Sanhua kicked off its 40th anniversary celebrations

Date: 26 April 2024
Sanhua kicked off its 40th anniversary celebrations
Guests from around the world - including OEM customers and distributors from Europe, America, Asia-Pacific, and China - visited the Sanhua factory to explore its production lines. The factory is equipped with automated production lines using advanced automation technology, significantly improving production efficiency and product quality.

The visitors had the opportunity to see various productions, including 4-way valves, thermal expansion valves, commercial electronic expansion valves, BPHE lines and many more. It has to be thrilled to see it live!

The grand opening focused on the company's 40-year journey and working with partners to create a green future. More than 200 guests gathered at Sanhua's headquarters to share insights and development plans, including Chinese and international OEM customers, distributors and representatives from various HVAC&R media.

"Since 1984, we have been developing innovative solutions, so this year we are celebrating a very special occasion - the 40th anniversary of SANHUA. It is an opportunity to highlight our achievements in the HVACR industry. In addition, the start of Sanhua's 40th anniversary coincided with the China Refrigeration Exhibition", - said in company.


Established in September 1967 as the "Xinchang West People's Commune Agricultural Machinery Repair & Assembly Factory," Sanhua began with repairing simple farming tools. With just one iron furnace and seven workers, the early years up until 1979 were challenging, marked by limited product offerings and inadequate production facilities.

The trajectory changed with the arrival of Mr. Zhang Daocai, who joined the factory as Deputy Director and Manager of Purchasing and Sales. In August 1984, with Mr. Zhang at the helm, the factory was renamed "Xinchang Refrigeration Components Factory," laying the foundation for Sanhua. This year is considered the true beginning of the company.

1984–1993: Setting the Course

From 1984 to 1993, essential groundwork was laid through strategic product development and extensive marketing research. Sanhua introduced various solutions including filters, driers, and thermal expansion valves, initially aimed at the roadside restaurant refrigerator market and later the domestic market. Key strategic solutions were identified for their markets:

1. Two-position and three-way solenoid valves for household refrigerators
2. Four-way reversing valves for the HVAC&R market
3. Thermal expansion valves for automotive air conditioning systems

These innovations led to significant profits, exceeding 10 million yuan annually.

1994–2003: Period of Significant Growth

This decade saw substantial growth for Sanhua. Management processes and staff training were strengthened, and operations were optimized. The company secured multiple certifications including ISO9001, ISO/TS16949, ISO14001, UL, TUV, and VDE. During this period, electronic expansion valves and solenoid valves were developed, expanding the HVAC&R market share. The "Three Flowers of Management, Technology, and Talent" became core to Sanhua's values and success.

2004–2013: Expansion and Global Visibility

Throughout this period, Sanhua experienced consistent growth and gained international recognition. Zhejiang Sanhua Intelligent Controls Co Ltd (002050.SZ) was listed on the Shenzhen Stock Exchange. Sanhua emerged as the world's largest manufacturer of four-way reversing valves and a leading producer of electronic expansion valves for inverter air conditioners. Additionally, Sanhua introduced groundbreaking products such as microchannel heat exchangers and frequency converters.

In 2008, the establishment of Sanhua Europe, with headquarters in Madrid and a warehouse in Lędziny, Poland, marked a significant milestone. HVACR experts launched a successful campaign, securing clients across Europe and forming business partnerships in the Middle East. This expansion was essential for Sanhua's global strategy.

2014–Present: Commitment to Sustainability

Sanhua's continuous achievements have established it as a global leader. Today, the company dominates market shares in four-way reversing valves, electronic expansion valves, microchannel heat exchangers, and shut-off valves. Sanhua operates 6 R&D centers, 9 main production bases, and over 20 factories with sales and service centers in countries including China, the US, Mexico, Germany, Poland, and India.

Sanhua's strategic competencies and innovations have earned it partnerships with leading automobile and air conditioner manufacturers worldwide. By the end of 2023, Sanhua's market value had increased by more than 40%. The company's focus on sustainability is evident in its ESG report, highlighting 3,792 secured intellectual property rights, including 1,879 invention patents, which promote energy-efficient technologies.

Looking forward, Sanhua remains dedicated to sustainability and innovation, ensuring continued success and global leadership in the industry.

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