SOLAR Energy Systems has singed a Memorandum of Understanding with Beijing-based Sino West Assets Group to investigate opportunities for the manufacture and distribution of SES’ Sun Mill solar water pumps in the Peoples Republic of China.
The MOU proposes that the two companies locate the lowest cost manufacturers of Sun Mill components in China and investigate the possibility of Chinese product assembly.
SES managing director Anthony Maslin stressed it was still early days but said the MOU was an ideal strategy to lower the company’s production costs while opening up major potential in overseas markets through improved price competitiveness.
"By forming this key partnership it is envisaged that SES will leverage off SWAG’s strong network in China to create significant new distribution opportunities," he said.
"This MOU will also create new possibilities for becoming involved in various aid projects within China."
Some 50 million people live in West China and many of them do not have access to piped drinking water.
The region also hosts vast mineral resources and is expected to undergo significant improvement in the standard of living as a result of funding from the Chinese government and international resource companies.
SES manufactures a range of solar powered pumps and water purification systems that are designed to be easy to maintain and easy to use.