very good.”

PepsiCo Opens Food and Beverage R&D Center in Shanghai to Drive Innovation and Growth Across Asia

Source: PepsiCo

SHANGHAI, Nov. 13, 2012– PepsiCo, Inc. (NYSE: PEP) today announced the opening of a new food and beverage innovation center in Shanghai, China. The state-of-the-art facility, which is PepsiCo’s largest research and development center outside of North America, will serve as a hub of new product, packaging and equipment innovation for PepsiCo’s businesses throughout Asia. Continue reading

Crown Holdings Reports Third Quarter 2012 Results- Asia Highlights

Source:  By Crown Holdings, Inc.

Crown Holdings, Inc. (NYSE: CCK) announced its financial results for the third quarter ended September 30, 2012.

Commenting on the quarter, John W. Conway, Chairman and Chief Executive Officer, stated, “We are pleased with the Company’s overall operating performance and financial results in light of the continuing sluggish economic conditions and unfavorable weather in many of our markets. The Company continued to benefit from the strength of the developing markets in which we prudently expanded over the last several years, the diversification of our product offerings and geographic footprint and our constant focus on cost containment. Continue reading

Nestlé Adding Two China R&D Centers

Source: Nestle

Nestlé will double the number of research and development (R&D) units it has in China to further its understanding of Chinese consumers, ingredients and local cuisine, and provide scientific and technological expertise to the rest of the business in Asia and around the world. Continue reading

Unilever builds its third manufactory in Sichuan for market in West China

Source: 21 Century Business Herald By Kang Xiaoxiao

Unilever announced recently to build a new manufacturing base in Meishan, Sichuan province. This is another big investment of Unilever in China after the Tianjin base construction started this March.
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Mengniu to expand milk beverages production

Source: By Li Woke in Baoding, Hebei province (

China Mengniu Dairy Co Ltd, said on Aug 22 that it will expand its milk beverages output, in a move to further improve its competitiveness and profit margin.
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Crown Holdings CEO Discusses Q2 2012 Results- China Highlights

Source: Seeking Alpha

Crown Holdings Q2 2012 Earnings Call July 19, 2012

Timothy Donahue- EVP & CFO

In specialty packaging, revenues were down due to lower overall demands. Segment income reflects the lower sales activity and 1 million of currency translation which was almost fully offset by cost reductions. Demand continued strong throughout Asia during the second quarter with beverage can sales volumes up 29% over the prior year as new plants in Heshan, China and Putian, China and the second line in Phnom Penh, Cambodia all contributed.
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