Nuctech scores with growing security businesses in Brazil
Advanced technology products made by Chinese companies are finding their way to more overseas markets, especially in South America, and helping change the “cheap” tag associated with products from the country, industry sources said on Thursday.
More than 80 percent of the security scanners used in the ongoing soccer World Cup have been made in China, said officials from one of the world’s largest security equipment companies.
“Nine out of the 12 World Cup stadiums in Brazil are using Chinese products, as they use the world’s most advanced X-ray technology for detecting potentially hazardous material,” said Wang Weidong, vice-president of the Beijing-based Nuctech Co Ltd.
Besides providing 600 scanners for the World Cup stadiums, the company has also provided one-third of the security inspection products at Brazilian airports.
Though some of the security check systems for the World Cup are on lease, the several-million dollars deal as well as other opportunities created by the event make Brazil a top destination for the Chinese company, Wang said .
“It is just a warm-up,” Wang said, adding they hope to use the event for further market expansion and to provide more products for the Olympic Games that will be held in Brazil in 2016.
“Exposure at these events is not just about branding, but also about grabbing market opportunities in other South American countries,” he said.
Nuctech set up its Brazil operations earlier this year and has around 10 skilled technicians in the country to assist and train local employees in core technologies.
The company originated from Tsinghua University, one of China’s top universities specializing in science and technology. It focuses on various kinds of security inspection equipment, ranging from X-ray imaging to radiation detection.
It reported revenue of about 3 billion yuan ($487.8 million) in 2013, and a 10 percent annual growth rate. Exports account for 70 percent of the company’s total business, and ithey go to more than over 130 countries.
In the terms of technologies like the Large and Pallet Cargo X-ray imaging inspection system, Nuctech ranks top in the world, with a market share of 25 to 30 percent.
Nine out of the 12 World Cup stadiums in Brazil are using Chinese security check products, as they use the most advanced X-ray technology for detecting potentially hazardous materials.