CMEC Pioneers Development in Reform and Opening up and Creates New Brilliance under B&R Initiative

Release time:2019-01-31 Article source:亚太聚焦 Reading times: A+AA-
From 1978 to 2018, time is the eternal imprint of strivers writing historical chapters.
From 0 to 22 billion, the number is an intuitive witness of the dedication of actors to the reform and development.
Over the past 40 years, CMEC has worked hard to achieve great development and qualitative leap from small to large and from weak to strong. It has not only overcome hardships in pioneering its work but also made breakthroughs based on its accumulated strength.
We overcame great hardships to lay a solid foundation of development.
In 1978, the Third Plenary Session of the 11th CPC Central Committee put forward the strategic decision of “reform at home and opening up to the outside world,” which changed China’s long-standing self-seclusion. Since then, China’s economic system has begun to transform from the planned economy to the market economy.
In the 1970s, China had much to do. To improve the production capacity and technical level of China’s mechanical and electrical products as soon as possible and promote the export of more mechanical and electrical products to earn more foreign exchange, on May 12, 1978, the State Council approved the establishment of China Machinery and Equipment Export Corporation (CMEC) on the basis of the merger of the export supply company of the former Product Administration Bureau of the first Ministry of Machinery and Equipment and relevant departments of the Machinery Import and Export Corporation of the Ministry of Foreign Trade. The business scope of the then CMEC was mainly mechanical and electrical products administrated by the first Ministry of Machinery and Equipment.
As time goes by and seasons progress, CMEC’s uneven road to start a business is still clearly marked.
On May 27, 1978, the inaugural meeting was held at No. 12 Fuxingmenwai Avenue (now the seat of the Capital Museum) in Beijing. It officially started operation on June 1 and was announced at the Guangzhou Autumn Fair on October 15, 1978. It was difficult to start a business. During the initial period of CMEC, it has almost no relevant experience, due to the shortage of talents and funds. The office and living facilities are simple, difficult and scattered. In other countries, CMEC has not enjoyed any fame because it lacks markets and customers. It has no sure-to-sell product. As such, everything starts from scratch. With the strong support and care of superior leaders, Comrade Jia Qinglin, the first general manager, led all staff members to overcome many difficulties to initiate CMEC’s business.
At the end of 1979, with the gradual expansion of the business of each port branch, the original China Machinery and Equipment Export Corporation specialized in machinery and equipment export was no longer suitable for the overall development. Therefore, it increased its import business and officially changed its name to China National Machinery & Equipment Import & Export Corporation in 1980, distributing the operation and management system of branches and subsidiaries in all provinces and cities of the country.
In 1982, under the background of the merger of the then Ministry of Foreign Trade and Ministry of Foreign Economic Relations, an industry ministry was allowed to retain only one external window, according to the spirit of relevant documents of the State Council. In July 1982, CMEC and CMIC were merged. In the early 1990s, the organization changed and CMEC and CMIC separated. CMIC has merged with CMEC again in 2004 and split from the parent company in 2010.
With the deepening of reform and opening up, CMEC has focused its attention on the international market. Since 1980, CMEC has taken the lead in sending overseas agencies. In 1983, it held a special meeting to determine the implementation of the “eight-region” international market development strategy. CMEC also dispatched key personnel to eight regions for market development, starting a new journey for CMEC’s overseas business.
On May 26, 1994, the Ministry of Foreign Trade and Economy approved the establishment of a corporation by China National Machinery & Equipment Import & Export Corporation on the basis of both China National Electrical Instrument Import & Export Corporation and China National Heavy Mining Machinery Import & Export Corporation under CMEC. On July 12, 1994, the State Administration for Industry and Commerce approved the formal registration of CMEC. At that time, CMEC had 36 close-knit member units, 40 semi-close-knit member units, and 140 loose member units. The establishment of CMEC has strengthened the economic strength of enterprises, created and gathered a strong backbone team, and improved the reputation, laying a solid foundation for the modern enterprise system.
