A European in China Interview with Alberto Sessolo - Country Manager for China at RadiciGroup S.p.A.
This article was originally published in Italian in Panorama on 8th Jul 2024.
Please note that this is a courtesy translation of the Italian language article originally published in the Panorama Magazine Issue at: https://www.panorama.it/economia/storia-vincente-radicigroup-cina
In our column dedicated to interviews with leading figures from the Italian and European business world abroad, today we present Alberto Sessolo, Country Manager for China at RadiciGroup S.p.A.
Alberto Sessolo, a graduate in Business Administration from Ca' Foscari University in Venice, started his career in a company specialising in the production of machinery for the steel industry. His first significant experience abroad was with the Swedish multinational group Assa Abloy, where he worked in China from 2012 to 2014. This first contact with the Chinese market was crucial for his career, paving the way for further professional opportunities in the country.
In 2015, he joined the Radici Group as Operation Manager for the Suzhou plant, later becoming General Manager in January 2018.
RadiciGroup, founded in 1986 by Gianni Radici, is a global leader in the production of chemical intermediates, polyamide polymers and advanced textile solutions. The company, headquartered in Bergamo, has approximately 3,000 employees and achieved a turnover of €1,069 million in 2023. It operates in Europe, North and South America, and Asia.
In his current role, Alberto Sessolo leads the group's expansion and consolidation in the Chinese market, promoting innovation and ensuring that operations are aligned with Radici Group's global standards of quality and sustainability. In particular, his responsibilities include overseeing day-to-day operations, developing new business opportunities and managing relations with customers and local authorities.
In this interview, Alberto tells us about his professional experience in China, the challenges he faced and the opportunities he seized, and how RadiciGroup is adapting and thriving in this dynamic and ever-changing market. His experience is an example of how Italian skills can be enhanced in international contexts, contributing to the success of global companies like RadiciGroup.
1. How would you describe RadiciGroup's current presence in China in terms of production facilities, offices and local partnerships?
RadiciGroup with its High-Performance Polymers business area has been present in China since 2006 with its own production unit in Suzhou, Jiangsu province. In 2023 it inaugurated its new proprietary plant. We have a commercial presence in Shanghai, Changsha and Guangzhou and cooperate with various partners in different areas of the country. The engineering plastics manufacturing business is now RadiciGroup's core business presence in China; almost twenty years of work whose outcome is certainly positive.
2. What are the main industrial sectors in which RadiciGroup operates in China, and which products or solutions are most in demand?
Looking at sales volumes, 60 per cent of our materials are used for applications in the automotive sector, both for conventional motor vehicles (ICE) and especially for vehicles belonging to the electric vehicle world (NEVs, BEVs and PHEVs). We are also present in the markets for E/E applications, Appliances, Consumer and Industrial Goods.
3. What were the main challenges RadiciGroup faced when entering the Chinese market, and how did you overcome them?
RadiciGroup High Performance Polymers arrived in China in 2006 to support its global customers with production sites in the country: it is necessary to be there to intercept growth in sectors that require short and responsive production chains and thus be a strategic partner for customers in the development of innovative solutions.
In the years that followed, along with growth linked to these global customers, the company began to approach potential local customers by expanding its sales and technical support network until it became a well-known reality with all the major OEMs, especially in the automotive sector. Obviously, the initial cultural difference combined with a lot of competition in the target markets were the major difficulties encountered, which have been overcome even though there is still considerable competition in the market.
4. How does RadiciGroup manage sustainability and corporate social responsibility (CSR) in its operations in China?
Sustainability is a key area in our business. We have products that use recycled raw materials (both post-industrial and post-consumer) and bio-based materials. In addition, when designing our new factory, we took this important issue into account by installing a 1.45MW photovoltaic system, a system for zero discharge of water used in production, and one for rainwater recovery, just to name a few. This allowed us to obtain LEED Gold certification, an international standard for the development of high-performance green buildings. In the area of corporate social responsibility, the Group is obviously committed to operating according to principles and policies that have a positive impact on society and the environment. In particular, we pay special attention to the wellbeing of our employees with supplementary corporate welfare benefits.
5. What growth opportunities do you see for RadiciGroup in the Chinese market over the next five years, and what strategies will you adopt to seize them?
Certainly, China remains and will remain a very important market for our Group. The investment made in Suzhou goes in this direction, that of guaranteeing the possibility of continuous growth, which was difficult in the old location. Competition is very fierce, but the opportunities are there, and to seize them we will continue to invest in R&D and communication activities. In parallel, we will pursue commercial expansion activities in the ASEAN region, which currently represents only a small portion of our business in Southeast Asia.
6. What advice would you give to other Italian companies or managers considering expanding in China, based on your experience?
We believe that at present, a decision to expand in China through new investments must be calibrated not only by reference to the situation in one's home markets but must also take into account the broader geopolitical context now and in the future. As mentioned, China remains and will remain a very large market for many years, but at the same time decisions involving significant investments must be carefully weighed.
Edited by: Lawyer Carlo Diego D'Andrea, Vice President of the European Union Chamber of Commerce in China
