(Yicai) Nov. 5 -- German drinking water management firm SYR Hans Sasserath has attended all eight editions of the China International Import Expo, continuously expanding its booth space along with its investment in the country. Eventually, it forayed into innovative markets, including the silver economy and pet industry.

At this year's CIIE, which kicked off today at the National Convention and Exhibition Center in Shanghai, SYR presented the Asian debut of the Neosoft single-pipe, single-tank water softener and the P658 Double dual-tank water softener to meet new demand in the Chinese market.

"We took part in all the CIIE," said Tobias Ramrath, SYR's international sales director, explaining how the event was just a window to a trading country before. "I think the bigger opportunity is to show new things and innovations, not just for the local market but also for Asian markets."

SYR's exhibitions have expanded from 36 square meters at its first CIIE to 144 sqm at the second, and then it remained stable around 180 sqm from the third edition. "We have been growing all along," said Tang Peng, deputy general manager and chief quality officer of SYR China. "Making use of this enormous platform to drive development is very promising."

In 2023, SYR invested CNY50 million (USD7 million) to build its first water softener production line in China in Ningbo, Zhejiang province, with an annual output capacity of 80,000 units, completing its transformation from exhibitor to investor.

"China's development is fast, and the market is large," Tang noted. "Relying entirely on responses from Germany is restrictive.

"China is much larger than Germany, and the levels of demand are different, he added. "Moreover, Ningbo has many supporting supply chains, suitable for our rapid response."

Localized production is not simply a transfer of capacity. Tang explained that localization is combining German technical standards with Chinese needs. The strategy is to still import original core components and large tanks and assemble them in China to improve response speed.

Expanding Into B2B

The CIIE has not only accelerated the investment pace but also unexpectedly opened a whole new business landscape.

"Originally, this product was targeted to households, but at the CIIE we also received many inquiries from businesses," said Jeffrey Siu, director of SYR China. "This was a great new opportunity that the CIIE brought us.

"What was unique about last year's CIIE is that we not only displayed individual products but also whole-house solutions, making it very intuitive to change configurations," Siu noted.

SYR's business has expanded from single retail products to three main sectors. The first is industrial parks, providing supporting services for BMW's factories in China. The second is construction, becoming a core member of the Shanghai Jing'an Smart Building Digital Innovation Standards Consortium and providing leak and sewage backflow prevention and digital transmission solutions. And the third is the business-to-consumer sector, covering everything from villas to office environments.

SYR opened an office in Shanghai's Jing'an district in 2014. "We are a standardization pilot unit in Jing'an, and last year we received the Shanghai Brand Cultivation Enterprise honor," Tang said. He believes the excellent business environment in Jing'an, through various support and services, has given the company great help.

SYR has expanded its presence all over China. It has expanded the reach of its products made in Liaoning province to automobile production lines, advanced government-enterprise-school cooperation projects to assist rural revitalization in Jiangxi and Yunnan provinces, cooperated with water utility groups on technical solutions in Guangxi province, and discovered new opportunities in onboard water purification systems for commercial vehicles in Hubei province.

New Paths: Silver Economy, Pet Industry

SYR is using the CIIE as a platform to expand into new emerging markets: the silver economy and the pet industry.

For the silver economy, SYR is developing elderly-friendly intelligent water systems. "The tabletop drinking water equipment we donated to elderly care institutions in Jing'an was a CIIE exhibit," Tang said. "In the future, we will have more products targeting drinking water safety for elderly groups."

The company has now increased its focus on both the elderly and children, according to Tang. "We have products for both."

SYR is converting B2B technology that serves large European breeding farms into final consumer goods. "In Europe, we have equipment to prevent cross-infection and sewage backflow," Tang noted. "We are miniaturizing this technology and core components to produce pet drinking water protection products for consumers."

These are different from common pet water fountains on the market. "Products on the market mainly focus on the purification part," Tang explained. "We prevent sewage backflow and bacterial cross-infection. This is protective technology."

"Without the CIIE, we would be slow," Tang admitted. "The opportunities the CIIE has brought us have expanded publicity and opened up sales channels, combining online and offline."

Tobias expressed his expectations for the Chinese market using a Chinese phrase that translates to 'shared future.' This phrase is the theme of the CIIE, and it also expresses SYR's aspiration to grow together with the Chinese market.

Editor: Futura Costaglione