By: João Paulo Meneses
CSCEC, China State Construction Engineering Corporation, the largest construction company in the world, set up a subsidiary in Portugal this year using its existing structure in Macau.
It is one of the first times that a large (state) Chinese company has entered Portugal, in which China is one of the largest international investors, drawing on the knowledge of Macau, which means that it is one of the rare occasions that a large Chinese state company has ‘anointed’ Macau as a platform for Portuguese-speaking countries.
CSCEC – China Construction Portugal, as the company will be called – is headquartered in Lisbon, although Macau Business has learned it is still looking for facilities.
For now the law firm that helped in the legal process serves as the headquarters of the company, and at the end of this month the first representatives of the company will arrive in Portugal to deal with installation and market entry, regarding which the company has great ambitions in Portugal.
Macau Business knows that they intend to compete for the construction of large public works such as railway and land communications, airports and road terminals.
Another area of interest is the design and construction of architectural and engineering projects, including the management of these projects.
Finally, they will continue investing in urban development and real estate built by them or by third parties, including tourist and hotel properties.
Macau Business has made several contacts with CSCEC, including via Hong Kong, but has received no response to date.
Occupying the main management positions of CSCEC – China Construction Portugal, the multinational has identified eight managers of the branch in Macau, including Haipeng Zhang, Executive Director of the Hong Kong-based holding company, as chairman of the Board of Directors.
The company in Portugal has been born in direct connection with Macau although dependent upon China State Construction International Holdings Limited in Hong Kong since 1979.
Once the managers are in Macau and Hong Kong an executive commission will be appointed, with our sources confirming it will comprise Portuguese managers.
China State Construction entered Macau in 1996 and two years later began to build STDM’s Macau Tower.
In 2003 it was responsible for the construction of the Macau East Asia Games Dome and from that date started to work with both public works and the new resorts: Galaxy, Wynn, City of Dreams and MGM were some of the concessionaires making up its portfolio.
Two more highlights: in 2008 they built the Liaison Office of the Central People’s Government in Macau SAR and have been linked since 2004 to all the works of the Nova Taipa Gardens housing complex.
CSCEC – China Construction Portugal is the first such construction company to enter the Portuguese market, where several companies dominate key sectors of the local economy.