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US Business Hopes to Cash in on Beijing Olympic Beautification

Valmont Industries, a leading manufacturer of diversified infrastructure products, hopes to capitalize on beautification in Beijing, capital of China.

The Nebraska-based company, which tops the world in designing and manufacturing poles, towers and structures for lighting, wireless communications and utility markets, is gearing up to capitalize on attractive opportunities arising from China's fervent preparations for the Olympic Games in 2008.

China will spend US$20 billion for the sports show, and US$20 million will be used in urban beautification and environmental improvement in the capital.

"Beijing will be on display in 2008 and city beautification is very important to the success of the Games. Valmont will build its strength in this regard," said Mark Richards, president of Valmont's poles division, who visited Beijing last week.

Valmont ventured into the China market in 1995 with an initial investment of 100 million yuan (US$12 million), in partnership with the Shanghai Special-shaped Steel Tubing Company, a publicly traded firm on the Shanghai Stock Exchange.

The Shanghai plant produces 100,000 poles annually, occupying 15 percent of the high-end market.

Valmont's list of prestigious projects in China include lighting on Beijing's Chang'an Avenue and Wangfujing Street, key areas of attraction in the capital city.

"We are very confident on our investment here since our Shanghai facility has become one of Valmont's most profitable businesses," said Richards.

Valmont's Shanghai sales reached 200 million yuan (US$24 million) in 2000, and the company's total sales in China amounted to 10 percent of its global sales of US$846 million.

Providing a complete line of products for wireless communication, the company is also building up its presence in the Olympic business arena with its traffic control system.

"I think Beijing will be very interested in bringing the technology of an intelligent traffic control system into the marketplace to execute smart roadway direction," said Richards.

The system is becoming more and more essential in terms of security, particularly after terrorist attacks in New York greatly challenged that city's traffic system, he said.

"To present a successful sports show, Beijing should be on the cutting edge on that."

Originally a provider of farming equipment, Valmont has extended its outreach through a global network of 31 facilities in 11 countries.

In addition to its infrastructure products, Valmont also leads the world in mechanized irrigation and water management equipment for agriculture, claiming it enhances food production while conserving and protecting natural water resources.

(China Daily March 19, 2002)


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Olympiad 2008 Beijing
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