HOME appliance maker Qindaohaier is to list on the Shanghai stock exchange later this year. Details of the A-share flotation are not known but general manager Mr Zhang Ruimin said it was scheduled for the third quarter. The firm is one of the best known refrigerator makers in China and has enjoyed a 30 per cent growth in sales annually for the past eight years. Last year Qindaohaier hit turnover of 1.1 billion yuan (about HK$1.5 billion), up from 700 million yuan in 1991. Profit was about 77 million yuan last year, compared with about 49 million yuan the previous year. Twenty-five per cent of production was exported to Europe, mainly Germany, and the United States. The firm's refrigerators are made under a 10-year technology licensing agreement with Germany's Liebherr, and have a reputation for high quality. The present Liebherr agreement runs until next year. Qindaohaier also imports technology from Japan's Sanyo and Derby of Denmark. Last year the firm was probably the only domestic appliance maker in China to gain an ISO 9001 certificate. General manager Mr Zhang is a technocrat with political connections. ''Other enterprises pay attention to the quality of the hardware, but we pay as much attention to the software, the personnel quality,'' he said. Workers at the firm have regular quality circle sessions and prizes are awarded for innovation. In 1992, Qindaohaier made 400,000 refrigerators, 100,000 freezers and 50,000 air-conditioners. Qindaohaier's air conditioners are made under the Qing Kong brand name, while freezers are made under the Derby name. Qindaohaier is a group that comprises 10 domestic appliance and trading subsidiaries and several joint ventures. The group employs 1,300 people in a showcase factory in the suburbs of the city and a further 4,700 people at 20 sites in the Qingdao area. Work has already started on an ambitious expansion plan in the city's new Hi-tech Zone. The Qindaoherr industrial park will consist of six large workshops, each the size of two sports stadiums, for the manufacture of home electronic appliances. The total cost of the project is estimated at two billion yuan, with each workshop being set up as a joint venture. Construction of the first workshop is due for completion in 1995.
