CSR is Running on the World Track

CNR Voice of Economy today broadcasted the 11^th chapter CSR Accelerates its Step into the World Track in its series report Interview with Central Enterprises Managers on Transformation of Development Means.

Annual report of CSR GROUP reveals that CSR still achieved operating revenue of 46.3 billion yuan up 29% Y-o-Y in 2009 regardless of the influence by global financial crisis, and its profitability also improved greatly, with operating revenue and net profit both increasing 20%.

General Manager of CSR GROUP Zhao Xiaogang said frankly: thanks to the state s positive macroeconomic policies and more investment in rail transit equipments, the company witnessed hard-won development opportunities.

Zhao Xiaogang said: By 2012, China will build up 13,000km Four-vertical and Four-horizontal high-speed railway network, so China will be the world largest country in high-speed railway network. Fast-growing high-speed railway network provides our company with a big opportunity. In addition, 30 cities in China are embarking on the construction of urban rail transit, thus I do think the market size will continue booming in 10 year or 15 years to come.

In railway vehicles field there are only two competitive central enterprises, which are touted as Two Tycoons by the industry. So far, CSR and the other central enterprise have accounted for more than 95% shares in locomotive, passenger train, goods train, EMU, and vehicle components sectors.

While being interviewed on business performance, Zhao Xiaogang said: it is hard for us to achieve something. At the beginning of 2001 CSR was still an enterprise of planned economy, and it lacked market consciousness and competitive edge. Later, we introduced, studies and assimilated overseas high-speed railway technologies while centering on independent innovation, which facilitated CSR to clinch the preemptive opportunity in the market.

Zhao Xiaogang said: we adopted the Walk on Two Legs strategy. First, we introduced, studies, and assimilated technologies. Second, we made re-innovations. Therefore, while introducing 200 km/h technology, we also developed 350km/h technology, and we set up only one management team but directed two battlefronts. Many people asked why we could stand at the technical summit within only four and five years, and I have made definite the answer: innovation plus technical introduction.

China railway experienced speedup for several times, and EMU s hourly speed along the railway was continuously upgraded from 200km/h to 350km/h and then to 380km/h. Today, half of locomotives and passenger trains running along China s 80,000 km railway come from CSR, and 80% of EMUs made in CSR above figures exemplify CSR s journey of high speed and transformation.

Accelerate the transformation of economic development means , implement Walk Out strategy , from traditional to high-end, from product sales to philosophy melting, from technical level to strategic decision CSR is accelerating its step into the world rail transit equipments industry s development track by its unique means and technical competitiveness.

Zhao Xiaogang said: over past years, CSR developed overseas markets at a rampant rate. Last year, our company s locomotive export volume still increased 60% regardless of the global financial crisis. Today, CSR should figure out ways of walking out. So far, we have exported products to more than 40 countries and regions, and we have evolved from components export to complete vehicle export . Little by little, our products will be exported to both developing countries and developed countries, in order to accelerate and stabilize our Walk out footstep.