Procurement: The Chinese Giant

Archives

October 24, 2014: China is now the fourth largest exporter of weapons in the world. This is largely due to the efforts of China's largest arms manufacturer, NORINCO (Northern Industries Company). Founded in 1980 NORINCO is the major supplier of weapons to the Chinese armed forces and one of the largest arms exporters in in the world. By 2003 NORINCO had sales of $10 billion a year and now that is over $62 billion a year. Despite the dominance of NORINCO, there are hundreds of smaller arms and military/police equipment manufacturers who find lots of customers in China and abroad. But NORINCO, partly because of its size and mass production capability and partly because of its government connections, gets most of the big ticket or large volume business.

NORINCO has frequently been caught, and sanctioned for weapons and other military equipment to countries banned from receiving the stuff by international sanctions. These sanctions make it difficult to purchase high tech manufacturing equipment (and other essential goods) from the West. Despite that NORINCO still has a well-deserved of selling to anyone, anywhere who can pay and is not in trouble with the Chinese government.

NORINCO produces smart bombs and missiles, armored and non-armored military vehicles, amphibious vehicles, artillery and long range rockets, anti-aircraft and anti-missile systems, naval weapons and equipment, fire control systems, night vision equipment, military and commercial explosives, all manner of bombs and ammunition, police gear and a wide range of military grade small arms and well as hunting rifles. NORINCO stuff is designed and built to be easy to use, resistant to bad treatment and lack of maintenance. The Chinese stuff is also cheap. All this is often an offer many countries cannot refuse, especially since NORINCO is tolerant of requests for bribes.

 

 


Article Archive

Procurement: Current 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 


X

ad
0
20

Help Keep Us Soaring

We need your help! Our subscription base has slowly been dwindling. We need your help in reversing that trend. We would like to add 20 new subscribers this month.

Each month we count on your subscriptions or contributions. You can support us in the following ways:

  1. Make sure you spread the word about us. Two ways to do that are to like us on Facebook and follow us on Twitter.
  2. Subscribe to our daily newsletter. We’ll send the news to your email box, and you don’t have to come to the site unless you want to read columns or see photos.
  3. You can contribute to the health of StrategyPage. A contribution is not a donation that you can deduct at tax time, but a form of crowdfunding. We store none of your information when you contribute..
Subscribe   Contribute   Close