THE inventors and owners of the Red Bull brand and trademarks globally, TCP Group, announced May 20 a series of investments totalling more than US$150 million over the next three years in China.
The investments will further expand the groups presence in the Chinese market by supporting its local partnerships, establishing a new representative office, in-country team, and manufacturing centres as well as supporting the launch of new Red Bull products and other products from their global portfolio.
As part of the investments, the company carried out a series of feasibility studies and is now committed to investing further in the Huairou District by opening a new manufacturing centre. The local government has been providing support and assistance to facilitate this undertaking despite the challenges presented by the Covid-19 pandemic.
As the China marketplace continues to evolve rapidly, the company’s new in-country capacity will ensure the demand from its Chinese customers is met through innovation and introduction of new products.
New products recently launched, with the assistance of local strategic partners Guangzhou Yao Energy and Pusheng Food Sales, include the locally produced Red Bull An Nai Ji drink and Vitamin Flavour drink. Both products have proven immensely popular among Chinese consumers.
With the joint efforts of local partners, the company has seen a continuously strengthening local distribution network for the two products, which has achieved geographical coverage across 227 cities in 24 provinces nationwide, as well as over US$150 million in sales revenue in 2019. These new investments are expected to drive major increases in the production and sale of Red Bull products.