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While Chinese enterprises are fretting in front of tariff barriers, Wenzhou businessman Mr. Lin’s African customs clearance is jumping at a profit margin of 63%, with a team of 10 people and a revenue of $120 million in two years.
This is by no means an isolated case, but rather an underestimated migration of wealth In 2023, China-Africa trade exceeded 280 billion U.S. dollars, and Chinese enterprises have signed more than 700 billion U.S. dollars of contractual engineering contracts in Africa.
The African land is repeating the business script of the early days of China’s reform and opening up. With the advancement of urbanization and industrialization, there are huge market gaps in various industries in Africa, and keen gold diggers have already built a cross-generation profit channel between China and Africa to make a fortune.
How to seize the opportunity to earn money in Africa?
May 18, 2025 On May 24, 2025, we will embark on a journey to Africa to connect with the policy resources of the wind mouth industry, decode the golden algorithm of jet lag dividend, explore the primitive business paths of barbaric growth, and burst the wild vitality of business in the vast grassland. Click to learn
African Consumer Market
Unexpected Blue Ocean
In the current domestic real estate demand atrophy in the background, many building materials factory days also began to be difficult, in the domestic real estate cold wave shivering ceramic factory, but in Africa under the hot sun sultry.
African construction site, Koda manufacturing with the domestic elimination of the kiln, in the sub-Sahara burned out 43 3 gross margin, the figures envied by domestic counterparts, 17 6 percentage points higher than the industry, like thirty years ago, the Pearl River Delta get rich myth of Africa replica.
Africa is currently in the stage of rapid urbanization, real estate is becoming a pillar industry, the current low level of urbanization faster urbanization speed and relatively slow competition pattern, for Chinese building materials enterprises to go to sea in Africa to provide an excellent opportunity for rapid and profitable development.
Based on the huge population scale in Africa, daily necessities and consumer goods will also be the comfort zone for Chinese enterprises to go overseas in the future, and whoever enters the market first will be able to gain the biggest first-hand advantage and stabilize the industry position.
African home appliance market is repeating the situation in China in 2000 African families’ income has risen over the years, and refrigerators and TVs have suddenly become a necessity from a luxury item. Those consumer goods that were rolled up to the point of no return in the domestic market have become hot original shares in a different latitude and longitude.
Chinese home appliance brand Hisense is rapidly rising in Africa, in the South African market, Hisense TV and refrigerator market share reached 33 and 38 1 respectively, for many years ranked first in the industry In 2014, Skyworth digital market share in Africa exceeded 80, and quickly occupied the African home appliance market.
With the increase of African people’s income and the improvement of living quality, the future prospects of home appliances and other daily-use products in the African market are very promising.
Structural dividend window
Internet industry has become a new opportunity
In recent years, Africa’s communication and Internet industry has been developing rapidly, and the electronic product e-commerce industry has ushered in a development dividend period.
Last year, the annual shipment of cell phones of Transfon surged by 30% against the trend, and sat first in the market with half of the market share in Africa, becoming the well-deserved hegemony of Africa, and squeezed into the world’s top five of the global smartphone shipments.
Arbitrage at both ends, fast home is the winning formula for the fast home of African enterprises, including ChuanYin, ChuanYin use China’s mature electronic industry chain advantage to collect core parts and components, dilute the unit cost, and at the same time, set up manufacturing and assembly bases in Ethiopia and Nigeria in Africa, make full use of the local low productivity, so that it can make use of the absolute price advantage of the implementation of other cell phone brands in Africa to reduce the dimensional blow.
In the era of accelerated digitalization, the African e-commerce market is also surging with unprecedented development opportunities. From 2020 to 2025, the e-commerce market in Africa will grow at a CAGR of 15.5 percent, and the market size will reach $40.758 billion by 2025.
The African e-commerce market, currently in its infancy, lacks diversified products, rich categories, and strong brands. If domestic brands parachute their operation mode into Africa, they can make their brands the head of the category at a very fast speed and build their own brand barriers.
Founded in 2014, China’s e-commerce platform Kilimall landed on the beach, and since its establishment in 2014, it has steadily ranked first in the East African e-commerce market, with a market share of more than 50 for a long time, and its business covers countries such as Kenya, Uganda, Tanzania, and so on.
