According to a report by Argentinian newspaper Página12 on Sunday, Chinese smartphone brand Xiaomi will open stores in Argentina and will set up a production base in the country’s southern region of Tierra del Fuego, with a total investment of millions of dollars.
The plans were revealed by an Argentinian government official visiting China with the country’s president, Alberto Fernández. The formal announcement could be made within 60 days, but Xiaomi‘s decision to develop a facility in Tierra del Fuego “has been set,” the individual added.
According to the report, Xiaomi‘s smartphones are expected to be manufactured by Etercor-Solnik, a local Argentinian company, which has a factory in Tierra del Fuego and possesses the industrial equipment needed to produce modern electronic products. The Argentinian company, which currently has 400 employees, will also provide after-sales services for Xiaomi products. Leading companies including Bose, Nokia and Apple are also its customers.
In the past year, Xiaomi has grown significantly in the Latin American market. According to data released by market research firm Canalys, as of the third quarter of 2021, Xiaomi has become the third-biggest smartphone brand in Latin America, with a market share of 11% and a year-on-year growth rate of 19%.
At midday on February 6, when Chinese President Xi Jinping met with Argentinian President Alberto Fernández, who came to China to attend the opening ceremony of the ongoing Beijing Winter Olympics, he pointed out that China is willing to share development opportunities with Argentina, expand its exports and upgrade its industries. The two sides can jointly build “The Belt and Road Initiative,” a global infrastructure development strategy pushed by the Chinese government. The two countries can give full play to their complementary advantages, promote existing major projects such as hydropower and railways, and deepen cooperation in trade, agriculture, energy and mining, infrastructure, investment and financing, and fight against the pandemic together.
During the February 6 meeting, President Fernández also welcomed Chinese enterprises to continue entering Argentina’s domestic market and investing in the country’s industries.