Economic Watch: Italian heating giant heats up expansion in Chinese market

NANJING, July 18 (Xinhua) -- For Bruno Rinaldi, general manager of an Italian heating company Immergas, the goal of the company extends beyond simply creating more warm homes in China. It also involves a commitment to establishing a strong presence in the world's second-largest economy.

Founded in 1964, Immergas has sold its wall-mounted boilers to over 50 countries and regions. After entering the Chinese market in 1997, its heating products quickly gained popularity among local households.

In 2018, Rinaldi spearheaded the establishment of the company's first factory in China, located in Changzhou, east China's Jiangsu Province. This facility boasts an annual production capacity of 100,000 gas boilers, marking a significant step of the company's expansion in China.

By the end of 2023, the company had sold a cumulative total of 500,000 wall-mounted boilers in China.

Data shows that China's natural gas consumption reached 390 billion cubic meters in 2023 and is projected to hit 460 billion cubic meters by 2025, indicating substantial growth potential.

Immergas' energy-saving and eco-friendly products align with China's goals of peaking carbon emissions by 2030 and achieving carbon neutrality by 2060, as well as the Chinese gas industry's increasing focus on innovation and environmental protection.

"With Chinese people's growing attention to environmental concerns and green development, Immergas is progressively developing equipment that utilizes renewable energy and reduces energy consumption through advanced technologies," Rinaldi said.

"We plan to continue to increase production lines to enhance localization," he added, noting that Changzhou has advanced manufacturing infrastructure and convenient transportation, enabling the company to extend its product reach to metropolises and second- and third-tier cities as well.

Rinaldi also praised favorable policies for foreign enterprises, the improved business environment and the local government's efficiency.

"The local government has helped us boost our brand awareness and collaboration with local suppliers, establishing an efficient supply chain that ensures smooth business operations," he said.

"China is a great place for business management, as it has social stability and a thriving commercial environment, making it worthy of long-term investment," Rinaldi added. "I am very confident about the future development of our business in the Chinese market."