April 21, 2023
China, India Central to Signify's Strategy
CEO Eric Rondolat outlines commitments to Asian markets and economies
Signify, the world's largest lighting company, has expressed its commitment to investing in both China and India, the world’s two most populous countries.
In separate interviews, CEO and Chairman Eric Rondolat shared his optimism for both markets, while also discussing the company's strategies and manufacturing plans in each region. According to Rondolat, while China remains a key market for manufacturing and research and development, the company is considering a less China-centric approach to its global supply chain and is eyeing India as a viable alternative for manufacturing.
As reported by Shanghai Daily this week, Rondolat praised China's business environment and sustainability initiatives, highlighting the potential for growth in the country's fragmented market. Signify has been investing in local manufacturing capabilities in China, including expanding capacity at an LED lamp factory in Jiangxi Province. Meanwhile, in a March interview with Economic Times entitled "We will be less China-centric in supply chains; India a key alternative", Rondolat discussed the company's long-standing presence and plans to scale up capacity in India, with a manufacturing facility in Vadodara and a network of 48 exclusive contract manufacturers.
Both markets offer unique opportunities for Signify, with Rondolat emphasizing the strategic importance of India and the continued commitment to contribute to economic and social development in China.
China:
In a recent interview with Shanghai Daily, Eric Rondolat, CEO and Chairman of the Board of global lighting company Signify, expressed his commitment to continuing investment in China despite the challenges posed by the COVID-19 pandemic. Rondolat shared his optimism about China's business environment, emphasizing the country's importance as a key market for both manufacturing and research and development.
As reported by Shanghai Daily, Signify has been investing in local manufacturing capabilities over the past three years, including expanding capacity at an LED lamp factory in Jiangxi Province. This factory, known as KLite, has nearly doubled its business size with the help of approximately 2,000 employees. Rondolat also highlighted the potential for growth in China, given the market fragmentation and the opportunities present in the country.
In the same Shanghai Daily article, Rondolat praised China's recent sustainability and carbon-cutting initiatives, as well as the Chinese government's ambitious sustainability objectives. Signify has developed ultra-efficient LED lighting technology in response to China's environmentally friendly policies, which could save 50% more energy than existing LED technology.
Furthermore, Signify has built a strong China ecosystem, including partnerships with local players such as Xiao Mi and a joint venture with e-commerce service provider Baozun. As mentioned in the SHINE Shanghai Daily interview, Rondolat affirmed that the company will continue to follow the Chinese government's direction and contribute to economic and social development in the country.
India:
Signify's CEO, Eric Rondolat, mentioned in a March interview with Economic Times that the company may become less China-centric in its global supply chain. Signify is considering India as a viable alternative for manufacturing. Rondolat explained that as the company incrementally increases production, it will likely invest more in India. Signify has a manufacturing facility in Vadodara, which is the world's largest unit for conventional General Lighting Service (GLS) lamps and India's largest setup for fluorescent lamps. The company is planning to scale up capacity in this facility and has a network of 48 exclusive contract manufacturers in India that it has supported and built in the country.
In the Economic Times interview, Rondolat discussed the company's strategy in India. Signify has been present in India for around 93 years and currently has R&D centers in Noida, Bengaluru, and Pune. India is a significant market for Signify, ranking among its top five markets. The company is also developing a second brand in India called EcoLink, launched in 2019, which focuses on fans and lighting.
Signify's stated commitment to investing in both China and India showcases the company's intention to adapt and leverage opportunities in these key markets. With continued growth and innovation in China, alongside plans to expand manufacturing capabilities in India, Signify seems poised to strengthen its position as the world's largest lighting company while supporting the economic and social development of both nations.
