World / US and Canada

Auto-parts maker Wanxiang comfortable stateside

By HUA SHENGDUN in Washington (chinadaily.com.cn) Updated: 2016-06-21 14:49

Even in 2015, Ni said that more than 60 percent of his company's output is shipped to China, the largest auto market in the world.

However, the company's output is all that China receives from Wanxiang America. Ni said that the company has a policy to reinvest all of its profits back into the US.

The reinvestments of Wanxiang's profits have created a $6 billion portfolio of US real estate. Wanxiang's US real estate unit includes office towers, shopping centers, warehouses and resort homes, making it the second-largest Chinese real estate investor by number of properties held in the US, according to Real Capital Analytics Inc.

Ni's success in America did not come easily. He said that one of the most challenging adjustments for doing business in the US was getting used to its strict legal system, compared with China's model of constant reform.

"If you want to be successful in business in China, you have to be brave in terms of pushing the envelope," Ni said. "You have to test the new fronts, and be willing to make a mistake, and react very quickly. However, here in the US, that is not the story. The rules are well established.

Speaking to potential foreign investors, Ni said "SelectUSA can help companies to navigate through the system. The one thing that can stop companies from coming to the United States is if that company does not have that homecoming feeling here." Ni emphasized that feeling welcome in the US was an important part of his company's success, and that having SelectUSA to steer a company in the right direction was critical.

"Just as if we traveled to a different world, and nobody there spoke the language, you need somebody to turn the light on for you," he said. "As long as somebody can turn the light on for you, you can see and get very comfortable.

"Investing in the US was the best decision in Wanxiang's history so far," Ni said. "Not only because we've gotten great returns in the US, but also because today we have truly become part of the local economy here in the US, and we are part of the local community as well."

Allan Fong and Chunying Cai in Washington contributed to this story.

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