In January 1997, SINOMACH was established, and CMEC was affiliated to SINOMACH. On January 18, 2011, CMEC was restructured into a joint-stock enterprise under the new title of China Machinery Engineering Corporation.
On December 21, 2012, after years of hard work, CMEC successfully listed its H shares in Hong Kong, starting a new journey with the sound of a gong.
Since 2013, CMEC has acquired and reorganized JK Institute, CNEEC, and CNCEC, and has been entrusted to administrate CHPI. It has also built a strategic cooperation platform at home and abroad to initiate a new model of capital operation.
From No. 12 Fuxingmenwai Avenue to Liuliqiao Bridge and then to No. 178 Guanganmenwai Avenue, from China Machinery and Equipment Export Corporation to CMEC, CMEC has never stopped its pace of development despite the tortuous road. It has always taken bold actions to rise to challenges and pursue excellence.
The 40-year development by leaps and bounds produces brilliant achievements
Over the past 40 years, CMEC has proactively explored the development model of combining industry and trade, import and export, and technology and trade. It has introduced a large number of advanced technologies and equipment regarding power generation and metallurgy to China in the early period of reform and opening up. It has entered the field of international engineering contracting in a pioneering way. CMEC has successfully assumed the role of a “window” of the machinery industry to the outside world, making outstanding contributions to the technological progress of China’s machinery industry and China’s machinery and equipment entering to the international market.
40 years of tremendous efforts. CMEC’s business covers more than 150 countries and regions. It has undertaken contracting engineering projects in nearly 50 countries and regions to develop a large number of prestigious quality projects at home and abroad. It has built bridges of friendship between China and foreign countries, creating many “China’s firsts.” These achievements and highlights are deeply engraved on the milestone of an enterprise’s growth.
In the 1980s, China successfully exported the first 210,000-kilowatt thermal power station using seller’s credit.
In the 1990s, for the first time, China’s coal-fired and gas-fired turbine generators and China’s 320,000-kilowatt single thermal power unit were introduced into the international market. China’s power generation equipment was first exported to Asian, African, European and American markets, maintaining China’s leading position in power generation export.
For the first time, four large hydropower stations with 30,000 kilowatt units were built in Africa. For the first time, a float glass plant with a daily melting capacity of 500 tons was exported, designed and installed.
Entering the new century, China exported 210,000-line SPC exchanges to Bangladesh for the first time. It is the first time to export the remote-control ammeter to Italy. It is the first time to build a national radio and television centre in Africa. For the first time, China’s 600,000-kilowatt supercritical coal-fired power generation units and China’s 600,000-kilowatt subcritical lignite power generation units will be introduced into the international market. For the first time, large-scale drinking water treatment plants have been built and put into operation in Africa (Central and West Africa). The “Angola Model” of exchanging resources for projects was initiated.
In October 2010, it exported the 600MW 60HZ steam turbine generator set with the largest single unit capacity to South America and China.
In February 2011, a bird’s-eye view of Putram coal-fired power station was printed on Sri Lanka’s 100-rupee new currency.
In December 2012, Turkey’s 600,000-kilowatt supercritical power station won the first Luban Award for power engineering outside China.
The numbers on the performance chart gleamed, and the stories on the credit books kept emerging. Over the past 40 years, as China’s first industry and trade company, one of the first batch of national team members “going global,” and the first Chinese enterprise to foster and establish a good brand image along the “Belt and Road,” CMEC has engraved a series of glorious history and written a range of brilliant chapters in the development history of China’s machinery industry as well as foreign trade and economic cooperation.
Never forget your founding mind to continue to make new contributions
Despite challenges and a long journey, we rise to our essential mission. Remain true to our original aspiration and keep our mission firmly in mind. By looking to the world and the future, CMEC members, standing at a new historical starting point, are full of confidence.
