China Hongqiao aligns its corporate policy closely with China’s “Belt and Road” initiative. It is committed to adding momentum to the local economy during overseas investment, taking on its social responsibility. Hongqiao’s offshore projects in Guinea and Indonesia have both led to positive changes and broad recognitions in local communities.
In 2014, Hongqiao partnered with Singapore-based shipper Winning International Group, Chinese giant Yantai Port, and Guinea company UMS and formed a coalition named SMB Winning Consortium. Upholding its “win-win development” principle, the Consortium has been contributing to local employment, education, transportation, medical care, entertainment, and community sustainable development projects while developing bauxite resources. The Consortium thus initiated a new pattern of multi-party win-win cooperation in overseas mining.
In December 2018, the Consortium signed three agreements with the Guinean government on railway construction, alumina plant construction, and bauxite resources development, all of which were unanimously approved by the national assembly of Guinea. They were also the first agreements in Guinea’s history to receive that level of supports. Hongqiao’s project in Guinea not only enriched the company’s raw material supply chain, but generated a large number of local jobs and uplifted the local residents’ quality of lives as well.
On top of complying with local laws and regulations in mining and environmental protection, Winning Consortium has been spontaneously supporting local community development. Its expenditure in community building far exceeded the designated level in Guinea’s mining law, which was 0.5 percent of the company’s sales revenue. All its efforts elevated the living standards of residents in the Boke region of Guinea. As of December 2018, the Consortium directly employs more than 5000 local people, with an additional 3,000 employed by subcontractors and service providers. It has brought over 50,000 job opportunities (both directly and indirectly) to Guinea and generated more than $200 million of revenue for the government in 2018. Following the Consortium’s lead, more companies and investors from industries like mining, infrastructure construction, and agriculture have flooded into Guinea, bringing further momentum to the development of the local economy.
In Indonesia, China Hongqiao partnered with Singapore-based Winning International Group and local company Harita Group for a joint venture – PT. Well Harvest Winning Alumina Refinery. It is the largest industrial alumina company in Indonesia and Southeast Asia, which filled the blank in Indonesia’s industry. Sticking to its core value of “people-oriented, win-win cooperation”, the company employed thousands of local workers and drove the economic and social development. With a specialized social responsibility team, PT. Well Harvest Winning Alumina Refinery initiated numerous projects benefiting local people’s wellbeing. The company was dedicated to maintaining bridges and roads, building mosques and security booths, repairing the damaged coastline, and building schools. It also committed to other community routines like raising funds for people in poverty, donating to schools, assisting with medical care, and firefighting. In 2018, the company continued its win-win relationship with local residents by running facilities that serve both parties in coordination with villagers. Those plantations, farms, and health centers fulfilled the needs of the factories while bringing considerable revenue to local residents.
In its latest efforts to support overseas communities, China Hongqiao donated necessary medical supplies to Italy and Germany — both countries hit hard by the COVID-19 outbreak.