An employee works at the Fabryka Lozysk Tocznych-Krasnik S.A. (Photo: Li Zengwei from People’s Daily)

Once facing hardship, Fabryka Lozysk Tocznych-Krasnik S.A. (FLT-Krasnik S.A.), a Polish bearing factory, now ranks fourth in eastern Poland’s Lublin Province in terms of factory scale, thanks to the rapid development of China-Poland economic and trade cooperation in recent years. 

According to statistics, bilateral trade volume has increased by 30 percent in the last five years. During the same period, Chinese enterprises have invested over $1.3 billion in Poland, creating 14,000 jobs in the country.

Polish Foreign Minister Witold Waszczykowski believes Chinese President Xi Jinping’s ongoing state visit to Poland will further boost bilateral cooperation.

“Chinese business leaders in President Xi’s delegation can transform bilateral political relations into economic cooperation,” he told the People’s Daily.

After purchasing 89.15 percent of the bearing factory from the Polish Industrial Development Agency in 2013, China’s Tri-Ring Group upgraded the factory’s equipment. As a result, it witnessed an over 20 percent growth in sales revenue, and more than 30 percent increase in profit in 2015.

According to plans, the factory, with over 2,200 employees, will exceed 500 million Zolty (€120 million) in annual sales in the next five years, said Zhao Weiren, general manager of the Tri-Ring Group Polish branch, adding that they hope that FLT-Krasnik S.A. will be listed among the top 10 firms in the global bearing industry.

Before the Chinese firm acquired the Polish company, FLT-Krasnik S.A., founded in 1938, was on the edge of bankruptcy due to the financial crisis.

“After the buyout, FLT-Krasnik S.A. benefited from the timely capital injection. Our employees were often sent to China for latest technology and information, elevating the factory to the top level in the industry,” said Grzegorz Jasinski, Chairman of FLT-Krasnik S.A.

Wojciech Wilk, Governor of Lublin told the People’s Daily that the Polish side was concerned about the acquisition at first.

“Upon buyout, EU companies would shut down local factories and layoff employees just to clear out market for their own products or reduce competition,” he explained.

As articles in the acquisition agreement between Tri-Ring Group and the factory have been implemented, the Polish government is no longer worried about possible downside from the deal, the governor added.