Jenny Zhang Zhen Mei says it's just starting

Jenny Zhang Zhen Mei has been behind the levers of Hangcha Forklifts for more than seven years.

Company officials say it's China's largest forklift manufacturer by exports.

The bubbly general manager explains the "one team, one dream" motto, used at its recent global dealers' conference: "That's to be a top 10 by turnover in the global forklift industry by the next five years".

Officially called Zhejiang Hangcha Import & Export Co. Ltd, the firm is based in Hangzhou, Zhejiang province, east of Shanghai.

The name 'Hangcha' comprises two words - 'Hang' from Hangzhou and 'cha' from 'cha che', Mandarin for forklift.

The formerly state-owned company had global sales of 250 units in 2000 when it was privatised. This year, exports will hit 9,000 units, Zhang says.

Zhao Li Min, chief executive of parent Zhejiang Engineering Machinery Equipment, says Hangcha's export goal is to keep the average growth rate at 20%, and to double it in 2012.

Projected sales for this year are more than 35,000 units.

Hangcha's main export business is the Europe Union and Russia, which takes about 70% by volume.

It shipped 700 units to Russia in 2006 and this year, Zhang says, the company might sell 1,000.

Demand is greatest for the popular models of 1.5-3 ton diesel trucks.

Hangcha considers it has potential to expand into North America and Latin America.

During its recent dealer conference, Hangcha unveiled a compact truck prototype with cushion tyres, which Zhang believes will give the most popular model in North America a run for its money.

Zhang is know for her personal approach

"Two agents from Canada are already interested in this model," she notes.

One way Hangcha has prepared to enter North America is by searching for potential agents who are approved by the United States' Environmental Protection Agency.

The firm is concentrating first on Canada, and since last year has engaged dealers in Ontario and Quebec.

Hangcha has begun exporting to South and Latin America - including Brazil and Argentina.

In 2006, Hangcha sold 50 units to Latin America, and expects to sell around 400 units this year in five countries.

"It's just starting," Zhang says.

Forkliftaction.com News overheard several dealers remark there were problems with quality control. These included the finishing, like seats, but also the steel used in nuts and bolts.

Zhang counters that Hangcha is aware potential buyers from developed markets are wary of Chinese models and might favour more established brands.

"Hangcha was the first manufacturer in China with ISO 9000 certification," she adds.

"The company's outstanding growth rate is due to our customers' contributions, their suggestions about improvements."

She cites the recent dealer gathering as one of her methods to gather comments and ideas about how to further advance the company's models.

Hangcha officials prefer trying to work with suppliers to rectify any problems, but it has terminated contracts.

Zhang is aware of the battle to match the reputation of established global giants. "We are working very hard and making all the efforts to try to prove that we're good and well organised," she stresses.

Asked how Hangcha will compete against the leaders, Zhang is quick to point out that it's not by being cheaper.

"We are trying to catch up, not by price only, but also by quality and service."

Zhang's hobbies include travelling. She adores Italy, especially its coastal areas and Tuscany. "It's very beautiful," she says.

Several dealers are impressed with Zhang's approach to her business relationships. For example, she personally called each dealer to invite them to China. Indeed, the welcoming card in Forkliftaction.com News' hotel room was signed in Zhang's black pen.