Confidence comes from CMEC’s growing experience formed by generations of CMEC members never forgetting their initiative mind and keeping in mind their mission. Therefore, CMEC must unswervingly strengthen the Party building of enterprises, implement the national strategy, adhere to the strategy, work to the main business, pursue innovation and development, follow the principle of mutual benefit and win-win results, develop enterprises with talents, give top priority to risk prevention and control, and insist on cultural guidance.
Confidence comes from CMEC’s development situation formed by generations of CMEC people emancipating their minds and daring to innovate. The six major management systems of engineering contracting, finance, law, investment and financing, corporate culture, and social responsibility are continuously improved and optimized. Besides EPC, the core business, the other five major segments of trade and service, design consultation, CMEC logistics, CEMC Housing, and CEMC agriculture are gradually formed. The three systems of quality, environment, and occupational health as well as the Party-building quality management system are operating effectively. The use of two markets and two resources at home and abroad complement each other.
Confidence comes from CMEC’s corporate culture that is formed by generations of CMEC people’s efforts and passed down from generation to generation. The corporate culture includes the courage to challenge bravely, to be the first, and to take on responsibilities; the quality of selfless dedication, the lofty spirit of feeling at home wherever one goes, the image of self-respect and dedication, the contractual concept of keeping promises, the style of sincere cooperation, and the pragmatic and prudent working attitude.
CMEC’s unique growth experience, development landscape, and corporate culture are also the “spirit of CMEC.” The spirit is forged by the efforts of several generations of CMEC people. It will be updated with the pace of the times. It will be internalized in the hearts of every CMEC person, flow in the veins of every CMEC person, and be carried forward in the actions of every CMEC person. It is also the fundamental reason why CMEC has survived ups and downs. It is the powerful driving force for CMEC to move forward at a new starting point.
In the new era, a new blueprint has been launched.
The numbers will be more highlighted. Rooted in China’s machinery industry, integrated into the global equipment manufacturing industry chain, and based on infrastructure construction, CMEC has implemented the new concept of development, fostered new momentum of development, and opened up a new realm of development. On the basis of maintaining the healthy development of the company, it has striven to achieve annual operating revenue of RMB 50 billion in five years and RMB 100 billion in another ten years.
The strategy will be clearer. CMEC is about to enter a new round of strategic period. It must deeply understand and accurately grasp the Spirit of the 19th CPC National Congress, follow the general trend of national strategy, and seize the opportunities of national policies. It needs to adhere to multi-dimensional innovation and exploration and conduct continuous optimization and adjustment. CMEC needs to utilize science and technology as the powerful backing to enhance the competitiveness of the company. It needs to actively carry out mergers and acquisitions to help the company develop rapidly. It needs to fully integrate domestic and foreign resources. It also needs to be further combined with the international equipment manufacturing industry chain.
The mission will be more solemn. General Secretary Xi Jinping issued a mobilization order at the 19th CPC National Congress to foster world-class enterprises with global competitiveness. We must respond to the call of General Secretary Xi and strive to build a world-class enterprise that is compatible with socialist modernization and with our great dreams. CMEC must base itself on the national strategy, grasp the reform dividend, and optimize the business layout. It needs to enhance the operating efficiency, strives to solve development difficulties, continuously improve the management ability, and beef up the market competitiveness. It needs to vigorously implement the innovation-driven development strategy, move faster towards the high-end industrial chain and value chain, and work to occupy a favorable position in the new round of industrial revolution and firmly hold the initiative in competition and development in its own hands, so as to empower itself to become a stronger, better, and larger enterprise.
The picture scroll of history always spreads out in moving forward. The amazing chapter of the times is always composed in new endeavours. As a pioneer of reform and opening up and a forerunner of the “Belt and Road” Initiative, CMEC, standing at the forefront of the new era, will certainly take a new attitude, shun no hardship and danger in the new journey, and forge ahead bravely, in a bid to create more dazzling brilliance!