Food enterprise Angie yeast entered Africa by building a factory in Egypt, and its African business revenue in 2021 has reached 710 million yuan, with a net profit of 125 million yuan.
Fast fashion SHEIN entered Africa in May 2022 and became the most downloaded shopping app on Google Play in South Africa a year later Africa’s huge market potential has triggered the amazing expansion speed of overseas Chinese enterprises.
The opportunity is not to be missed, and the time will never come again. For Chinese enterprises going overseas, Africa is currently in a strategic opportunity to profit from the mismatch of resources between the two markets, and the rapid expansion of the e-commerce market corresponds to the supply side of the commodity, there is still a lack of product supply and structural contradiction of brand echelon fault.
With the gradual coverage of logistics network and payment means, African e-commerce will be promising in the future.
Exclusive strategic layout
Visiting Africa to break the mold and start a new
In the face of domestic overcapacity, technology breakthrough to open up the global map is becoming a way to break through the situation.
On May 18th, we invite entrepreneurs to visit Africa to learn from the wisdom of the reckless heroes in the battle of the four seas from the cutting-edge ecology of industrial parks, to the landing cases of overseas enterprises, to the policy direction of government agencies, to explore the key to break through the incremental market from the first-line perspective.
1 Insight into the layout strategy, decode the development springboard
In this visit, we will visit the benchmark industrial parks and pioneering enterprises to grasp the underlying logic of industrial transfer and the strategic landing program.
Ethiopia Oriental Industrial Park is China’s first state-level overseas economic and trade cooperation zone, which is invested and operated by Suzhou Yongyuan, gathering more than 120 multinational enterprises in building materials, textile, automobile assembly and other fields.
We will lead entrepreneurs in Ethiopia Oriental Industrial Park for in-depth study, together with deciphering the standardized output mode of African manufacturing in Chinese parks, and analyzing the policy support and industry chain synergy mechanism.
In addition, we have also opened an exclusive channel for entrepreneurs to investigate the benchmark enterprises going overseas. We will lead the entrepreneurs to have an in-depth dialogue with Huajian Group, the leader of African industry, to decode the speed of building a factory in three months and generating foreign exchange of 120 million US dollars, and to analyze its labor factor integration system and the forward-looking layout of new energy automobile industry.
At the same time, we will visit Vitron, the rising star of electrical appliances, to study its digital marketing strategy We will enter the cell phone tycoon, Transsound Holdings, to gain exclusive access to mobile terminal market penetration methodology and localized R&D system For entrepreneurs interested in developing e-commerce, we will lead them to visit Kilimall, the pioneer of e-commerce in East Africa, to grasp the East African e-commerce traffic operation and cross-border payment solutions.
2 Locking in policy anchors to create a local paradigm
For Chinese enterprises, it is especially important to do homework and fully understand the localized survival rules before entering Africa. We have integrated exclusive resources from government, enterprise and academia for entrepreneurs in this study tour.
Ethiopian Investment Authority to promote and expand foreign direct investment as the core objective, through the integration of investment consulting project docking company registration and tax registration and other full-process services, for Chinese entrepreneurs to build efficient and convenient landing support system.
In this visit, we exclusively linked to the Ethiopian Investment Authority, entrepreneurs will directly talk to the officials of the Investment Authority to help entrepreneurs fully understand the local government’s support for key industries and projects, and understand the investment policies and incentives of various industries in a targeted manner, so as to help entrepreneurs make wise investment decisions by obtaining the first-hand information and help Chinese enterprises to land in the African market smoothly.
After the seminar, we will lead the entrepreneurs into Nairobi National Park, the first safari park in Africa, to experience the life force of the grassland.
Africa is a hot land scorched by the equatorial sun, and also a hot land for melting entrepreneurial bravado in the future. Under the snow line of Kilimanjaro, it is the unique romance of Chinese enterprises to compose a new chapter of their own. It is a unique romance for Chinese enterprises to write their own new chapters under the snow line of Kilimanjaro. It is the right time for Chinese enterprises to set sail on their expedition to Africa.
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