A little background first. I had worked with the Russian-international holding company behind this project for more than ten years. The group includes companies across several countries, spanning industrial businesses, finance, an investment fund and different types of manufacturing operations.

Over the years, I helped the group’s subsidiaries build relationships with Chinese businesses, attract major investors and identify Chinese contractors for a wide range of projects.

In 2019, the owner of the holding decided to build a home-appliance factory in China. Asia Business Hub took responsibility for the project.

My name is Ivan Melnikov, founder of Asia Business Hub. I have lived and worked in China since 2005. ABH helps companies source equipment and raw materials from China and execute complex technical and industrial projects with Chinese manufacturers, providing hands-on support throughout the entire process.

The project was executed step by step. We began with a major PR campaign designed to build credibility with Chinese investors and government stakeholders.

Two months before the expo, we arranged for a Shanghai media team to travel to the holding company’s home market and produce a full documentary about the business. As the exhibition approached, the owner came to China for a series of television interviews and investor meetings.

As the exhibition approached, the owner came to China for a series of television interviews and investor meetings.

This significantly increased investor interest before the exhibition. Following the expo, several Chinese districts competed to host the new factory.

We also began building a relationship with a partner and co-investor that already operated similar factories in China.

Around 80% of the project was completed that year.

In 2022, sanctions created a financing gap while obligations to the construction company and contractors remained.

Together with our partner, we brought in new investors, closed the gap and spent roughly six months working intensively on the project. Government and media support helped keep construction moving.

The factory was developed during an exceptionally difficult period: China’s extended pandemic restrictions, sanctions affecting Russia-linked business owners and investors, and significant cost pressure.

The regular video updates played an important role in maintaining investor confidence. When other parts of the investor’s portfolio suffered during the lockdown period, the visible progress of the project helped preserve commitment and momentum.

Construction proceeded on preferential terms. As the project reached defined construction milestones, portions of the investment were reimbursed. By the end of the project, most of the original land-acquisition cost had effectively been returned.

The most important outcome is simple: the factory was launched. Despite multiple crises and force-majeure events, the project moved from an empty site in a Chinese village to a functioning industrial facility serving customers around the world.

The factory is now operational, and the next objective is to develop customers in Russia and the CIS so that the industrial platform and financing we helped build can also create value for Russian-speaking businesses.