Poland's biggest petroleum firm to open China branch later this year
In the second half of 2020, PKN Orlen, Poland's biggest petroleum company, will open Orlen China, in that country, announced PKN Orlen in a press statement.
According to PKN Orlen estimates, the change in the model of oil sales, based on its own company, will allow it to generate several times more operating profit over the next three years than if the current sales model was continued.
"We are gradually increasing the export of our products. Over 60 percent of PKN Orlen's revenue comes from foreign markets. The establishment of Orlen China is a strategic decision aimed at strengthening the company's position on the prospective Chinese market, but also in the neighbouring countries," said Orlen CEO Daniel Obajtek, as quoted in the press release. He added that building competency on the Chinese market would not only increase sales, but also optimise costs and delivery times.
Orlen China will become a centre of optimisation for sales (including e-commerce), marketing, logistics and freight forwarding on the Chinese market. The company will be registered in the city of Suzhou (Jiangsu Province), in eastern China. In the first stage, it will operate in Jiangsu Province, as well as in the neighbouring provinces.
Orlen products have been available in China since 2016.