Chairman Zhang Daocai delivered a keynote speech at the symposium of 2021 National Entrepreneur Activity Day & Annual Meeting of Chinese Entrepreneurs

From July 29th to 30th, the symposium of "2021 National Entrepreneur Activity Day & Annual Meeting of Chinese Entrepreneurs", hosted by the China Enterprise Confederation and the China Entrepreneurs Association, was successfully held in Ningxia, with a theme at "Starting the 14th Five-year New Journey and Carrying out the Green and Low Carbon Development.

Chairman of the Board of Sanhua Holding Group Mr. Zhang Daocai, who is also served as the Vice President of China Enterprise Confederation and China Entrepreneurs Association, was invited to deliver a keynote speech. The symposium also invited many well-known entrepreneurs to give the keynote speech such as the entrepreneurs from Sinopec Group and ZTE Corporation.

Chairman Zhang Daocai pointed out in his speech: as early as 2007, Sanhua judged that domestic industrial and economic development would be upgraded to refinement, intensive, and high-quality directions, and since then, Sanhua established the product development positioning: energy-saving, low-carbon and intelligent control. At the same time, Sanhua predicted the development trend of new energy vehicles, and since then invested in the technology, product R&D and key market promotion, and achieved the strategic opportunities in the global industry. Right now the new energy vehicles development is also in line with the general trend of China’s dual-cycle development and dual-carbon goals.

In the speech, Chairman Zhang Daocai summed up the Sanhua’s experience of technological innovation in combination of the "dual carbon" goal:

First, to make correct judgments on the strategic direction of the company's development, companies must always pay attention to the development trends of the future market and technology, maintain a high degree of sensitivity and vigilance. Sanhua has been earlier positioned technology-leading, green and low-carbon product development, and invested in the new energy vehicle thermal management business, all those are based on the continuous analysis of future market.

About how to form the core strengths in the market segments, Chairman Zhang shared his views: firstly, to clarify the strategic development direction; secondly, to focus on the development path driven by innovation and leading technology, concentrate all efforts on the development of new products and new technologies, take the lead in market applications, and make new achievements in the global industry; thirdly, to launch the full market applications in phases based on the market demands and actual conditions. He took Sanhua’s rapid development in new energy vehicle development as an instance and stated that management thought is worthy of Sanhua’s continued adherence.

Second, the "dual-carbon" goal brings broad opportunities for the upgrading of traditional industries. Correct product positioning and strong technological innovation are the keys to seizing opportunities and striving for the initiative. In the fiercely competitive refrigeration, air-conditioning and home appliance industries, Sanhua has developed a series of green and low-carbon products in advance, such as serialized electronic expansion valves, four-way valves and micro channels. Those products have extremely significant energy-saving effect, and have played an important role in promoting the energy efficiency standards of high-efficiency inverter air conditioners in the domestic market, refrigeration and home appliance industries. Meanwhile, Sanhua has been successively participating in the B20 Summit workforce since 2016 Hangzhou B20 Summit. Sanhua also participates in the United for Efficiency to formulate the energy efficiency standards in residential air conditioners.

Fourth, the key to technological innovation lies in attracting and gathering the best R&D talents in the global industry, exerting their enthusiasm and creativity, and helping them to world-class R&D results. Sanhua advocates “ a career platform for the struggling, build a fair and reasonable incentive mechanism, and an innovative and inclusive corporate culture”. Sanhua encourages R&D personnel to be guided by market demand, striving for the goal, and aiming at creating first-class scientific and technological achievements. Chairman Zhang took the Group Science and Technology Innovation Conference as an instance. On the conference, Sanhua will commend those who have made significant contributions in R&D with grand material and spiritual awards. The conference is held every 5 years.

While sharing Sanhua’s experience in Sanhua's scientific and technological innovation, Chairman Zhang also raised the "hidden worries" in the long-term sustainable development of China's manufacturing industry, he expressed his earnest hope of improving the development environment of the manufacturing industry. Chairman Zhang pointed out: firstly, more attention should be paid to the protection of intellectual property rights strengthening; secondly, it is necessary to a good supply of labor, land, capital and other factors for the development of the manufacturing industry, build a good atmosphere to encourage young people to be willing to work in the manufacturing with a craftsman spirit.

Chairman Zhang's keynote speech and thought sharing have aroused widespread resonance among the organization leaders, entrepreneurs and industry experts.