SerCom sets up Chinese electronics supply hub

6 Jun 2006

Irish supply chain management company SerCom Solutions, which is owned by the diverse business services group DCC, has established a new operation in China which will manage the importing of consumer electronics products such as high-definition televisions into Ireland, has learned.

The company is opening an office in Shenzhen in the Guangdong province of China. Shenzhen was China’s first special economic zone and has investment and tax benefits similar to the Shannon Free Zone.

SerCom has been doing business in China for the past six years and has a current annual spend of €80m in China.

SerCom’s group head of business development Kevin Vaughan told that the establishment of the new China operation is being driven by an expansion by SerCom into the consumer electronics space.

“We will be looking at importing products like high-definition televisions, MP3 and MP4 players, digital photo frames and a variety of other products into Ireland and the UK for our sister companies like Sharptext, Micro-P and Pilton.

“We also see an opportunity for importing products from China on behalf of other businesses in Ireland and the UK,” Vaughan said.

He explained that businesses should see China less as a threat but as an opportunity. “We would encourage companies to concentrate on their core skills such as research and development and marketing and we would use China to move the product.”

Vaughan said that SerCom will be working with non-branded electronics suppliers in China and the company aims to carry out elements of assembly work in Ireland in order to avoid unnecessary duties. “We are currently evaluating suppliers that meet ISO standards. They would rely on our knowledge to get the product out of China and into Ireland in an efficient way and clear customs,” Vaughan said.

By John Kennedy