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| TTS President & CEO Johannes Neteland |
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China is the largest shipbuilding nation in the world, but this wasn’t always the case. The Norwegian TTS Group, based in Bergen, entered the Chinese market at the onset of its shipbuilding boom by establishing partnerships with the China State Shipbuilding Corporation and the Dalian Shipbuilding Industry Corporation
“We wanted to grow so we had to do things differently. We expected the shipbuilding industry in China to develop, so it was important for us to position ourselves there early on and grow with them,” said TTS President and CEO Johannes Neteland.
When TTS established its joint venture with CSSC to produce hatch covers in 1998, it had only a five percent stake of the local market share. Today, its collaboration has resulted in a 65 percent share of the market, making TTS the biggest player in the sector with annual turnover of about $185 million.
“We have a partnership with the Northern Group in Dalian, which specializes in cranes, wire and cylinder luffing. With both these partnerships, we are effectively the number one player in our respective product groups in China and number two in the world,” Neteland said.
“An important reason for our success in joint ventures is that we share all our technology with our partners, which is a different strategy from other companies. There is no buyer-seller relationship, which gives both sides the incentive and drive to develop the business,” he added.
With its collaborations, TTS can boast of an extensive global network that includes offices in China, the Republic of Korea and soon in Brazil. Its “global but local” approach has been a key factor for its rapid expansion. Most importantly, the adaptability and flexibility of TTS in working with its clients in specific areas of excellence has made it the ideal business partner.
Along with continued success in the marine sector, TTS is focusing on the oil and offshore industry. The company already signed six contracts for drilling packages each worth about $45 million in China alone.
“We expect the offshore industry to undergo the same evolution as the marine sector and we are positioning ourselves to capitalize on the growth. The Chinese market is by far the most important market for the marine and offshore sectors for TTS. We are looking for partners, in China and beyond, who will help us grow and succeed,” Neteland said.
www.ttsgroup.com
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