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Wal-Mart aims for 12-15 new China stores in 2005
(Agencies)
Updated: 2005-05-18 18:43

BEIJING - Wal-Mart Stores Inc. plans to open 12 to 15 new stores in China this year, the president of the U.S. retailer's international business said on Wednesday, as it tries to keep pace with such competitors as Carrefour S.A.

Walmart, the world's largest retailer, opened its 46th store in China on Wednesday. It has more than 5,000 worldwide.

"Our goal is to open 12 to 15 units this year," John Menzer told reporters as crowds flooded the opening of the Beijing store.

Wal-Mart bought $18 billion worth of goods from China last year. If the company were a country, it would be China's sixth-largest export market.

But Menzer declined to say whether a possible change to China's yuan currency, which the United States says is undervalued and gives Chinese exports an unfair advantage, would impact on its business.

"I can't comment on government issues; I'm a retailer. We will continue to export from China. Pricing is only one part of the equation," he said.

Wal-Mart posted a 31 percent jump in its China sales last year to 7.6 billion yuan, with its number of stores rising 30 percent, China's Commerce Ministry has said.

By comparison, China sales of French competitor Carrefour rose nearly a fifth to 16.2 billion yuan, while its number of stores surged 51 percent to 62.

Carrefour has said it aims to open 15 hypermarkets a year in China.

Despite the expansion of the global retail giants, China's $240 billion retail market -- Asia's second-largest after Japan -- is dominated by local firms such as Wumart Stores and Bailian Group, also know as Brilliance.

China sales made up just one-third of 1 percent of Wal-Mart's total global sales of $285 billion last year, while China contributed about 1.5 percent of Carrefour's 2004 sales of 81.4 billion euros.



 
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