In the third year of establishment, MSP started preparing for entering into China, which is expected to become the world’s largest economy in 2027. Now MSP’s exploration has reached a point that a sizeable portion of our revenue comes from China. When we just entered this country, many people pointed out that risk increases if we depends too much on trading with China. However, it became clear that the dependency would become our strength and brings MSP to the higher level. We enthusiastically use our Xiamen office as the main transition point to import rare metals and buy base metals using the local currency. From now on, we will further expand our hubs in this country.
Korean is in a special position where companies lead by government policies stormed Japanese companies in the world market. MSP sent in Korean staffs and started enthusiastically the sales activities by actual visits as we do in Japan. And we build business partnerships among Korea, Japan, and China, its neighboring countries. It is one of our targets to establish an office in the near future.
The South East Asian region with rich metal resources is very attractive as a source for our business. At the same time, the importance of South East Asia as a consuming region will definitely increase gradually. However, when looking from Japan, we still see many differences in cultural and customs that disturb smooth business transactions. MSP responds to these differences with our utmost locally rooted activities, and will enjoy maximally the fruits this region brings to us.
Having the world’s second largest population and facing few worries about aging of society, it is said that India’s GDP will surpass that of Japan in 2016, and will become closer to the U.S. economy in 2050. MSP started business with companies in this country in 2008, and gradually increased our presence since then. We actively expand our business in India where many perspectives are not as open as China, and we are expanding our sales activities firmly and strategically in India.
There are many things MSP could learn from Europe with high environmental awareness. We would be able to learn about environmental preservation centered around recycling while doing business there. At the same time, Eastern Europe as a source of resources will become more important to MSP. We will overcome the barrier of different cultures and customs withfull attention and fearless behavior.
The meaning of expanding our business in the most advanced country with the biggest economy in the world is significant. We feel that it doesn't matter how developed our businesses are in other places. If we cannot succeed in the U.S. then we are not successful. While solidifying our foothold in Asia, we are also slowly developing our business in this country far from Japan. The U.S. will also become a base for us to expand our business into South America where rich resources lie. Expanding into the Americas will be one of our future goals.
In 2009, we started from Chile, the largest copper producing country, and expanded our business into South America where rich resources lie. We continue to expand into this region carefully. Whether we can expand into this region in the other side of the world from Japan with proper risk management, our true value would be determined.