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Korean multi-purpose vehicle firm Retech eyes global markets
Publication Date : 01-07-2014
Retech, a multi-purpose vehicle provider from South Korea, aims to reach US$100 million in sales this year by diversifying its product lines in the global market.
The company has dominated the domestic snow-removal equipment market for a decade, but it is now expanding its business into multi-purpose vehicles including street cleaning equipment and multi-purpose road management vehicles.
“We started to diversify our product lines two years ago in a bid to grow our company rather than dwelling on the local market,” a company spokesperson said.
Retech plans to reach $100 million in sales this year, up from $83 million in 2013, he added.
Its multi-purpose vehicle business has fared well so far overseas, now taking up around 60 per cent of its total sales.
Retech said it signed a deal with the Algerian government to provide its military trucks worth $10 million last month. The company also sold its street equipment vehicles to Ukraine and intelligent patrol cars to Peru last year.
“We are aiming to reach $20 million in export sales by selling armored patrol vehicles and troop carrying vehicles to overseas markets including South American countries, Indonesia, and Bangladesh in the second half of this year,” said Song Su-hyun, head of Retech’s overseas marketing team.
The company is currently beefing up its overseas business units to develop export strategies. They are gathering and analyzing overseas market information including climate, geography, and automotive operation conditions. The state-owned Government Excellent Products Association is also supporting the company by providing consulting services, overseas market research and quality certification.
Retech is set to establish the nation’s biggest plant for multi-purpose vehicles in Sejong city. Its headquarters and subsidies including an auto maintenance firm Retech Networks will move to the complex due to be completed by next June.