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A privately-owned enterprise in Wenzhou has developed into the largest producer and exporter of low-voltage electrical equipment in China.

The Delixi Group achieved a sales volume of 7 billion yuan (US$843 million) in 2002. Products valued at US$25 million were exported by Delixi last year.

During 17 years in which the company developed by leaps and bounds, Delixi has realized a rapid development and gone from being a family-based workshop to a manufacturer with international standards.

The enterprise now ranks fifth among China's private enterprises in terms of annual output value.

Hu Chengzhong, chairman of the board of directors of the Delixi Group, has witnessed the burgeoning and development of China's private enterprises.

"I have an ambition to build Delixi into China's version of Siemens," he said.

With 50,000 yuan (over US$6,000) in investment, he started his own eight-worker plant and began producing low-voltage electrical equipment in 1984, when the private economy began to mushroom in Wenzhou, a city in East China's Zhejiang Province.

Hu attached great attention to product quality and technology innovation.

The company then established a laboratory to deepen the study of new generations of low-voltage electrical products in 1986, when a great number of factories of its kinds were forced to close due to poor quality.

In 1990, his enterprise witnessed considerable expansion and the output exceeded 10 million (US$1.2 million).

Contact with international big-name equipment manufacturers inspired Hu to push his company to a new level. Hu finished the process by turning Delixi into a share-holding company in 1993.

Delixi has seen a period of rapid growth since then. Apart from the Wenzhou Delixi Electrical Apparatus Co Ltd, the company has also built a gear factory and an electrical appliances project in Shanghai.

Delixi has injected 30 million yuan (US$3.6 million) into technological projects since 1993. The company, which possesses 80 automatic production lines, has passed appraisals by the International Standardization Organization.

This world-level body is concerned with the examination of enterprise standards, including qualified technology standards, product quality and working conditions.

Hu is proud that products of his company have been used in the China State Jiuquan Satellite Launch Centre. Delixi signed a five-year contact with the centre early this year, becoming its supplier of low-voltage electrical products.

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